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Mobile Mini Inc (NAS:MINI)
Beneish M-Score
-2.85 (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 -2.85 suggests that the company is not a manipulator.

MINI' s Beneish M-Score Range Over the Past 10 Years
Min: -3.15   Max: 0.99
Current: -2.85

-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 -2.30.


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 * 0.8306+0.528 * 0.9855+0.404 * 1.0591+0.892 * 1.1915+0.115 * 0.6012
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9774+4.679 * -0.0739-0.327 * 1.0386
=-2.85

* 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 $80.2 Mil.
Revenue was 134.517 + 133.343 + 130.288 + 132.629 = $530.8 Mil.
Gross Profit was 129.745 + 128.977 + 124.888 + 128.432 = $512.0 Mil.
Total Current Assets was $97.4 Mil.
Total Assets was $1,979.2 Mil.
Property, Plant and Equipment(Net PPE) was $1,083.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $60.3 Mil.
Selling, General & Admin. Expense(SGA) was $327.2 Mil.
Total Current Liabilities was $755.8 Mil.
Long-Term Debt was $238.3 Mil.
Net Income was 9.505 + 13.979 + 9.416 + -27.326 = $5.6 Mil.
Non Operating Income was -0.931 + 0 + -0.002 + 0 = $-0.9 Mil.
Cash Flow from Operations was 39.093 + 42.82 + 32.429 + 38.472 = $152.8 Mil.
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 $1,200.2 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.



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)
=(80.191 / 530.777) / (81.031 / 445.474)
=0.15108228 / 0.18189838
=0.8306

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)
=(128.977 / 445.474) / (129.745 / 530.777)
=0.95074011 / 0.96470269
=0.9855

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 - (97.4 + 1083.01) / 1979.222) / (1 - (101.506 + 1200.231) / 2103.174)
=0.40359899 / 0.38106072
=1.0591

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
=530.777 / 445.474
=1.1915

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))
=(39.334 / (39.334 + 1200.231)) / (60.344 / (60.344 + 1083.01))
=0.0317321 / 0.05277805
=0.6012

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)
=(327.188 / 530.777) / (280.948 / 445.474)
=0.61643214 / 0.63067205
=0.9774

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)
=((238.274 + 755.818) / 1979.222) / ((224.918 + 792.178) / 2103.174)
=0.50226402 / 0.4836005
=1.0386

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
=(5.574 - -0.933 - 152.814) / 1979.222
=-0.0739

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 -2.85 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

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DSRI 1.07950.91451.26450.73811.18391.01531.00920.98691.39230.8306
GMI 1.01121.00550.99951.00150.99751.00670.98741.00160.98610.9873
AQI 1.19390.91959.24131.01671.00070.99571.00030.99290.42081.0591
SGI 1.31951.16441.30510.90140.88211.08711.0581.071.09591.1915
DEPI 0.98440.92250.09430.82791.05080.99310.99481.0529.29560.6012
SGAI 0.97051.02510.97431.00761.05311.03331.02721.01521.07910.9746
LVGI 0.78081.08581.29710.91280.94390.9330.91880.8761.32491.0386
TATA -0.0308-0.035-0.0386-0.0336-0.021-0.0311-0.0301-0.055-0.0362-0.0739
M-score -2.11-2.650.99-2.95-2.50-2.52-2.55-2.65-1.61-2.85

Mobile Mini Inc Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
DSRI 0.9340.98691.00671.02291.03721.39231.31531.19251.13620.8306
GMI 0.99721.00160.98770.98960.9880.98610.98810.98770.98720.9855
AQI 1.00010.99290.9940.99070.98730.42080.98680.98390.44771.0591
SGI 1.07291.071.05851.07181.07641.09591.15641.1871.21071.1915
DEPI 0.96541.0521.05061.09641.12789.29561.04340.96855.70660.6012
SGAI 0.97781.01521.09661.11991.10411.07911.01350.99440.99810.9774
LVGI 0.89730.8760.87670.8790.94631.32491.42441.38131.38851.0386
TATA -0.0564-0.055-0.0579-0.0416-0.0442-0.0362-0.0604-0.0673-0.0687-0.0739
M-score -2.71-2.65-2.67-2.57-2.58-1.61-2.48-2.59-2.30-2.85
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