ZBB has been removed from your Stock Email Alerts list.
Please enter Portfolio Name for new portfolio.
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.
ZBB Energy Corp has a M-score of -2.33 suggests that the company is not a manipulator.
During the past 10 years, the highest Beneish M-Score of ZBB Energy Corp was 150.79. The lowest was -5.79. And the median was -1.75.
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 ZBB Energy Corp 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 * 2.3129||+||0.528 * 0.2772||+||0.404 * 0.4556||+||0.892 * 1.0166||+||0.115 * 1.0989|
|-||0.172 * SGAI||+||4.679 * TATA||-||0.327 * LVGI|
|-||0.172 * 1.1454||+||4.679 * -0.1253||-||0.327 * 0.612|
|This Year (Jun14) TTM:||Last Year (Jun13) TTM:|
|Accounts Receivable was $1.05 Mil.|
Revenue was 1.249 + 4.572 + 0.961 + 1.069 = $7.85 Mil.
Gross Profit was -0.045 + 3.96 + 0.363 + 0.472 = $4.75 Mil.
Total Current Assets was $13.22 Mil.
Total Assets was $20.05 Mil.
Property, Plant and Equipment(Net PPE) was $4.38 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.15 Mil.
Selling, General & Admin. Expense(SGA) was $7.26 Mil.
Total Current Liabilities was $4.50 Mil.
Long-Term Debt was $2.05 Mil.
Net Income was -4.109 + 0.009 + -2.159 + -2.597 = $-8.86 Mil.
Non Operating Income was -0.354 + -0.055 + -0.131 + -0.117 = $-0.66 Mil.
Cash Flow from Operations was -2.892 + 0.438 + -2.422 + -0.811 = $-5.69 Mil.
|Accounts Receivable was $0.45 Mil.
Revenue was 1.033 + 2.119 + 2.748 + 1.823 = $7.72 Mil.
Gross Profit was 0.231 + 0.295 + 0.483 + 0.286 = $1.30 Mil.
Total Current Assets was $4.43 Mil.
Total Assets was $13.12 Mil.
Property, Plant and Equipment(Net PPE) was $5.18 Mil.
Depreciation, Depletion and Amortization(DDA) was $1.53 Mil.
Selling, General & Admin. Expense(SGA) was $6.24 Mil.
Total Current Liabilities was $4.60 Mil.
Long-Term Debt was $2.40 Mil.
1. DSRI = Days Sales in Receivables Index
A large increase in DSR could be indicative of revenue inflation.
|DSRI||=||(Receivables_t / Revenue_t)||/||(Receivables_t-1 / Revenue_t-1)|
|=||(1.051 / 7.851)||/||(0.447 / 7.723)|
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.
|=||(GrossProfit_t-1 / Revenue_t-1)||/||(GrossProfit_t / Revenue_t)|
|=||(3.96 / 7.723)||/||(-0.045 / 7.851)|
3. AQI = Asset Quality Index
AQI is the ratio of asset quality in year t to year t-1.
|AQI||=||(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t)||/||(1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)|
|=||(1 - (13.222 + 4.382) / 20.053)||/||(1 - (4.425 + 5.18) / 13.123)|
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.
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))|
|=||(1.531 / (1.531 + 5.18))||/||(1.148 / (1.148 + 4.382))|
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)|
|=||(7.26 / 7.851)||/||(6.235 / 7.723)|
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)|
|=||((2.045 + 4.499) / 20.053)||/||((2.396 + 4.601) / 13.123)|
8. TATA = Total Accruals to Total Assets
Total accruals calculated as the change in working capital accounts other than cash less depreciation.
|=||(NetIncome_t - NonOperatingIncome_t||-||CashFlowsfromOperations_t)||/||TotalAssets_t|
|=||(-8.856 - -0.657||-||-5.687)||/||20.053|
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.
ZBB Energy Corp has a M-score of -2.33 suggests that the company will not be a manipulator.
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
ZBB Energy Corp Annual Data
ZBB Energy Corp Quarterly Data