Invisible Capital at Work: Evaluating the Impact of Intangible Assets on Company Performance
Invisible Capital at Work: Evaluating the Impact of Intangible Assets on Company Performance

Summary/Abstract: This article analyzes the evolution and financial implications of intangible assets in manufacturing companies in Slovakia and the Czech Republic from 2018-2023. It investigates the relative importance of intangible versus tangible assets and their influence on operating revenue and operating profit, focusing on size-based differences. Data from 1,393 manufacturing companies in the ORBIS database were analyzed using descriptive statistics, paired samples t-tests, Spearman correlation analysis, and linear regression models. Results show intangible assets are growing faster than total assets, especially in Slovak SMEs and very large companies. While correlations with financial performance are statistically significant, they are moderate. Regression models explain over 98 percent of revenue variability and confirm the economic relevance of intangible assets, which outperform tangible assets in predictive value. The study concludes that intangible assets are a relevant but not standalone factor in financial performance.

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