Virtusa Beneish M-Score Historical Data
The historical data trend for Virtusa's Beneish M-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Virtusa Beneish M-Score Chart
|
Virtusa Annual Data
|
|
Trend |
Mar11 |
Mar12 |
Mar13 |
Mar14 |
Mar15 |
Mar16 |
Mar17 |
Mar18 |
Mar19 |
Mar20 |
| Beneish M-Score |
|
Get a 7-Day Free Trial
|
|
|
-2.08 |
-2.35 |
-2.71 |
-2.59 |
-2.59 |
|
Virtusa Quarterly Data
|
|
Mar16 |
Jun16 |
Sep16 |
Dec16 |
Mar17 |
Jun17 |
Sep17 |
Dec17 |
Mar18 |
Jun18 |
Sep18 |
Dec18 |
Mar19 |
Jun19 |
Sep19 |
Dec19 |
Mar20 |
Jun20 |
Sep20 |
Dec20 |
| Beneish M-Score |
Get a 7-Day Free Trial
|
|
|
|
|
|
|
|
|
|
|
|
|
-2.59 |
-2.59 |
-2.76 |
-2.96 |
-2.93 |
Competitive Comparison of Virtusa's Beneish M-Score
For the Information Technology Services subindustry, Virtusa's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Virtusa's Beneish M-Score Distribution in the Software Industry
For the Software industry and Technology sector, Virtusa's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Virtusa's Beneish M-Score falls into.
Virtusa Beneish M-Score Calculation
The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski 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 Virtusa 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 * 0.8672 | + | 0.528 * 1.054 | + | 0.404 * 0.9943 | + | 0.892 * 0.9876 | + | 0.115 * 0.8109 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 0.9567 | + | 4.679 * -0.089208 | - | 0.327 * 0.9611 |
| = | -3.01 |
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
| This Year (Dec20) TTM: | Last Year (Dec19) TTM: |
Total Receivables was $220 Mil.
Revenue was 346.1 + 317.188 + 301.064 + 329.651 = $1,294 Mil.
Gross Profit was 113.958 + 84.018 + 68.604 + 80.254 = $347 Mil.
Total Current Assets was $663 Mil.
Total Assets was $1,280 Mil.
Property, Plant and Equipment(Net PPE) was $138 Mil.
Depreciation, Depletion and Amortization(DDA) was $35 Mil.
Selling, General, & Admin. Expense(SGA) was $268 Mil.
Total Current Liabilities was $264 Mil.
Long-Term Debt & Capital Lease Obligation was $393 Mil.
Net Income was 25.447 + 8.769 + 0.894 + 22.246 = $57 Mil.
Non Operating Income was 0.729 + 5.333 + -0.934 + -10.434 = $-5 Mil.
Cash Flow from Operations was 65.942 + 49.442 + 56.032 + 5.44 = $177 Mil.
|
Total Receivables was $257 Mil.
Revenue was 335.107 + 328.501 + 319.024 + 327.631 = $1,310 Mil.
Gross Profit was 98.68 + 89.917 + 84.289 + 97.267 = $370 Mil.
Total Current Assets was $581 Mil.
Total Assets was $1,186 Mil.
Property, Plant and Equipment(Net PPE) was $159 Mil.
Depreciation, Depletion and Amortization(DDA) was $31 Mil.
Selling, General, & Admin. Expense(SGA) was $284 Mil.
Total Current Liabilities was $214 Mil.
Long-Term Debt & Capital Lease Obligation was $419 Mil.
|
1. DSRI = Days Sales in Receivables Index
Measured as the ratio of Revenue in Total 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) |
| = | (219.693 / 1294.003) | / | (256.516 / 1310.263) |
| = | 0.169778 | / | 0.195774 |
| | = | 0.8672 |
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) |
| = | (370.153 / 1310.263) | / | (346.834 / 1294.003) |
| = | 0.282503 | / | 0.268032 |
| | = | 1.054 |
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 Property, Plant and Equipment to Total Assets.
| AQI | = | (1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) | / | (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1) |
| = | (1 - (662.778 + 138.364) / 1280.093) | / | (1 - (580.598 + 159.092) / 1185.958) |
| = | 0.374153 | / | 0.376293 |
| | = | 0.9943 |
4. SGI = Sales Growth Index
Ratio of Revenue 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 |
| = | 1294.003 | / | 1310.263 |
| | = | 0.9876 |
5. DEPI = Depreciation Index
Measured as the ratio of the rate of Depreciation, Depletion and Amortization 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)) |
| = | (30.977 / (30.977 + 159.092)) | / | (34.803 / (34.803 + 138.364)) |
| = | 0.162978 | / | 0.200979 |
| | = | 0.8109 |
Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.
6. SGAI = Sales, General and Administrative expenses Index
The ratio of Selling, General, & Admin. Expense(SGA) to Sales 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) |
| = | (268.363 / 1294.003) | / | (284.04 / 1310.263) |
| = | 0.20739 | / | 0.216781 |
| | = | 0.9567 |
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 in leverage
| LVGI | = | ((LTD_t + CurrentLiabilities_t) / TotalAssets_t) | / | ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1) |
| = | ((392.909 + 263.999) / 1280.093) | / | ((419.173 + 214.05) / 1185.958) |
| = | 0.513172 | / | 0.533934 |
| | = | 0.9611 |
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 |
| = | (57.356 - -5.306 | - | 176.856) | / | 1280.093 |
| | = | -0.089208 |
An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.
Virtusa has a M-score of -3.01 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
VRTU has been successfully added to your