Issue 2, 2013

Berezinets I. V., Ilina Yu. B. Cherkasskaya A. D. Board Structure and Financial Performance of Russian Public Companies.

Board of directors as an internal mechanism of corporate governance is a well studied area of research. Many studies prove that the structure of corporate boards has an impact on a company’s financial performance. This article investigates the relationship between the structure of the board of directors and financial performance of Russian public companies, measured by the market-based indicator — Tobin’s Q. The study sample includes 207 Russian companies that were traded at the RTS through the period 2007–2011. The research concludes that there is a relationship between the size of the corporate board, gender diversity of the board and Tobin’s Q. The authors did not find a relation between the number of independent directors and Tobin’s Q. It was found that the presence on the board of audit committee, remuneration committee, and strategy committee doesn’t imply the difference in financial performance with companies where those committees are not presented. Keywords: corporate governance, board of directors, financial performance, Tobin’s Q.

<< Contents: Issue 2, 2013
<< Go to archive