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Mobile Mini Inc (NAS:MINI)
Beneish M-Score
-2.59 (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 -2.59 suggests that the company is not a manipulator.

MINI' s 10-Year Beneish M-Score Range
Min: -3.15   Max: 4.92
Current: -2.59

-3.15
4.92

During the past 13 years, the highest Beneish M-Score of Mobile Mini Inc was 4.92. The lowest was -3.15. And the median was -2.39.


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 * 1.1902+0.528 * 0.9884+0.404 * 0.9839+0.892 * 1.1893+0.115 * 0.9685
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9942+4.679 * -0.0673-0.327 * 1.3813
=-2.59

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

This Year (Jun15) TTM:Last Year (Jun14) TTM:
Accounts Receivable was $78.3 Mil.
Revenue was 130.288 + 132.629 + 123.215 + 113.322 = $499.5 Mil.
Gross Profit was 124.888 + 128.432 + 117.402 + 108.123 = $478.8 Mil.
Total Current Assets was $99.5 Mil.
Total Assets was $1,967.2 Mil.
Property, Plant and Equipment(Net PPE) was $120.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $51.0 Mil.
Selling, General & Admin. Expense(SGA) was $311.5 Mil.
Total Current Liabilities was $723.4 Mil.
Long-Term Debt was $229.5 Mil.
Net Income was 9.416 + -27.326 + 12.863 + 14.82 = $9.8 Mil.
Non Operating Income was -0.002 + 0 + 0 + 0 = $-0.0 Mil.
Cash Flow from Operations was 32.429 + 38.472 + 32.867 + 38.473 = $142.2 Mil.
Accounts Receivable was $55.3 Mil.
Revenue was 106.533 + 102.404 + 105.536 + 105.487 = $420.0 Mil.
Gross Profit was 101.154 + 96.851 + 100.566 + 99.396 = $398.0 Mil.
Total Current Assets was $74.6 Mil.
Total Assets was $1,693.5 Mil.
Property, Plant and Equipment(Net PPE) was $90.2 Mil.
Depreciation, Depletion and Amortization(DDA) was $36.4 Mil.
Selling, General & Admin. Expense(SGA) was $263.5 Mil.
Total Current Liabilities was $378.6 Mil.
Long-Term Debt was $215.3 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)
=(78.265 / 499.454) / (55.291 / 419.96)
=0.15670112 / 0.13165778
=1.1902

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)
=(128.432 / 419.96) / (124.888 / 499.454)
=0.94763073 / 0.95873694
=0.9884

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 - (99.456 + 120.524) / 1967.192) / (1 - (74.619 + 90.155) / 1693.474)
=0.88817563 / 0.9027006
=0.9839

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
=499.454 / 419.96
=1.1893

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))
=(36.432 / (36.432 + 90.155)) / (50.961 / (50.961 + 120.524))
=0.28780206 / 0.29717468
=0.9685

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)
=(311.529 / 499.454) / (263.462 / 419.96)
=0.62373912 / 0.62735022
=0.9942

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)
=((229.539 + 723.398) / 1967.192) / ((215.302 + 378.596) / 1693.474)
=0.48441484 / 0.35069803
=1.3813

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
=(9.773 - -0.002 - 142.241) / 1967.192
=-0.0673

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 -2.59 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 1.03751.07950.91451.26450.73811.18231.00171.02770.98351.3923
GMI 0.98411.01121.00550.99951.00150.99741.00840.98681.00070.9861
AQI 0.10091.19390.91959.24131.01671.00070.99570.99960.99360.9915
SGI 1.23071.31951.16441.30510.90140.88331.10181.04621.06621.0959
DEPI 11.48930.98440.92250.09430.82791.03031.01280.99811.04851.1437
SGAI 0.97890.97051.02510.97431.00761.05151.02981.03311.01441.0791
LVGI 0.80840.78081.08581.29710.91280.94390.91980.93230.87571.3249
TATA -0.0545-0.0308-0.035-0.0386-0.0336-0.0208-0.0303-0.0301-0.055-0.0362
M-score -1.59-2.11-2.650.99-2.95-2.50-2.50-2.55-2.65-2.32

Mobile Mini Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
DSRI 1.03251.0190.95090.98351.01451.03031.0421.39231.31391.1902
GMI 0.99410.99320.99831.00070.9860.98720.98460.98610.98860.9884
AQI 0.99811.0011.00010.99360.9940.99070.98730.99150.98680.9839
SGI 1.0591.05771.05381.06621.05031.06411.07151.09591.15761.1893
DEPI 0.9980.96060.96541.04851.04981.09471.12781.14371.04340.9685
SGAI 0.98580.96810.9841.01441.09871.12041.10321.07911.01350.9942
LVGI 0.91330.9160.89730.87570.87670.8790.94631.32491.42441.3813
TATA -0.0311-0.0515-0.0567-0.055-0.0579-0.0416-0.0442-0.0362-0.0604-0.0673
M-score -2.52-2.63-2.71-2.65-2.67-2.57-2.58-2.32-2.48-2.59
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