Empowering change: examining the impact of gender quotas and intellectual capital on corporate performance

Purpose This study aims to analyze the performance determinants of the listed companies in the Iberian Peninsula, focusing on the effect of intellectual capital and gender diversity on the board of directors. Design/methodology/approach To achieve this goal, the authors studied 23 Portuguese-listed companies and 74 Spanish-listed firms between 2015 and 2022. The determinants analyzed are intellectual capital, gender diversity in the board of directors and company-specific variables. Using the Generalized Method of Moments system model, the authors used profitability and market measures as proxies for corporate performance. Findings The results point out that intellectual capital, gender diversity and specific internal management variables influence companies’ performance. The intellectual capital components contribute in different ways to profitability and market value. The authors found a U-shaped relationship between gender diversity and the market-to-book ratio. Finally, the results highlight that managers, shareholders, potential investors and external stakeholders perceive corporate performance determinants differently. Originality/value This research marks a pioneering effort in scrutinizing the interplay between intellectual capital and gender diversity and its influence on the performance metrics of Iberian-listed companies. To the best of the authors’ knowledge, this study stands out as the first of its kind to delve into these dynamics within the context of a unified market encompassing the Iberian region.