Alta (WAR:AAT) Beneish M-Score : -2.21 (As of May. 25, 2024)

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What is Alta Beneish M-Score?

The zones of discrimination for M-Score is as such:

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.

Good Sign:

Beneish M-Score -2.21 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Alta's Beneish M-Score or its related term are showing as below:

WAR:AAT' s Beneish M-Score Range Over the Past 10 Years
Min: -4.11 Med: -2.23 Max: 15.32
Current: -2.21

During the past 13 years, the highest Beneish M-Score of Alta was 15.32. The lowest was -4.11. And the median was -2.23.

Alta Beneish M-Score Historical Data

The historical data trend for Alta'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.

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Alta Beneish M-Score Chart

Alta Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Beneish M-Score

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-3.27

15.32

-4.11

-2.25

-2.21

Alta Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Beneish M-Score	Get a 7-Day Free Trial															-2.25	-2.69	-3.28	-2.17	-2.21

Competitive Comparison of Alta's Beneish M-Score

For the Asset Management subindustry, Alta'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.

Alta's Beneish M-Score Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Alta's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Alta's Beneish M-Score falls into.

Alta 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 Alta for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 0.4451

0.528 * 0.733

0.404 * 1.0179

0.892 * 1.6561

0.115 * 1.2145

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.4314

4.679 * 0.046534

0.327 * 1.0331

-2.21

This Year (Dec23) TTM:

Last Year (Dec22) TTM:

Total Receivables was zł8.65 Mil.
Revenue was 10.334 + 1.253 + -0.962 + 0.133 = zł10.76 Mil.
Gross Profit was 9.861 + 0.85 + -1.294 + -0.213 = zł9.20 Mil.
Total Current Assets was zł8.86 Mil.
Total Assets was zł205.36 Mil.
Property, Plant and Equipment(Net PPE) was zł0.07 Mil.
Depreciation, Depletion and Amortization(DDA) was zł0.02 Mil.
Selling, General, & Admin. Expense(SGA) was zł0.52 Mil.
Total Current Liabilities was zł0.66 Mil.
Long-Term Debt & Capital Lease Obligation was zł0.00 Mil.
Net Income was 10.218 + -0.524 + -1.632 + -0.477 = zł7.59 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = zł0.00 Mil.
Cash Flow from Operations was -1.15 + -0.185 + -0.15 + -0.486 = zł-1.97 Mil.

Total Receivables was zł11.74 Mil.
Revenue was 6.045 + 0.602 + -0.3 + 0.149 = zł6.50 Mil.
Gross Profit was 4.859 + 0.28 + -0.921 + -0.144 = zł4.07 Mil.
Total Current Assets was zł11.85 Mil.
Total Assets was zł197.68 Mil.
Property, Plant and Equipment(Net PPE) was zł0.07 Mil.
Depreciation, Depletion and Amortization(DDA) was zł0.03 Mil.
Selling, General, & Admin. Expense(SGA) was zł0.73 Mil.
Total Current Liabilities was zł0.62 Mil.
Long-Term Debt & Capital Lease Obligation was zł0.00 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)
	=	(8.654 / 10.758)	/	(11.74 / 6.496)
	=	0.804425	/	1.807266
	=	0.4451

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)
	=	(4.074 / 6.496)	/	(9.204 / 10.758)
	=	0.627155	/	0.855549
	=	0.733

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 - (8.863 + 0.068) / 205.356)	/	(1 - (11.852 + 0.069) / 197.675)
	=	0.95651	/	0.939694
	=	1.0179

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
	=	10.758	/	6.496
	=	1.6561

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))
	=	(0.032 / (0.032 + 0.069))	/	(0.024 / (0.024 + 0.068))
	=	0.316832	/	0.26087
	=	1.2145

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)
	=	(0.518 / 10.758)	/	(0.725 / 6.496)
	=	0.04815	/	0.111607
	=	0.4314

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)
	=	((0 + 0.661) / 205.356)	/	((0 + 0.616) / 197.675)
	=	0.003219	/	0.003116
	=	1.0331

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
	=	(7.585 - 0	-	-1.971)	/	205.356
	=	0.046534

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.

Alta has a M-score of -2.21 suggests that the company is unlikely to be a manipulator.

Alta Beneish M-Score Related Terms

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Alta (WAR:AAT) Business Description

Industry

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Traded in Other Exchanges

N/A

Address

ul. Zielna 37, Warsawa, POL, 00108

Website

http://www.altasa.pl

Alta SA is an investment company. The company, through its subsidiaries, is involved in the real estate, logistics, construction, marina, and clothing businesses in Poland. The company possesses a portfolio of properties: logistics and retail properties, as well as office buildings, all situated in various locations of the country. The investment Popularna 38, is a homely residential building situated in Wlochy, a district of Warsaw.