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Mobile Mini Inc (NAS:MINI)
Beneish M-Score
-2.32 (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.

Mobile Mini Inc has a M-score of -2.32 suggests that the company is not a manipulator.

MINI' s 10-Year Beneish M-Score Range
Min: -3.15   Max: 0.99
Current: -2.32

-3.15
0.99

During the past 13 years, the highest Beneish M-Score of Mobile Mini Inc was 0.99. The lowest was -3.15. And the median was -2.31.


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 Mobile Mini 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 * 1.3923+0.528 * 0.9861+0.404 * 0.9915+0.892 * 1.0959+0.115 * 1.1437
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0791+4.679 * -0.0362-0.327 * 1.3249
=-2.32

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

This Year (Dec14) TTM:Last Year (Dec13) TTM:
Accounts Receivable was $81.0 Mil.
Revenue was 123.215 + 113.322 + 106.533 + 102.404 = $445.5 Mil.
Gross Profit was 117.402 + 108.123 + 101.154 + 96.851 = $423.5 Mil.
Total Current Assets was $101.5 Mil.
Total Assets was $2,103.2 Mil.
Property, Plant and Equipment(Net PPE) was $113.2 Mil.
Depreciation, Depletion and Amortization(DDA) was $39.3 Mil.
Selling, General & Admin. Expense(SGA) was $280.9 Mil.
Total Current Liabilities was $792.2 Mil.
Long-Term Debt was $224.9 Mil.
Net Income was 12.863 + 14.82 + 9.263 + 7.44 = $44.4 Mil.
Non Operating Income was 0 + 0 + 0 + -0.001 = $-0.0 Mil.
Cash Flow from Operations was 32.867 + 38.473 + 22.473 + 26.812 = $120.6 Mil.
Accounts Receivable was $53.1 Mil.
Revenue was 106.799 + 105.04 + 97.135 + 97.512 = $406.5 Mil.
Gross Profit was 101.327 + 99.104 + 91.617 + 89.025 = $381.1 Mil.
Total Current Assets was $73.1 Mil.
Total Assets was $1,677.4 Mil.
Property, Plant and Equipment(Net PPE) was $85.2 Mil.
Depreciation, Depletion and Amortization(DDA) was $35.6 Mil.
Selling, General & Admin. Expense(SGA) was $237.6 Mil.
Total Current Liabilities was $403.5 Mil.
Long-Term Debt was $208.8 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)
=(81.031 / 445.474) / (53.104 / 406.486)
=0.18189838 / 0.13064165
=1.3923

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)
=(108.123 / 406.486) / (117.402 / 445.474)
=0.93748124 / 0.95074011
=0.9861

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 - (101.506 + 113.175) / 2103.174) / (1 - (73.104 + 85.153) / 1677.374)
=0.89792523 / 0.90565193
=0.9915

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
=445.474 / 406.486
=1.0959

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))
=(35.626 / (35.626 + 85.153)) / (39.334 / (39.334 + 113.175))
=0.2949685 / 0.25791265
=1.1437

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)
=(280.948 / 445.474) / (237.567 / 406.486)
=0.63067205 / 0.58444079
=1.0791

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)
=((224.918 + 792.178) / 2103.174) / ((208.781 + 403.484) / 1677.374)
=0.4836005 / 0.365014
=1.3249

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
=(44.386 - -0.001 - 120.625) / 2103.174
=-0.0362

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.

Mobile Mini Inc has a M-score of -2.32 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 own currency.

Mobile Mini Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
DSRI 1.03751.07950.91451.26450.73811.18391.0091.01550.98691.3923
GMI 0.98411.01121.00550.99951.00150.99751.0090.98521.00160.9861
AQI 0.10091.19390.91959.24131.01671.00070.99571.00030.99290.9915
SGI 1.23071.31951.16441.30510.90140.88211.09391.05141.071.0959
DEPI 11.48930.98440.92250.09430.82791.05080.99310.99481.0521.1437
SGAI 0.97890.97051.02510.97431.00761.05311.03391.02661.01521.0791
LVGI 0.80840.78081.08581.29710.91280.94390.9330.91880.8761.3249
TATA -0.0545-0.0308-0.035-0.0386-0.0336-0.021-0.0311-0.0301-0.055-0.0362
M-score -1.59-2.11-2.650.99-2.95-2.50-2.52-2.55-2.65-2.32

Mobile Mini Inc Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
DSRI 1.06081.01551.0331.01560.93960.98691.00671.02291.03721.3923
GMI 0.98840.98520.99240.99080.9951.00160.98770.98960.9880.9861
AQI 0.99511.00030.99811.0011.00010.99290.9940.99070.98730.9915
SGI 1.05141.05141.05841.06131.06651.071.05851.07181.07641.0959
DEPI 1.00680.99480.99690.95740.96541.0521.05061.09641.12781.1437
SGAI 1.05411.02660.98490.96420.97751.01521.09661.11991.10411.0791
LVGI 0.92980.91880.91330.9160.89730.8760.87670.8790.94631.3249
TATA -0.0249-0.0301-0.0315-0.0516-0.0564-0.055-0.0579-0.0416-0.0442-0.0362
M-score -2.49-2.55-2.52-2.63-2.71-2.65-2.67-2.57-2.58-2.32
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