Abstarct: In today's turbulent economic world, especially in developing countries, companies need to manage their financial resources wisely to survive and achieve sustainable growth. This is even more important in emerging markets such as Iran, which are facing economic challenges such as rising inflation (average annual inflation rate is 47 percent in the period 2019-2023), international sanctions, restrictions on access to external financial resources, and exchange rate fluctuations. In the meantime, the Net trade cycle (working capital) as the backbone of the current operations of any economic enterprise plays a vital role and is considered a key indicator in measuring the financial and operational efficiency of companies.The aim of this study is to investigate the relationship between the operating cycle (Net trade cycle) on corporate performance using return on assets and Tobin's Q as dependent variables.This research is a descxriptive correlational type and is baxsed on panel data. Considering the conditions and limitations, the sample included 305 companies listed on the Tehran Stock Exchange and OTC, and was selected during the period 2019 to 2023. After collecting the data, it was sorted using Excel software and the output was used to run the model through Eviews10 software. In this research, it was shown that if return on assets is considered as an indicator of corporate performance, there is no significant relationship between Net trade cycle and corporate performance.And if Tobin's Q is considered as a measure of corporate performance, it has a significant and negative relationship with the Net trade cycle, such that the longer the receivables collection and inventory holding period and the shorter the debt payment period (net increase in the business cycle), investors perceive this as a negative signal of managerial inefficiency and, as a result, the market value of the company (Q) decreases.