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PRO DV AG (XTER:PDA0) Beneish M-Score : -1.40 (As of Oct. 31, 2024)


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What is PRO DV AG 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.

Warning Sign:

Beneish M-Score -1.4 higher than -1.78, which implies that the company might have manipulated its financial results.

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

XTER:PDA0' s Beneish M-Score Range Over the Past 10 Years
Min: -2.81   Med: -1.41   Max: 150.6
Current: -1.4

During the past 13 years, the highest Beneish M-Score of PRO DV AG was 150.60. The lowest was -2.81. And the median was -1.41.


PRO DV AG Beneish M-Score Historical Data

The historical data trend for PRO DV AG'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.

PRO DV AG Beneish M-Score Chart

PRO DV AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 150.60 -2.28 -1.42 -1.71 -1.40

PRO DV AG Semi-Annual Data
Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
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 150.60 -2.28 -1.42 -1.71 -1.40

Competitive Comparison of PRO DV AG's Beneish M-Score

For the Information Technology Services subindustry, PRO DV AG'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.


PRO DV AG's Beneish M-Score Distribution in the Software Industry

For the Software industry and Technology sector, PRO DV AG's Beneish M-Score distribution charts can be found below:

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



PRO DV AG 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 PRO DV AG 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 * 2.2376+0.528 * 0.9+0.404 * 0.2732+0.892 * 1.073+0.115 * 0.9196
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * 0.139603-0.327 * 2.2939
=-1.40

* 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 (Dec23) TTM:Last Year (Dec22) TTM:
Total Receivables was €1.50 Mil.
Revenue was €4.50 Mil.
Gross Profit was €1.19 Mil.
Total Current Assets was €2.62 Mil.
Total Assets was €2.72 Mil.
Property, Plant and Equipment(Net PPE) was €0.01 Mil.
Depreciation, Depletion and Amortization(DDA) was €0.12 Mil.
Selling, General, & Admin. Expense(SGA) was €0.00 Mil.
Total Current Liabilities was €1.12 Mil.
Long-Term Debt & Capital Lease Obligation was €0.00 Mil.
Net Income was €0.38 Mil.
Gross Profit was €0.00 Mil.
Cash Flow from Operations was €0.00 Mil.
Total Receivables was €0.63 Mil.
Revenue was €4.19 Mil.
Gross Profit was €1.00 Mil.
Total Current Assets was €1.32 Mil.
Total Assets was €1.54 Mil.
Property, Plant and Equipment(Net PPE) was €0.02 Mil.
Depreciation, Depletion and Amortization(DDA) was €0.13 Mil.
Selling, General, & Admin. Expense(SGA) was €0.00 Mil.
Total Current Liabilities was €0.28 Mil.
Long-Term Debt & Capital Lease Obligation was €0.00 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)
=(1.503 / 4.496) / (0.626 / 4.19)
=0.334297 / 0.149403
=2.2376

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)
=(0.999 / 4.19) / (1.191 / 4.496)
=0.238425 / 0.264902
=0.9

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 - (2.615 + 0.008) / 2.722) / (1 - (1.315 + 0.02) / 1.54)
=0.03637 / 0.133117
=0.2732

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
=4.496 / 4.19
=1.073

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))
=(0.126 / (0.126 + 0.02)) / (0.122 / (0.122 + 0.008))
=0.863014 / 0.938462
=0.9196

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 / 4.496) / (0 / 4.19)
=0 / 0
=1

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 + 1.115) / 2.722) / ((0 + 0.275) / 1.54)
=0.409625 / 0.178571
=2.2939

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
=(0.38 - 0 - 0) / 2.722
=0.139603

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.

PRO DV AG has a M-score of -1.40 signals that the company is likely to be a manipulator.


PRO DV AG Beneish M-Score Related Terms

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PRO DV AG Business Description

Traded in Other Exchanges
Address
Hauert 6, Dortmund, DEU, 44227
PRO DV AG engages in the provision of information technology business solutions. It offers project support services in the transport and logistics, telecommunications, energy supply, and public administration sectors. The firm specializes in the analysis and optimization of business processes with focus on business analysis, architecture consulting, project management, and security management.

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