ZTE Beneish M-Score Historical Data
The historical data trend for ZTE'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.
ZTE Beneish M-Score Chart
|
ZTE Annual Data
|
|
Trend |
Dec15 |
Dec16 |
Dec17 |
Dec18 |
Dec19 |
Dec20 |
Dec21 |
Dec22 |
Dec23 |
Dec24 |
| Beneish M-Score |
|
Get a 7-Day Free Trial
|
|
|
-2.62 |
-2.84 |
-2.56 |
-2.66 |
-1.99 |
|
ZTE Quarterly Data
|
|
Mar20 |
Jun20 |
Sep20 |
Dec20 |
Mar21 |
Jun21 |
Sep21 |
Dec21 |
Mar22 |
Jun22 |
Sep22 |
Dec22 |
Mar23 |
Jun23 |
Sep23 |
Dec23 |
Mar24 |
Jun24 |
Sep24 |
Dec24 |
| Beneish M-Score |
Get a 7-Day Free Trial
|
|
|
|
|
|
|
|
|
|
|
|
|
-2.66 |
-2.51 |
-2.39 |
-2.15 |
-1.99 |
Competitive Comparison of ZTE's Beneish M-Score
For the Communication Equipment subindustry, ZTE'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.
ZTE's Beneish M-Score Distribution in the Hardware Industry
For the Hardware industry and Technology sector, ZTE's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where ZTE's Beneish M-Score falls into.
ZTE 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 ZTE 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 * 1.0886 | + | 0.528 * 1.0936 | + | 0.404 * 1.7942 | + | 0.892 * 0.9609 | + | 0.115 * 1 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 0.3701 | + | 4.679 * -0.014628 | - | 0.327 * 0.9854 |
| = | -2.02 |
* 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 (Dec24) TTM: | Last Year (Dec23) TTM: |
Total Receivables was HK$35,341 Mil.
Revenue was 33369.247 + 30342.008 + 34351.207 + 33217.253 = HK$131,280 Mil.
Gross Profit was 10227.325 + 12243.467 + 13391.37 + 13958.449 = HK$49,821 Mil.
Total Current Assets was HK$151,382 Mil.
Total Assets was HK$221,353 Mil.
Property, Plant and Equipment(Net PPE) was HK$17,526 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$0 Mil.
Selling, General, & Admin. Expense(SGA) was HK$875 Mil.
Total Current Liabilities was HK$88,228 Mil.
Long-Term Debt & Capital Lease Obligation was HK$49,152 Mil.
Net Income was 553.469 + 2393.626 + 3220.444 + 2977.53 = HK$9,145 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = HK$0 Mil.
Cash Flow from Operations was 3662.947 + 1154.629 + 4325.334 + 3240.004 = HK$12,383 Mil.
|
Total Receivables was HK$33,784 Mil.
Revenue was 38126.326 + 30774.482 + 34521.805 + 33193.594 = HK$136,616 Mil.
Gross Profit was 13681.936 + 13734.737 + 14512.872 + 14769.396 = HK$56,699 Mil.
Total Current Assets was HK$173,369 Mil.
Total Assets was HK$219,804 Mil.
Property, Plant and Equipment(Net PPE) was HK$17,410 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$0 Mil.
Selling, General, & Admin. Expense(SGA) was HK$2,460 Mil.
Total Current Liabilities was HK$90,817 Mil.
Long-Term Debt & Capital Lease Obligation was HK$47,619 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) |
| = | (35341.112 / 131279.715) | / | (33783.524 / 136616.207) |
| = | 0.269205 | / | 0.247288 |
| | = | 1.0886 |
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) |
| = | (56698.941 / 136616.207) | / | (49820.611 / 131279.715) |
| = | 0.415024 | / | 0.3795 |
| | = | 1.0936 |
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 - (151382.388 + 17526.23) / 221353.221) | / | (1 - (173368.933 + 17410.204) / 219803.965) |
| = | 0.236927 | / | 0.132049 |
| | = | 1.7942 |
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 |
| = | 131279.715 | / | 136616.207 |
| | = | 0.9609 |
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 / (0 + 17410.204)) | / | (0 / (0 + 17526.23)) |
| = | 0 | / | 0 |
| | = | 1 |
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) |
| = | (875.077 / 131279.715) | / | (2460.477 / 136616.207) |
| = | 0.006666 | / | 0.01801 |
| | = | 0.3701 |
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) |
| = | ((49152.139 + 88227.586) / 221353.221) | / | ((47619.322 + 90816.914) / 219803.965) |
| = | 0.620636 | / | 0.629817 |
| | = | 0.9854 |
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 |
| = | (9145.069 - 0 | - | 12382.914) | / | 221353.221 |
| | = | -0.014628 |
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.
ZTE has a M-score of -2.02 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HKSE:00763 has been successfully added to your