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Jeju Beer Co (XKRX:276730) Beneish M-Score : -3.01 (As of May. 28, 2024)


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What is Jeju Beer Co 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 -3.01 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

XKRX:276730' s Beneish M-Score Range Over the Past 10 Years
Min: -3.65   Med: -3.09   Max: -2.25
Current: -3.01

During the past 4 years, the highest Beneish M-Score of Jeju Beer Co was -2.25. The lowest was -3.65. And the median was -3.09.


Jeju Beer Co Beneish M-Score Historical Data

The historical data trend for Jeju Beer Co'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.

* Premium members only.

Jeju Beer Co Beneish M-Score Chart

Jeju Beer Co Annual Data
Trend Dec19 Dec20 Dec21 Dec22
Beneish M-Score
- - - -3.28

Jeju Beer Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -3.28 -3.16 -3.65 -2.53 -3.01

Competitive Comparison of Jeju Beer Co's Beneish M-Score

For the Beverages - Brewers subindustry, Jeju Beer Co'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.


Jeju Beer Co's Beneish M-Score Distribution in the Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Jeju Beer Co's Beneish M-Score distribution charts can be found below:

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



Jeju Beer Co 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 Jeju Beer Co 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 * 0.9854+0.528 * 0.7105+0.404 * 1.5534+0.892 * 1.0212+0.115 * 1.4066
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0558+4.679 * -0.125203-0.327 * 1.3039
=-3.05

* 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 (Mar24) TTM:Last Year (Mar23) TTM:
Total Receivables was ₩1,964 Mil.
Revenue was 5029.802 + 5499.069 + 6476.727 + 5787.992 = ₩22,794 Mil.
Gross Profit was 1782.473 + 2027.083 + 2209.755 + 1195.393 = ₩7,215 Mil.
Total Current Assets was ₩18,862 Mil.
Total Assets was ₩50,856 Mil.
Property, Plant and Equipment(Net PPE) was ₩19,404 Mil.
Depreciation, Depletion and Amortization(DDA) was ₩1,645 Mil.
Selling, General, & Admin. Expense(SGA) was ₩10,112 Mil.
Total Current Liabilities was ₩26,261 Mil.
Long-Term Debt & Capital Lease Obligation was ₩2,536 Mil.
Net Income was -1018.357 + -3734.773 + -1634.537 + -5214.78 = ₩-11,602 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ₩0 Mil.
Cash Flow from Operations was 1300.944 + -2870.158 + -2564.939 + -1100.92 = ₩-5,235 Mil.
Total Receivables was ₩1,952 Mil.
Revenue was 4685.748 + 4752.309 + 6409.109 + 6474.296 = ₩22,321 Mil.
Gross Profit was 1479.276 + 437.112 + 1368.731 + 1734.772 = ₩5,020 Mil.
Total Current Assets was ₩28,284 Mil.
Total Assets was ₩59,191 Mil.
Property, Plant and Equipment(Net PPE) was ₩21,474 Mil.
Depreciation, Depletion and Amortization(DDA) was ₩2,652 Mil.
Selling, General, & Admin. Expense(SGA) was ₩9,379 Mil.
Total Current Liabilities was ₩17,757 Mil.
Long-Term Debt & Capital Lease Obligation was ₩7,947 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)
=(1964.411 / 22793.59) / (1952.333 / 22321.462)
=0.086183 / 0.087464
=0.9854

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)
=(5019.891 / 22321.462) / (7214.704 / 22793.59)
=0.224891 / 0.316523
=0.7105

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 - (18861.864 + 19404.042) / 50856.459) / (1 - (28284.12 + 21473.585) / 59191.268)
=0.24757 / 0.159374
=1.5534

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
=22793.59 / 22321.462
=1.0212

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))
=(2651.836 / (2651.836 + 21473.585)) / (1644.863 / (1644.863 + 19404.042))
=0.109919 / 0.078145
=1.4066

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)
=(10112.157 / 22793.59) / (9378.931 / 22321.462)
=0.44364 / 0.420175
=1.0558

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)
=((2536.101 + 26260.964) / 50856.459) / ((7947.261 + 17756.784) / 59191.268)
=0.566242 / 0.434254
=1.3039

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
=(-11602.447 - 0 - -5235.073) / 50856.459
=-0.125203

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.

Jeju Beer Co has a M-score of -3.05 suggests that the company is unlikely to be a manipulator.


Jeju Beer Co Beneish M-Score Related Terms

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Jeju Beer Co (XKRX:276730) Business Description

Traded in Other Exchanges
N/A
Address
Agricultural Road 62-11, 228 Dong Dong, 38 Building, 6th Floor, Jung-gu, Seoul, KOR
Jeju Beer Co Ltd is engaged in the alcoholic beverage manufacturing industry.

Jeju Beer Co (XKRX:276730) Headlines

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