Journal of Economics, Finance and Management Studies ISSN (print): 2644-0490, ISSN (online): 2644-0504 Volume 06 Issue 07 July 2023 Article DOI: 10.47191/jefms/v6-i7-01, Impact Factor: 7.144 Page No: 2996-3007 JEFMS, Volume 06 Issue 07 July 2023 www.ijefm.co.in Page 2996 Assessing the Relationship between Company Value and Intellectual Capital Disclosure Before and During Covid-19: Evidence Indonesia IT Companies Theresia Trisanti 1 , Julianto Agung Saputro 2 , Algifari 3 , Prima Rosita Arini 4 1,2,3,4 STIE YKPN, Sekolah Tinggi Ilmu Ekonomi YKPN, Yogyakarta, Jalan Seturan Yogyakarta 55281. Indonesia ABSTRACT: The purpose of this research is to examine the effect of Value Added Intellectual Coefficient (VAIC TM ) consisting of Value Added Capital Employed (VACA), Value Added Human Capital (VAHU), Structural Capital Value Added (STVA) on firm value by Tobin's Q. The data used in this study secondary data in the form an annual IT companies report listed on the Indonesia Stock Exchange. The sample collection has done by purposive sampling method. The hypothesis testing is done using the PLS Structural Equation Model. The results showed that Structural Capital Value Added (STVA) does not have any significant effect on firm value. Meanwhile, Value Added Intellectual Coefficient (VAIC TM ), Value Added Capital Employed (VACA), Value Added Human Capital (VAHU) have a positive effect on firm value and there is no significant difference of IC before and during Covid-19 on firm value by Tobin's Q. The results of this study will increase understanding in assessing how intellectual capital can add value to the company, especially for the IT sector when experiencing business difficulties. It is expected that companies that invest in intellectual capital then the company will have a good effect on firm value and are expected to provide long-term benefits. KEYWORDS: Intellectual Capital, VACA, VAHU, STVA, firm value, Tobin's Q. INTRODUCTION In the situation and conditions of Indonesia's economy and business which are still sluggish due to the Covid-19 pandemic, many companies are experiencing difficulties in finding sources of funds to be used as working capital to purchase fixed assets. In order to continue to exist, there is no way for Indonesian companies, especially IT companies, to start paying serious attention to the existence of intellectual assets (Andriana, 2014; Makki et al., 2009). Managing intellectual assets in a state of economic crisis basically does not require large funds, with the advantages of intellectual assets, companies will be able to compete to create value-added compared to physical capital financing. Improving the quality of intellectual assets in a crisis is to improve ourselves to rethink the strategies and goals of the company wants to achieve (Puspita, 2014; Wiig, 1997). Therefore, in creating value, the focus shifts from the use of tangible assets with large value to a group of assets, most of which are intangible assets, namely existing intellectual assets or knowledge capital. Since the beginning of the 1990s, attention to the practice of managing intangible assets, such as intellectual capital has increased significantly (Kamath, 2010; Smriti & Das, 2018). Intellectual capital is an intangible asset that can provide knowledge-based resources that function to improve a company's performance and competitiveness and provide value compared to other companies. The real forms of intellectual capital such as creative and unique product designs that are not owned by business competitors, more sophisticated technology (Djamil et al., 2013; Pulic, 2000). Therefore, what top management and company owners need to realize is that real assets are humans, not only visible physical assets. Training programs to increase staff knowledge is needed in order to cultivate assets which in turn can increase the company's profitability. Intangible assets fall into the goodwill category. Company has a competitive advantage if the company can create a higher economic value than other companies in the industry (Makki et al., 2009; Malhamah & Octavera, 2018; Zéghal & Maaloul, 2010). Pulic (2004) defines intellectual capital as the entire value of a company that reflects the intangible assets of a company that has three pillars, namely customers, human capital and structural. Meanwhile, according to Xu & Liu (2020), intellectual capital is an intangible asset that includes knowledge and information owned by the company that should be used wisely so that the company gets a competitive advantage. Based on the definition of intellectual capital above, the conclusion is that intellectual capital is an intangible asset consisting of employee, organizational, knowledge, resources, and customer