ALFABS AUSTRALIA (ASX:AAL) Beneish M-Score: -2.37 (As of Jun. 26, 2026)


ASX:AAL ALFABS AUSTRALIA Ltd ASX:AAL
20 GF Score
Price A$0.28
! 5 Warning Signs
View Full Analysis

What is ALFABS AUSTRALIA Beneish M-Score?

ALFABS AUSTRALIA ASX:AAL +12.00% 20 Beneish M-Score is -2.37 as of Jun. 26, 2026. GuruFocus rates ASX:AAL with a GF Score™ of 20/100. The stock has 5 warning signs investors should review. Among 537 Conglomerates companies, ALFABS AUSTRALIA ranks worse than 63.69% on this metric.

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 -2.37 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

ASX:AAL' s Beneish M-Score Range Over the Past 10 Years
Min: -2.37   Med: -2.37   Max: -2.37
Current: -2.37

During the past 4 years, the highest Beneish M-Score of ALFABS AUSTRALIA was -2.37. The lowest was -2.37. And the median was -2.37.

ALFABS AUSTRALIA Beneish M-Score Historical Data

* Premium members only.

The historical data trend for ALFABS AUSTRALIA'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.

ALFABS AUSTRALIA Beneish M-Score Chart

ALFABS AUSTRALIA Annual Data
Trend Jun22 Jun23 Jun24 Jun25
Beneish M-Score
0.00 0.00 0.00 -2.37

ALFABS AUSTRALIA Semi-Annual Data
Jun22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Beneish M-Score Get a 7-Day Free Trial 0.00 0.00 0.00 -2.37 0.00

ASX:AAL vs HON, MMM: Beneish M-Score Comparison

For the Conglomerates subindustry, ALFABS AUSTRALIA'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.

ALFABS AUSTRALIA Beneish M-Score vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, ALFABS AUSTRALIA's Beneish M-Score distribution charts can be found below:

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


ASX:AAL
20GF Score
ALFABS AUSTRALIA Ltd ASX:AAL
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ALFABS AUSTRALIA 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 ALFABS AUSTRALIA 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 * 1.3496+0.528 * 0.8293+0.404 * 0.7921+0.892 * 0.9863+0.115 * 1.1003
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.104+4.679 * -0.003073-0.327 * 1.028
=-2.37

* 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 (Jun25) TTM:Last Year (Jun24) TTM:
Total Receivables was A$18.2 Mil.
Revenue was A$95.0 Mil.
Gross Profit was A$72.3 Mil.
Total Current Assets was A$39.0 Mil.
Total Assets was A$131.8 Mil.
Property, Plant and Equipment(Net PPE) was A$89.1 Mil.
Depreciation, Depletion and Amortization(DDA) was A$9.1 Mil.
Selling, General, & Admin. Expense(SGA) was A$36.7 Mil.
Total Current Liabilities was A$34.8 Mil.
Long-Term Debt & Capital Lease Obligation was A$24.0 Mil.
Net Income was A$12.2 Mil.
Gross Profit was A$1.9 Mil.
Cash Flow from Operations was A$10.6 Mil.
 Total Receivables was A$13.7 Mil.
Revenue was A$96.3 Mil.
Gross Profit was A$60.8 Mil.
Total Current Assets was A$43.8 Mil.
Total Assets was A$115.8 Mil.
Property, Plant and Equipment(Net PPE) was A$67.8 Mil.
Depreciation, Depletion and Amortization(DDA) was A$7.7 Mil.
Selling, General, & Admin. Expense(SGA) was A$33.7 Mil.
Total Current Liabilities was A$42.0 Mil.
Long-Term Debt & Capital Lease Obligation was A$8.2 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)
=(18.229 / 94.951) / (13.694 / 96.268)
=0.191983 / 0.142249
=1.3496

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)
=(60.817 / 96.268) / (72.334 / 94.951)
=0.631747 / 0.761803
=0.8293

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 - (39.002 + 89.059) / 131.814) / (1 - (43.808 + 67.812) / 115.782)
=0.028472 / 0.035947
=0.7921

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
=94.951 / 96.268
=0.9863

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))
=(7.737 / (7.737 + 67.812)) / (9.14 / (9.14 + 89.059))
=0.10241 / 0.093076
=1.1003

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)
=(36.698 / 94.951) / (33.702 / 96.268)
=0.386494 / 0.350085
=1.104

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)
=((23.956 + 34.817) / 131.814) / ((8.197 + 42.021) / 115.782)
=0.445878 / 0.433729
=1.028

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
=(12.17 - 1.945 - 10.63) / 131.814
=-0.003073

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.

ALFABS AUSTRALIA has a M-score of -2.37 suggests that the company is unlikely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →
What does a Beneish M-Score of -2.37 mean?
ALFABS AUSTRALIA (ASX:AAL) has a Beneish M-Score of -2.37 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on ALFABS AUSTRALIA and its competitors. According to the industry distribution chart, ALFABS AUSTRALIA ranks #342 out of 537 companies in the Conglomerates industry, placing it in the top 63.7%.
Is ALFABS AUSTRALIA's Beneish M-Score too high?
ALFABS AUSTRALIA's current Beneish M-Score is -2.37. Based on the distribution chart, ALFABS AUSTRALIA ranks #342 out of 537 companies in the Conglomerates industry, which is below the industry midpoint. Overall, ALFABS AUSTRALIA has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does ALFABS AUSTRALIA's Beneish M-Score compare to HON and MMM?
According to the Conglomerates industry distribution chart, ALFABS AUSTRALIA ranks #342 out of 537 companies for Beneish M-Score. This places ALFABS AUSTRALIA in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beneish M-Score for a Conglomerates company?
A good Beneish M-Score depends on the Conglomerates industry context. However, Beneish M-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Beneish M-Score mean?
A high Beneish M-Score can signal that a stock is expensive relative to its fundamentals. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on ALFABS AUSTRALIA and its competitors. ALFABS AUSTRALIA's current Beneish M-Score is -2.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALFABS AUSTRALIA stock overvalued right now?
ALFABS AUSTRALIA (ASX:AAL) has a current Beneish M-Score of -2.37. The current Beneish M-Score is -2.37. ALFABS AUSTRALIA's overall GF Score™ is 20/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beneish M-Score calculated?
Beneish M-Score is calculated from a company's financial statements. For ALFABS AUSTRALIA (ASX:AAL), the current Beneish M-Score is -2.37 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

ALFABS AUSTRALIA Business Description

Address 152 Mitchell Avenue, Kurri Kurri, Cessnock, NSW, AUS, 2327
ALFABS AUSTRALIA Ltd is a company that provides a design-to-delivery solution for its clients across heavy steel fabrication, construction, and maintenance services, mining equipment, protective coatings, and transport. Its reportable segments are Mining, Engineering, and Other. The Mining segment is engaged in the manufacture, repair, overhaul, servicing, and hire of underground mining and ancillary equipment, together with sales of mining-related consumables and spare parts. The Engineering segment, which derives maximum revenue for the company, is involved in heavy steel fabrication, site installation works, and site-based maintenance; and the Other segment represents head office and ancillary businesses, including protective coatings and transport.
20GF Score

Get the complete analysis for ASX:AAL

Beneish M-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$0.28
Price