Measuring shareholder value in Tunisian banking

Khadija Mnasri () and Ezzeddine Abaoub
Additional contact information
Khadija Mnasri: Université de Tunis
Ezzeddine Abaoub: UTM - Tunis El Manar University [University of Tunis El Manar] [Tunisia] = Université de Tunis El Manar [Tunisie] = جامعة تونس المنار (ar)

Post-Print from HAL

Abstract: This paper examines the relative and incremental information content of economic value added (EVA) and traditional performance measures, focusing on the Tunisian banking industry. Our sample comprises only publicly listed commercial banks, and comprises ten banks over a period of ten years (after liberalisation periods from 1997 to 2006). Regression analysis indicates the EVA measure that accounts for the specifics of banking (EVA BKG) is of very little explanatory power. In contrast, intermediation and interest margins are more useful than other earnings measures in explaining the market value of commercial banks. Also, the standard economic value added (EVA STD) seems to explain better shareholder value creation than a wide range of simple accounting and other performance indicators. Incremental information content tests show that EVA STD components contribute marginally to information already available to the market participants (i.e. the intermediation margin). These results have implications to banking-related academicians and practitioners.

Keywords: EVD; economic value added; volatile markets; corporate governance; earnings (search for similar items in EconPapers)
Date: 2011
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Published in Int. J. Accounting, Auditing and Performance Evaluation, 2011, X,No.X (1/2), pp.xx - xx. ⟨10.1504/IJAAPE.2011.037728⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02999671

DOI: 10.1504/IJAAPE.2011.037728

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().