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United States Lime & Minerals Inc (NAS:USLM)
Beneish M-Score
-2.77 (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.

United States Lime & Minerals Inc has a M-score of -2.77 suggests that the company is not a manipulator.

USLM' s 10-Year Beneish M-Score Range
Min: -3.86   Max: -2.07
Current: -2.77

-3.86
-2.07

During the past 13 years, the highest Beneish M-Score of United States Lime & Minerals Inc was -2.07. The lowest was -3.86. And the median was -2.81.


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 United States Lime & Minerals 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 * 1.039+0.528 * 0.9806+0.404 * 0.7272+0.892 * 1.0665+0.115 * 0.9837
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9691+4.679 * -0.073-0.327 * 0.7674
=-2.77

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

This Year (Sep14) TTM:Last Year (Sep13) TTM:
Accounts Receivable was $19.7 Mil.
Revenue was 39.073 + 38.676 + 36.691 + 30.109 = $144.5 Mil.
Gross Profit was 9.883 + 10.423 + 8.592 + 6.435 = $35.3 Mil.
Total Current Assets was $92.2 Mil.
Total Assets was $198.0 Mil.
Property, Plant and Equipment(Net PPE) was $105.6 Mil.
Depreciation, Depletion and Amortization(DDA) was $14.6 Mil.
Selling, General & Admin. Expense(SGA) was $9.3 Mil.
Total Current Liabilities was $13.9 Mil.
Long-Term Debt was $12.9 Mil.
Net Income was 5.426 + 5.718 + 4.492 + 2.629 = $18.3 Mil.
Non Operating Income was -0.01 + 0.055 + -0.002 + 0.019 = $0.1 Mil.
Cash Flow from Operations was 7.348 + 12.141 + 3.797 + 9.365 = $32.7 Mil.
Accounts Receivable was $17.8 Mil.
Revenue was 36.899 + 35.172 + 31.585 + 31.883 = $135.5 Mil.
Gross Profit was 9.11 + 8.964 + 6.291 + 8.123 = $32.5 Mil.
Total Current Assets was $76.3 Mil.
Total Assets was $186.0 Mil.
Property, Plant and Equipment(Net PPE) was $109.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $14.8 Mil.
Selling, General & Admin. Expense(SGA) was $9.0 Mil.
Total Current Liabilities was $14.9 Mil.
Long-Term Debt was $17.9 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)
=(19.687 / 144.549) / (17.767 / 135.539)
=0.13619603 / 0.13108404
=1.039

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)
=(10.423 / 135.539) / (9.883 / 144.549)
=0.23969485 / 0.24443614
=0.9806

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 - (92.189 + 105.645) / 197.995) / (1 - (76.291 + 109.518) / 186.017)
=0.00081315 / 0.00111818
=0.7272

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
=144.549 / 135.539
=1.0665

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))
=(14.836 / (14.836 + 109.518)) / (14.581 / (14.581 + 105.645))
=0.11930457 / 0.12127992
=0.9837

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)
=(9.281 / 144.549) / (8.98 / 135.539)
=0.0642066 / 0.06625399
=0.9691

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)
=((12.917 + 13.906) / 197.995) / ((17.917 + 14.921) / 186.017)
=0.13547312 / 0.17653225
=0.7674

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
=(18.265 - 0.062 - 32.651) / 197.995
=-0.073

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.

United States Lime & Minerals Inc has a M-score of -2.77 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.

United States Lime & Minerals Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
DSRI 0.86421.05420.78190.96290.96511.11890.91631.04790.96041.0032
GMI 1.77231.00041.01111.13710.94530.89670.90160.93731.20141.0483
AQI 0.27671.41580.69140.48460.77220.65540.83270.74950.94550.7396
SGI 1.5741.13831.46381.05521.13670.82421.13011.07530.97150.9656
DEPI 0.83831.21541.080.81730.98890.96220.9590.95410.87530.9886
SGAI 0.71350.96250.86761.0330.86621.19380.96460.99791.06931.029
LVGI 0.89391.00830.99090.87640.84540.81490.81880.83630.95580.8232
TATA -0.1011-0.0757-0.0869-0.0903-0.0656-0.1045-0.0862-0.081-0.0877-0.1001
M-score -2.39-2.46-2.76-3.01-2.75-3.19-2.90-2.83-2.88-3.00

United States Lime & Minerals Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
DSRI 0.83070.85970.96041.06381.15971.1251.00321.08380.93311.039
GMI 1.01461.16511.20141.24151.14791.02151.04830.95510.96620.9806
AQI 0.96380.93380.94550.76330.75230.75190.73960.73990.73240.7272
SGI 1.10881.01350.97150.92120.91430.96720.96561.03571.07251.0665
DEPI 0.93970.92740.87530.87940.90480.93540.98861.01030.99780.9837
SGAI 1.011.02591.06931.10171.07641.05711.0290.9770.95910.9691
LVGI 1.05251.0350.95580.80810.79830.77990.82320.74680.74120.7674
TATA -0.105-0.0993-0.0877-0.087-0.0728-0.0805-0.1001-0.0815-0.1003-0.073
M-score -3.06-3.03-2.88-2.84-2.73-2.81-3.00-2.79-2.98-2.77
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