FGL (Founder Group) Beneish M-Score: -1.87 (As of Jun. 26, 2026)


FGL Founder Group Ltd FGL
17 GF Score
Price $1.37
! 6 Warning Signs
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What is Founder Group Beneish M-Score?

Founder Group FGL -4.20% 17 Beneish M-Score is -1.87 as of Jun. 26, 2026. GuruFocus rates FGL with a GF Score™ of 17/100. The stock has 6 warning signs investors should review. Among 1,704 Construction companies, Founder Group ranks worse than 79.99% 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 -1.87 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

FGL' s Beneish M-Score Range Over the Past 10 Years
Min: -1.87   Med: -1.85   Max: -1.82
Current: -1.87

During the past 5 years, the highest Beneish M-Score of Founder Group was -1.82. The lowest was -1.87. And the median was -1.85.

Founder Group Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Founder Group'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.

Founder Group Beneish M-Score Chart

Founder Group Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Beneish M-Score
0.00 0.00 0.00 -1.82 -1.87

Founder Group Semi-Annual Data
Dec21 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Beneish M-Score Get a 7-Day Free Trial 0.00 0.00 -1.82 0.00 -1.87

FGL vs MMEX, MDLK, GRHI: Beneish M-Score Comparison

For the Engineering & Construction subindustry, Founder Group'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.

Founder Group Beneish M-Score vs Construction Industry

For the Construction industry and Industrials sector, Founder Group's Beneish M-Score distribution charts can be found below:

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


FGL
17GF Score
Founder Group Ltd FGL
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Founder Group 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 Founder Group 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 * 0.8661+0.528 * 0.5965+0.404 * 0.8512+0.892 * 1.4568+0.115 * 0.2653
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.5655+4.679 * 0.165834-0.327 * 0.9886
=-1.87

* 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 (Dec25) TTM:Last Year (Dec24) TTM:
Total Receivables was $15.50 Mil.
Revenue was $29.52 Mil.
Gross Profit was $3.42 Mil.
Total Current Assets was $39.98 Mil.
Total Assets was $46.41 Mil.
Property, Plant and Equipment(Net PPE) was $5.55 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.64 Mil.
Selling, General, & Admin. Expense(SGA) was $3.66 Mil.
Total Current Liabilities was $34.61 Mil.
Long-Term Debt & Capital Lease Obligation was $4.40 Mil.
Net Income was $-1.90 Mil.
Gross Profit was $0.44 Mil.
Cash Flow from Operations was $-10.04 Mil.
 Total Receivables was $12.28 Mil.
Revenue was $20.27 Mil.
Gross Profit was $1.40 Mil.
Total Current Assets was $18.94 Mil.
Total Assets was $25.64 Mil.
Property, Plant and Equipment(Net PPE) was $6.13 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.17 Mil.
Selling, General, & Admin. Expense(SGA) was $1.60 Mil.
Total Current Liabilities was $21.22 Mil.
Long-Term Debt & Capital Lease Obligation was $0.58 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)
=(15.5 / 29.524) / (12.284 / 20.266)
=0.524997 / 0.606138
=0.8661

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)
=(1.4 / 20.266) / (3.419 / 29.524)
=0.069081 / 0.115804
=0.5965

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 - (39.978 + 5.553) / 46.414) / (1 - (18.936 + 6.129) / 25.638)
=0.019024 / 0.02235
=0.8512

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
=29.524 / 20.266
=1.4568

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))
=(0.173 / (0.173 + 6.129)) / (0.641 / (0.641 + 5.553))
=0.027452 / 0.103487
=0.2653

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)
=(3.656 / 29.524) / (1.603 / 20.266)
=0.123831 / 0.079098
=1.5655

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)
=((4.401 + 34.612) / 46.414) / ((0.577 + 21.221) / 25.638)
=0.840544 / 0.850222
=0.9886

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
=(-1.899 - 0.441 - -10.037) / 46.414
=0.165834

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.

Founder Group has a M-score of -1.87 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 -1.87 mean?
Founder Group (FGL) has a Beneish M-Score of -1.87 as of Jun. 26, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Founder Group and its competitors. According to the industry distribution chart, Founder Group ranks #1363 out of 1704 companies in the Construction industry, placing it in the top 80%.
Is Founder Group's Beneish M-Score too high?
Founder Group's current Beneish M-Score is -1.87. Based on the distribution chart, Founder Group ranks #1363 out of 1704 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Founder Group has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does Founder Group's Beneish M-Score compare to MMEX and MDLK?
According to the Construction industry distribution chart, Founder Group ranks #1363 out of 1704 companies for Beneish M-Score. This places Founder Group 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 Construction company?
A good Beneish M-Score depends on the Construction 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 Founder Group and its competitors. Founder Group's current Beneish M-Score is -1.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Founder Group stock overvalued right now?
Founder Group (FGL) has a current Beneish M-Score of -1.87. The current Beneish M-Score is -1.87. Founder Group's overall GF Score™ is 17/100 with 6 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 Founder Group (FGL), the current Beneish M-Score is -1.87 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.

Founder Group Business Description

Address No. 17, Jalan Astana 1D, Bandar Bukit Raja, Klang, SGR, MYS, 41050
Founder Group Ltd is a solar solutions provider in Malaysia, offering end-to-end services for commercial and industrial sectors, as well as large-scale solar power projects, encompassing project design, engineering, and comprehensive project management. Its focus is on two key segments: large-scale solar projects and commercial and industrial (C&I) solar projects. Large-scale solar projects are utility scale solar PV power plants with installed generating capacity of 1 MWac or more. C&I projects are smaller scale solar projects where the solar PV systems are installed on rooftops and are designed to generate electricity for commercial and industrial properties for their own consumption, such as factories, warehouses, and commercial stores. Its revenue is derived from Malaysia.
17GF Score

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

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