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China Yuchai International Ltd (NYSE:CYD)
Beneish M-Score
0.00 (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.

China Yuchai International Ltd has a M-score of signals that the company is a manipulator.

During the past 13 years, the highest Beneish M-Score of China Yuchai International Ltd was -1.15. The lowest was -3.63. And the median was -2.28.


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 China Yuchai International Ltd 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 * +0.528 * +0.404 * +0.892 * +0.115 *
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * +4.679 * -0.327 *
=

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

This Year (Dec15) TTM:Last Year (Dec14) TTM:
Accounts Receivable was $60 Mil.
Revenue was 453.776651006 + 471.932910359 + 664.266099401 + 589.876254288 = $2,180 Mil.
Gross Profit was 107.323502504 + 92.1592122621 + 134.9141043 + 108.105985317 = $443 Mil.
Total Current Assets was $2,034 Mil.
Total Assets was $2,918 Mil.
Property, Plant and Equipment(Net PPE) was $671 Mil.
Depreciation, Depletion and Amortization(DDA) was $0 Mil.
Selling, General & Admin. Expense(SGA) was $237 Mil.
Total Current Liabilities was $1,357 Mil.
Long-Term Debt was $9 Mil.
Net Income was 9.14918360701 + 0.0548087191406 + 28.4277702572 + 16.8876029878 = $55 Mil.
Non Operating Income was 1.78024840675 + -0.930963000188 + -1.04928124799 + -1.08293527394 = $-1 Mil.
Cash Flow from Operations was 0 + 0 + 0 + 0 = $0 Mil.
Accounts Receivable was $64 Mil.
Revenue was 633.567365802 + 611.284904369 + 676.066189452 + 737.203952697 = $2,658 Mil.
Gross Profit was 156.754839544 + 116.598677137 + 131.101017559 + 127.709865543 = $532 Mil.
Total Current Assets was $2,085 Mil.
Total Assets was $3,034 Mil.
Property, Plant and Equipment(Net PPE) was $721 Mil.
Depreciation, Depletion and Amortization(DDA) was $0 Mil.
Selling, General & Admin. Expense(SGA) was $259 Mil.
Total Current Liabilities was $1,289 Mil.
Long-Term Debt was $174 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)
=(59.8224558466 / 2179.85191505) / (63.7887405875 / 2658.12241232)
=0.02744336 / 0.02399767
=

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)
=(92.1592122621 / 2658.12241232) / (107.323502504 / 2179.85191505)
=0.20020312 / 0.20299673
=

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 - (2034.1278628 + 671.340807244) / 2917.55469755) / (1 - (2084.76989949 + 720.816016547) / 3033.5352099)
=0.07269308 / 0.07514312
=

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
=2179.85191505 / 2658.12241232
=

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))
=(0 / (0 + 720.816016547)) / (0 / (0 + 671.340807244))
=0 / 0
=

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)
=(236.981902638 / 2179.85191505) / (258.582207945 / 2658.12241232)
=0.10871468 / 0.09728002
=

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)
=((8.76230791893 + 1357.07013382) / 2917.55469755) / ((174.145364056 + 1288.79908218) / 3033.5352099)
=0.46814287 / 0.48225728
=

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
=(54.5193655712 - -1.28293111536 - 0) / 2917.55469755
=0.0191

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.

China Yuchai International Ltd has a M-score of signals that the company is likely to 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 own currency.

China Yuchai International Ltd Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 1.08831.51970.75160.77831.37321.77380.06340.88160.92751.1696
GMI 1.21540.90331.15950.90840.78121.10971.04091.04291.02540.9854
AQI 2.39010.82270.69450.89570.9780.7991.01851.07560.87770.9674
SGI 1.39281.37831.09291.27371.26310.99820.88691.21331.01440.8018
DEPI 1.06650.73730.97461.02021.12951.04040.96640.90180.99590.9005
SGAI 0.66720.85941.0071.11411.00670.96811.00740.88890.99781.1213
LVGI 1.15640.99510.94321.07590.97221.05380.90950.99510.90330.9707
TATA -0.06180.0446-0.0388-0.2654-0.01810.1389-0.05070.00980.0091-0.0711
M-score -1.65-1.58-2.83-3.81-2.09-1.15-3.63-2.29-2.50-2.88

China Yuchai International Ltd Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
DSRI
GMI
AQI
SGI
DEPI
SGAI
LVGI
TATA
M-score
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