Abstract
The major objectives of research study are to investigate the effects of terrorism on the financial performances Pearl Continental Hotel Peshawar. The Liquidity ratio, Profitability and Assets management ratio was match up to the eight years before and after terrorism from the financial statement of Pearl Continental Hotel Peshawar. The financial performances of Pearl Continental Hotel Peshawar improve insignificantly in term of liquidity and assets management while it decreases insignificantly in term of profitability. The Pearl Continental Hotel Peshawar present an overall gloomy picture before terrorism where its report significantly increases in the liquidity ratio such as current and quick and the assets management such as fixed assets turn over and total assets turnover While it decreases significantly in the profitability ratio such as return on equity, return on assets and profit margin.