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United States Lime & Minerals, Inc. (NAS:USLM)
Beneish M-Score
-3.01 (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 -3.01 suggests that the company is not a manipulator.

USLM' s 10-Year Beneish M-Score Range
Min: -3.19   Max: -2.14
Current: -3.01

-3.19
-2.14

During the past 13 years, the highest Beneish M-Score of United States Lime & Minerals, Inc. was -2.14. The lowest was -3.19. And the median was -2.86.


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 * 1.0032+0.528 * 1.033+0.404 * 0.7396+0.892 * 0.9656+0.115 * 0.9886
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.029+4.679 * -0.1001-0.327 * 0.8232
=-3.01

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

This Year (Dec13) TTM:Last Year (Dec12) TTM:
Accounts Receivable was $14.1 Mil.
Revenue was 30.109 + 36.899 + 35.172 + 31.585 = $133.8 Mil.
Gross Profit was 6.435 + 9.11 + 12.563 + 9.944 = $38.1 Mil.
Total Current Assets was $78.8 Mil.
Total Assets was $187.5 Mil.
Property, Plant and Equipment(Net PPE) was $108.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $14.5 Mil.
Selling, General & Admin. Expense(SGA) was $8.9 Mil.
Total Current Liabilities was $14.3 Mil.
Long-Term Debt was $16.7 Mil.
Net Income was 2.629 + 4.789 + 4.626 + 2.757 = $14.8 Mil.
Non Operating Income was 0.019 + -0.059 + 0.036 + 0.039 = $0.0 Mil.
Cash Flow from Operations was 9.365 + 11.667 + 7.11 + 5.39 = $33.5 Mil.
Accounts Receivable was $14.6 Mil.
Revenue was 31.883 + 34.116 + 36.498 + 36.028 = $138.5 Mil.
Gross Profit was 8.123 + 7.759 + 12.054 + 12.771 = $40.7 Mil.
Total Current Assets was $60.0 Mil.
Total Assets was $174.2 Mil.
Property, Plant and Equipment(Net PPE) was $114.0 Mil.
Depreciation, Depletion and Amortization(DDA) was $15.0 Mil.
Selling, General & Admin. Expense(SGA) was $9.0 Mil.
Total Current Liabilities was $13.3 Mil.
Long-Term Debt was $21.7 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)
=(14.097 / 133.765) / (14.552 / 138.525)
=0.10538631 / 0.10504963
=1.0032

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)
=(9.11 / 138.525) / (6.435 / 133.765)
=0.29386031 / 0.28446903
=1.033

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 - (78.844 + 108.487) / 187.526) / (1 - (59.959 + 114.042) / 174.246)
=0.00103986 / 0.00140606
=0.7396

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
=133.765 / 138.525
=0.9656

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))
=(15.044 / (15.044 + 114.042)) / (14.498 / (14.498 + 108.487))
=0.11654246 / 0.11788429
=0.9886

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)
=(8.942 / 133.765) / (8.999 / 138.525)
=0.06684858 / 0.064963
=1.029

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)
=((16.667 + 14.348) / 187.526) / ((21.667 + 13.34) / 174.246)
=0.1653904 / 0.20090562
=0.8232

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
=(14.801 - 0.035 - 33.532) / 187.526
=-0.1001

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 -3.01 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

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
DSRI 1.27821.04790.84390.83070.85970.96041.06381.15971.1251.0032
GMI 0.95890.93730.88590.85550.96140.98681.08731.10421.0121.033
AQI 0.74660.74950.93890.96380.93380.94550.76330.75230.75190.7396
SGI 1.05011.07531.10221.10881.01350.97150.92120.91430.96720.9656
DEPI 0.90220.95410.95380.93970.92740.87530.87940.90480.93540.9886
SGAI 1.04070.99791.00521.011.02591.06931.10171.07641.05711.029
LVGI 0.84210.83631.03991.05251.0350.95580.80810.79830.77990.8232
TATA -0.0772-0.081-0.1105-0.105-0.0993-0.0877-0.087-0.0728-0.0805-0.1001
M-score -2.63-2.83-3.15-3.15-3.13-2.99-2.92-2.75-2.81-3.01
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