The influence of liquidity on performance and financial equilibrium during the COVID-19 pandemic: the perspective of technology sector in Malaysia / Nur Farhana Mohd Zolkefli

The Malaysian government implemented the Movement Control Order (MCO) on March 18, 2020, as a plan to flatten the COVID-19 case curve in the country in response to the COVID-19 outbreak. This epidemic is being taken into account because the MCO has a huge impact on all areas of Malaysian industry, including technology. The purpose of this study is to look into the impact of liquidity on the financial performance of the companies in the technology sector during the pandemic of Covid-19. The dependent variable is Return on Asset, whereas the independent variables are Current Ratio, Quick Ratio, and Debt-to-Equity Ratio. All of the data was gathered from 35 technology related companies listed on Bursa Malaysia and Malaysia Stock.Biz. With an annual timescale, the consent years are 2010 through 2020 (l I years). The specific time frame was chosen in order to know the link between liquidity and financial performance during the 2007 global financial crisis and the current pandemic crisis. Descriptive analysis, correlation analysis, and panel data analysis will be used to conduct the study. From this research that has been done can be concluded that the current ratio and quick ratio insignificant while debt-to-equity significant using OLS test panel data models.