Ridge Outdoor International (HKSE:02720) Beneish M-Score: -2.10 (As of Aug. 12, 2026)

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HKSE:02720 Ridge Outdoor International Ltd HKSE:02720
17 GF Score
Price HK$24.04
! 2 Warning Signs
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What is Ridge Outdoor International Beneish M-Score?

Ridge Outdoor International HKSE:02720 -3.22% 17 Beneish M-Score is -2.10 as of Aug. 12, 2026. GuruFocus rates HKSE:02720 with a GF Score™ of 17/100. The stock has 2 warning signs investors should review. Among 418 Furnishings, Fixtures & Appliances companies, Ridge Outdoor International ranks worse than 80.38% 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 -2.1 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

HKSE:02720' s Beneish M-Score Range Over the Past 10 Years
Min: -3.62   Med: -2.86   Max: -2.1
Current: -2.1

During the past 4 years, the highest Beneish M-Score of Ridge Outdoor International was -2.10. The lowest was -3.62. And the median was -2.86.

Ridge Outdoor International Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Ridge Outdoor International'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.

Ridge Outdoor International Beneish M-Score Chart

Ridge Outdoor International Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Beneish M-Score
0.00 0.00 -3.62 -2.10

Ridge Outdoor International Semi-Annual Data
Dec22 Dec23 Dec24 Dec25
Beneish M-Score 0.00 0.00 -3.62 -2.10

HKSE:02720 vs SN, SGI, MHK: Beneish M-Score Comparison

For the Furnishings, Fixtures & Appliances subindustry, Ridge Outdoor International'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.

Ridge Outdoor International Beneish M-Score vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Ridge Outdoor International's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Ridge Outdoor International's Beneish M-Score falls into.


HKSE:02720
17GF Score
Ridge Outdoor International Ltd HKSE:02720
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Ridge Outdoor International 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 Ridge Outdoor International 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 * 0.9704+0.528 * 0.9472+0.404 * 0.9853+0.892 * 1.1953+0.115 * 0.9595
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0108+4.679 * 0.044887-0.327 * 0.8094
=-2.10

* 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 HK$111.1 Mil.
Revenue was HK$731.8 Mil.
Gross Profit was HK$205.7 Mil.
Total Current Assets was HK$326.7 Mil.
Total Assets was HK$379.0 Mil.
Property, Plant and Equipment(Net PPE) was HK$41.9 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$8.2 Mil.
Selling, General, & Admin. Expense(SGA) was HK$87.9 Mil.
Total Current Liabilities was HK$346.6 Mil.
Long-Term Debt & Capital Lease Obligation was HK$1.0 Mil.
Net Income was HK$81.6 Mil.
Gross Profit was HK$0.0 Mil.
Cash Flow from Operations was HK$64.6 Mil.
 Total Receivables was HK$95.7 Mil.
Revenue was HK$612.3 Mil.
Gross Profit was HK$163.0 Mil.
Total Current Assets was HK$308.7 Mil.
Total Assets was HK$363.4 Mil.
Property, Plant and Equipment(Net PPE) was HK$44.5 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$8.3 Mil.
Selling, General, & Admin. Expense(SGA) was HK$72.8 Mil.
Total Current Liabilities was HK$410.4 Mil.
Long-Term Debt & Capital Lease Obligation was HK$1.4 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)
=(111.058 / 731.848) / (95.741 / 612.27)
=0.15175 / 0.156371
=0.9704

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)
=(163.012 / 612.27) / (205.701 / 731.848)
=0.266242 / 0.281071
=0.9472

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 - (326.692 + 41.892) / 379.019) / (1 - (308.708 + 44.503) / 363.365)
=0.027532 / 0.027944
=0.9853

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
=731.848 / 612.27
=1.1953

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))
=(8.319 / (8.319 + 44.503)) / (8.226 / (8.226 + 41.892))
=0.157491 / 0.164133
=0.9595

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)
=(87.913 / 731.848) / (72.766 / 612.27)
=0.120125 / 0.118846
=1.0108

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)
=((0.971 + 346.645) / 379.019) / ((1.382 + 410.354) / 363.365)
=0.917147 / 1.13312
=0.8094

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
=(81.607 - 0 - 64.594) / 379.019
=0.044887

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.

Ridge Outdoor International has a M-score of -2.10 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 -2.10 mean?
Ridge Outdoor International (HKSE:02720) has a Beneish M-Score of -2.10 as of Aug. 12, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Ridge Outdoor International and its competitors. According to the industry distribution chart, Ridge Outdoor International ranks #336 out of 418 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 80.4%.
Is Ridge Outdoor International's Beneish M-Score too high?
Ridge Outdoor International's current Beneish M-Score is -2.10. Based on the distribution chart, Ridge Outdoor International ranks #336 out of 418 companies in the Furnishings, Fixtures & Appliances industry, which is in the bottom quartile relative to peers. Overall, Ridge Outdoor International has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does Ridge Outdoor International's Beneish M-Score compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Ridge Outdoor International ranks #336 out of 418 companies for Beneish M-Score. This places Ridge Outdoor International 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 Furnishings, Fixtures & Appliances company?
A good Beneish M-Score depends on the Furnishings, Fixtures & Appliances 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 Ridge Outdoor International and its competitors. Ridge Outdoor International's current Beneish M-Score is -2.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ridge Outdoor International stock overvalued right now?
Ridge Outdoor International (HKSE:02720) has a current Beneish M-Score of -2.10. The current Beneish M-Score is -2.10. Ridge Outdoor International's overall GF Score™ is 17/100 with 2 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 Ridge Outdoor International (HKSE:02720), the current Beneish M-Score is -2.10 as of Aug. 12, 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.

Ridge Outdoor International Business Description

Address No. 818, Pingshui East Street, 8th Floor, Building 1, Lok Fu Creative Center, Zhejiang Province, Hangzhou, CHN
Ridge Outdoor International Ltd is engaged in the fishing-related equipment industry. Fishing gear encompasses both fishing tackle and fishing-related equipment. Fishing tackle refers to the tools utilized for capturing fish from aquatic environments, such as fishing rods, reels, hooks, lines, and baits. Fishing-related equipment generally includes fishing chairs and bed chairs, seatboxes, barrows, backpacks, sleeping bags, and tents. The company operates a dual business model, combining OEM/ODM manufacturing capabilities with a growing OBM presence to address diverse market demands. Geographically, it generates the majority of its revenue from Europe.
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.

HK$24.04
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