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Beasley Broadcast Group Inc (NAS:BBGI)
Beneish M-Score
-2.53 (As of Today)

The zones of discrimination for M-Score is as such:

An M-Score of less than -2.22 suggests that the company is not an accounting manipulator.
An M-Score of greater than -2.22 signals that the company is likely an accounting manipulator.

Beasley Broadcast Group Inc has a M-score of -2.53 suggests that the company is not a manipulator.

BBGI' s Beneish M-Score Range Over the Past 10 Years
Min: -3.67   Max: -1.61
Current: -2.53

-3.67
-1.61

During the past 13 years, the highest Beneish M-Score of Beasley Broadcast Group Inc was -1.61. The lowest was -3.67. And the median was -2.56.


Definition

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Z-Score) or business trend (F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Beasley Broadcast Group Inc for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 0.8924+0.528 * 0.9783+0.404 * 0.9926+0.892 * 1.1589+0.115 * 0.9214
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.7711+4.679 * -0.0278-0.327 * 0.9262
=-2.53

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

This Year (Sep16) TTM:Last Year (Sep15) TTM:
Accounts Receivable was $19.2 Mil.
Revenue was 27.729 + 27.777 + 27.455 + 28.407 = $111.4 Mil.
Gross Profit was 8.21 + 8.048 + 7.469 + 9.006 = $32.7 Mil.
Total Current Assets was $38.9 Mil.
Total Assets was $313.0 Mil.
Property, Plant and Equipment(Net PPE) was $25.6 Mil.
Depreciation, Depletion and Amortization(DDA) was $3.5 Mil.
Selling, General & Admin. Expense(SGA) was $9.6 Mil.
Total Current Liabilities was $17.2 Mil.
Long-Term Debt was $77.1 Mil.
Net Income was 1.694 + 2.469 + 1.821 + 3.27 = $9.3 Mil.
Non Operating Income was 0.316 + 0.269 + -0.04 + -0.169 = $0.4 Mil.
Cash Flow from Operations was 4.293 + 2.757 + 6.088 + 4.454 = $17.6 Mil.
Accounts Receivable was $18.5 Mil.
Revenue was 26.264 + 27.024 + 24.251 + 18.562 = $96.1 Mil.
Gross Profit was 6.612 + 8.283 + 6.437 + 6.301 = $27.6 Mil.
Total Current Assets was $34.1 Mil.
Total Assets was $310.1 Mil.
Property, Plant and Equipment(Net PPE) was $28.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $3.5 Mil.
Selling, General & Admin. Expense(SGA) was $10.8 Mil.
Total Current Liabilities was $10.8 Mil.
Long-Term Debt was $90.1 Mil.



1. DSRI = Days Sales in Receivables Index

Measured as the ratio of days’ sales in receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI=(Receivables_t / Revenue_t) / (Receivables_t-1 / Revenue_t-1)
=(19.175 / 111.368) / (18.542 / 96.101)
=0.17217693 / 0.19294284
=0.8924

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI=GrossMargin_t-1 / GrossMargin_t
=(GrossProfit_t-1 / Revenue_t-1) / (GrossProfit_t / Revenue_t)
=(27.633 / 96.101) / (32.733 / 111.368)
=0.28754123 / 0.29391746
=0.9783

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than plant, property and equipment to total assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (38.918 + 25.565) / 312.963) / (1 - (34.082 + 27.988) / 310.134)
=0.79395967 / 0.79986071
=0.9926

4. SGI = Sales Growth Index

Ratio of sales in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI=Sales_t / Sales_t-1
=Revenue_t / Revenue_t-1
=111.368 / 96.101
=1.1589

5. DEPI = Depreciation Index

Measured as the ratio of the rate of depreciation in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI=(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1)) / (Depreciation_t / (Depreciaton_t + PPE_t))
=(3.491 / (3.491 + 27.988)) / (3.498 / (3.498 + 25.565))
=0.11089933 / 0.12035922
=0.9214

6. SGAI = Sales, General and Administrative expenses Index

The ratio of SGA expenses in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI=(SGA_t / Sales_t) / (SGA_t-1 /Sales_t-1)
=(9.625 / 111.368) / (10.771 / 96.101)
=0.08642518 / 0.11208
=0.7711

7. LVGI = Leverage Index

The ratio of total debt to total assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase$sgai= in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((77.148 + 17.186) / 312.963) / ((90.108 + 10.824) / 310.134)
=0.30142221 / 0.32544642
=0.9262

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA=(IncomefromContinuingOperations_t - CashFlowsfromOperations_t) / TotalAssets_t
=(NetIncome_t - NonOperatingIncome_t - CashFlowsfromOperations_t) / TotalAssets_t
=(9.254 - 0.376 - 17.592) / 312.963
=-0.0278

An M-Score of less than -2.22 suggests that the company will not be a manipulator. An M-Score of greater than -2.22 signals that the company is likely to be a manipulator.

Beasley Broadcast Group Inc has a M-score of -2.53 suggests that the company will not be a manipulator.


Related Terms

Altman Z-Score, Piotroski F-Score, Accounts Receivable, Revenue, Gross Profit, Total Current Assets, Total Assets, Property, Plant and Equipment, Depreciation, Depletion and Amortization, Selling, General & Admin. Expense, Total Current Liabilities, Long-Term Debt, Net Income, Non Operating Income, Cash Flow from Operations


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Beasley Broadcast Group Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 1.08510.89460.98611.08040.99860.96910.99741.69050.98020.6235
GMI 1.01761.02820.96342.40360.81060.96870.93531.11991.07441.0919
AQI 1.01761.03180.97980.99990.98780.99321.01511.00370.99620.9936
SGI 1.00721.06940.90710.79661.01270.99721.0260.55961.04651.8047
DEPI 1.37420.97971.07980.88491.01921.05781.08980.84891.42230.671
SGAI 1.00391.02211.03280.17421.01811.02680.98181.90131.12840.5079
LVGI 1.01081.08111.16530.92650.91180.89060.91720.91190.77030.917
TATA -0.0304-0.0413-0.1981-0.0318-0.0348-0.0424-0.0256-0.02720.0725-0.0268
M-score -2.48-2.71-3.58-1.84-2.71-2.69-2.57-2.44-1.98-2.11

Beasley Broadcast Group Inc Quarterly Data

Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16
DSRI 1.73711.60941.40521.10030.80460.65050.62350.66660.72210.8924
GMI 1.111.13281.11981.11391.10761.10631.09191.06591.04970.9783
AQI 0.99941.00980.99621.01151.0130.99950.99360.98650.99080.9926
SGI 0.5380.59430.731.02091.4841.74191.80471.55931.3261.1589
DEPI 1.01710.81941.42231.00670.95931.08110.6710.85170.91740.9214
SGAI 2.00831.77931.61771.18490.79640.68270.52680.56840.67480.7711
LVGI 0.91050.90460.77030.77970.78050.79070.9170.91630.91150.9262
TATA -0.0342-0.03620.07250.08150.07580.0733-0.0268-0.0379-0.0352-0.0278
M-score -2.46-2.50-1.93-1.88-1.71-1.61-2.12-2.35-2.51-2.53
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