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Inox Wind (BOM:539083) Beneish M-Score : -1.78 (As of May. 28, 2024)


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

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

BOM:539083' s Beneish M-Score Range Over the Past 10 Years
Min: -3.57   Med: -2.08   Max: -1.19
Current: -1.78

During the past 12 years, the highest Beneish M-Score of Inox Wind was -1.19. The lowest was -3.57. And the median was -2.08.


Inox Wind Beneish M-Score Historical Data

The historical data trend for Inox Wind'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.

Inox Wind Beneish M-Score Chart

Inox Wind Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3.57 -2.48 -2.59 -1.87 -1.78

Inox Wind Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only - -1.87 - - -1.78

Competitive Comparison of Inox Wind's Beneish M-Score

For the Specialty Industrial Machinery subindustry, Inox Wind'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.


Inox Wind's Beneish M-Score Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Inox Wind's Beneish M-Score distribution charts can be found below:

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



Inox Wind 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 Inox Wind 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 * 0.5605+0.528 * 0.565+0.404 * 1.1335+0.892 * 2.3781+0.115 * 1.0289
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * 0.015725-0.327 * 1.0849
=-1.78

* 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 ₹11,417 Mil.
Revenue was ₹17,432 Mil.
Gross Profit was ₹5,257 Mil.
Total Current Assets was ₹33,390 Mil.
Total Assets was ₹67,948 Mil.
Property, Plant and Equipment(Net PPE) was ₹18,068 Mil.
Depreciation, Depletion and Amortization(DDA) was ₹1,100 Mil.
Selling, General, & Admin. Expense(SGA) was ₹0 Mil.
Total Current Liabilities was ₹42,613 Mil.
Long-Term Debt & Capital Lease Obligation was ₹2,682 Mil.
Net Income was ₹-404 Mil.
Gross Profit was ₹0 Mil.
Cash Flow from Operations was ₹-1,473 Mil.
Total Receivables was ₹8,565 Mil.
Revenue was ₹7,330 Mil.
Gross Profit was ₹1,249 Mil.
Total Current Assets was ₹30,882 Mil.
Total Assets was ₹60,832 Mil.
Property, Plant and Equipment(Net PPE) was ₹16,926 Mil.
Depreciation, Depletion and Amortization(DDA) was ₹1,062 Mil.
Selling, General, & Admin. Expense(SGA) was ₹0 Mil.
Total Current Liabilities was ₹28,404 Mil.
Long-Term Debt & Capital Lease Obligation was ₹8,975 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)
=(11416.7 / 17432.4) / (8565.2 / 7330.4)
=0.654913 / 1.168449
=0.5605

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)
=(1248.9 / 7330.4) / (5257.1 / 17432.4)
=0.170373 / 0.301571
=0.565

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 - (33390.4 + 18068.2) / 67948) / (1 - (30882 + 16926.1) / 60831.5)
=0.242677 / 0.21409
=1.1335

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
=17432.4 / 7330.4
=2.3781

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))
=(1061.6 / (1061.6 + 16926.1)) / (1099.5 / (1099.5 + 18068.2))
=0.059018 / 0.057362
=1.0289

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 / 17432.4) / (0 / 7330.4)
=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)
=((2682 + 42612.9) / 67948) / ((8974.6 + 28403.6) / 60831.5)
=0.666611 / 0.614455
=1.0849

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
=(-404.2 - 0 - -1472.7) / 67948
=0.015725

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.

Inox Wind has a M-score of -1.78 suggests that the company is unlikely to be a manipulator.


Inox Wind Beneish M-Score Related Terms

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Inox Wind (BOM:539083) Business Description

Traded in Other Exchanges
Address
Inox Towers, Plot Number 17, Sector 16A, Noida, UP, IND, 201 301
Inox Wind Ltd offers wind energy solutions to the renewable energy industry. It manufactures wind turbine generators and its components. Its services offered include Erection, Procurement and Commissioning, Operations and Maintenance and Common Infrastructure Facilities services for its products and development of wind farm. It conducts its business and provides services to various states in India. The company also offer turnkey solutions for the development of wind power projects which include wind studies, energy assessment, land acquisition, site infrastructure development, power evacuation, and others.

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