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ITEEF (i3 Energy) Beneish M-Score : -3.65 (As of Oct. 31, 2024)


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What is i3 Energy Beneish M-Score?

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

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -3.65 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for i3 Energy's Beneish M-Score or its related term are showing as below:

ITEEF' s Beneish M-Score Range Over the Past 10 Years
Min: -3.65   Med: -2.73   Max: 1.7
Current: -3.65

During the past 10 years, the highest Beneish M-Score of i3 Energy was 1.70. The lowest was -3.65. And the median was -2.73.


i3 Energy Beneish M-Score Historical Data

The historical data trend for i3 Energy's Beneish M-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

i3 Energy Beneish M-Score Chart

i3 Energy Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 1.70 -2.73 -3.65

i3 Energy Semi-Annual Data
Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - -2.73 - -3.65 -

Competitive Comparison of i3 Energy's Beneish M-Score

For the Oil & Gas E&P subindustry, i3 Energy's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


i3 Energy's Beneish M-Score Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, i3 Energy's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where i3 Energy's Beneish M-Score falls into.



i3 Energy Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski 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 i3 Energy 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 * 0.8503+0.528 * 1.4063+0.404 * 0+0.892 * 0.7203+0.115 * 0.8285
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.5207+4.679 * -0.10885-0.327 * 0.8444
=-3.62

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Dec23) TTM:Last Year (Dec22) TTM:
Total Receivables was $26.0 Mil.
Revenue was $212.3 Mil.
Gross Profit was $49.1 Mil.
Total Current Assets was $60.5 Mil.
Total Assets was $400.8 Mil.
Property, Plant and Equipment(Net PPE) was $340.3 Mil.
Depreciation, Depletion and Amortization(DDA) was $48.4 Mil.
Selling, General, & Admin. Expense(SGA) was $5.5 Mil.
Total Current Liabilities was $57.0 Mil.
Long-Term Debt & Capital Lease Obligation was $26.0 Mil.
Net Income was $19.2 Mil.
Gross Profit was $0.0 Mil.
Cash Flow from Operations was $62.8 Mil.
Total Receivables was $42.4 Mil.
Revenue was $294.7 Mil.
Gross Profit was $95.8 Mil.
Total Current Assets was $66.5 Mil.
Total Assets was $430.2 Mil.
Property, Plant and Equipment(Net PPE) was $363.6 Mil.
Depreciation, Depletion and Amortization(DDA) was $41.8 Mil.
Selling, General, & Admin. Expense(SGA) was $5.0 Mil.
Total Current Liabilities was $105.6 Mil.
Long-Term Debt & Capital Lease Obligation was $0.0 Mil.




1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total 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)
=(25.992 / 212.292) / (42.44 / 294.728)
=0.122435 / 0.143997
=0.8503

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)
=(95.845 / 294.728) / (49.091 / 212.292)
=0.325198 / 0.231243
=1.4063

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 Property, Plant and Equipment to Total Assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (60.499 + 340.253) / 400.752) / (1 - (66.52 + 363.611) / 430.222)
=0 / 0.000212
=0

4. SGI = Sales Growth Index

Ratio of Revenue 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
=212.292 / 294.728
=0.7203

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization 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))
=(41.826 / (41.826 + 363.611)) / (48.395 / (48.395 + 340.253))
=0.103163 / 0.124521
=0.8285

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales 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)
=(5.49 / 212.292) / (5.012 / 294.728)
=0.025861 / 0.017006
=1.5207

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 in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((26.035 + 56.989) / 400.752) / ((0 + 105.552) / 430.222)
=0.207171 / 0.245343
=0.8444

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
=(19.173 - 0 - 62.795) / 400.752
=-0.10885

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

i3 Energy has a M-score of -3.62 suggests that the company is unlikely to be a manipulator.


i3 Energy Beneish M-Score Related Terms

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i3 Energy Business Description

Traded in Other Exchanges
Address
500-207, 9th Avenue S.W., Calgary, AB, CAN, T2P 1K3
i3 Energy PLC is an oil and gas company with low-cost, diversified, and growing production sites in the Western Canada Sedimentary Basin, Canada's hydrocarbon-rich region. The group has two operating segments which include UK / Corporate and Canada. The corporate segment engaged in the UK and oil and gas exploration, appraisal, and development on the UKCS. Canada segment engaged in oil and gas production in the WCSB. Geographically, it derives a majority of its revenue from Canada.