Al Khaleej Investment PJSC (ADX:KICO) Beneish M-Score : -1.26 (As of Apr. 06, 2025)

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What is Al Khaleej Investment PJSC 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 -1.26 higher than -1.78, which implies that the company might have manipulated its financial results.

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

ADX:KICO' s Beneish M-Score Range Over the Past 10 Years
Min: -3.2 Med: -2.09 Max: -1.26
Current: -1.26

During the past 11 years, the highest Beneish M-Score of Al Khaleej Investment PJSC was -1.26. The lowest was -3.20. And the median was -2.09.

Al Khaleej Investment PJSC Beneish M-Score Historical Data

The historical data trend for Al Khaleej Investment PJSC'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.

Al Khaleej Investment PJSC Beneish M-Score Chart

Al Khaleej Investment PJSC Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Beneish M-Score

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-3.20

-3.10

-2.09

-2.44

-1.26

Al Khaleej Investment PJSC Semi-Annual Data
	Dec13	Dec14	Dec15	Dec16	Dec17	Dec18	Dec19	Dec20	Dec21	Dec22	Dec23
Beneish M-Score	Get a 7-Day Free Trial						-3.20	-3.10	-2.09	-2.44	-1.26

Competitive Comparison of Al Khaleej Investment PJSC's Beneish M-Score

For the Real Estate Services subindustry, Al Khaleej Investment PJSC'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.

Al Khaleej Investment PJSC's Beneish M-Score Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Al Khaleej Investment PJSC's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Al Khaleej Investment PJSC's Beneish M-Score falls into.

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Al Khaleej Investment PJSC 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 Al Khaleej Investment PJSC 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 * 1.4309

0.528 * 0.9677

0.404 * 1.0294

0.892 * 0.9422

0.115 * 7.4899

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.1326

4.679 * -0.020978

0.327 * 0.2151

-1.26

This Year (Dec23) TTM:

Last Year (Dec22) TTM:

Total Receivables was د.إ6.70 Mil.
Revenue was د.إ16.87 Mil.
Gross Profit was د.إ13.39 Mil.
Total Current Assets was د.إ43.52 Mil.
Total Assets was د.إ280.58 Mil.
Property, Plant and Equipment(Net PPE) was د.إ4.53 Mil.
Depreciation, Depletion and Amortization(DDA) was د.إ0.17 Mil.
Selling, General, & Admin. Expense(SGA) was د.إ1.05 Mil.
Total Current Liabilities was د.إ4.43 Mil.
Long-Term Debt & Capital Lease Obligation was د.إ0.00 Mil.
Net Income was د.إ1.91 Mil.
Gross Profit was د.إ0.00 Mil.
Cash Flow from Operations was د.إ7.79 Mil.

Total Receivables was د.إ4.97 Mil.
Revenue was د.إ17.91 Mil.
Gross Profit was د.إ13.75 Mil.
Total Current Assets was د.إ57.34 Mil.
Total Assets was د.إ296.49 Mil.
Property, Plant and Equipment(Net PPE) was د.إ0.45 Mil.
Depreciation, Depletion and Amortization(DDA) was د.إ0.17 Mil.
Selling, General, & Admin. Expense(SGA) was د.إ0.98 Mil.
Total Current Liabilities was د.إ21.78 Mil.
Long-Term Debt & Capital Lease Obligation was د.إ0.00 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)
	=	(6.7 / 16.874)	/	(4.97 / 17.91)
	=	0.397061	/	0.277499
	=	1.4309

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)
	=	(13.748 / 17.91)	/	(13.385 / 16.874)
	=	0.767616	/	0.793232
	=	0.9677

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 - (43.519 + 4.532) / 280.575)	/	(1 - (57.343 + 0.447) / 296.494)
	=	0.828741	/	0.805089
	=	1.0294

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
	=	16.874	/	17.91
	=	0.9422

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))
	=	(0.166 / (0.166 + 0.447))	/	(0.17 / (0.17 + 4.532))
	=	0.270799	/	0.036155
	=	7.4899

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)
	=	(1.05 / 16.874)	/	(0.984 / 17.91)
	=	0.062226	/	0.054941
	=	1.1326

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 + 4.434) / 280.575)	/	((0 + 21.783) / 296.494)
	=	0.015803	/	0.073469
	=	0.2151

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
	=	(1.906 - 0	-	7.792)	/	280.575
	=	-0.020978

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.

Al Khaleej Investment PJSC has a M-score of -1.26 signals that the company is likely to be a manipulator.

Al Khaleej Investment PJSC Beneish M-Score Related Terms

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Al Khaleej Investment PJSC Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » Al Khaleej Investment PJSC (ADX:KICO) » Definitions » Beneish M-Score

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Traded in Other Exchanges

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Address

P.O. Box 5662, AI Khaleej Building, Ras Al Khaimah, ARE

Website

https://www.kico.ae

Al Khaleej Investment PJSC is a company whose principal activities are real estate enterprise investment, development, institution and management, detection service for real estate, private fund investment, buildings maintenance, commercial enterprise investment, institution and management. The company operates in two reportable segments Real Estate, and Investments. The majority of the revenue is generated from the real estate segment in the form of rents received.

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