Sunshine Lake Pharma Co (HKSE:06887) Beneish M-Score: -2.83 (As of Aug. 21, 2026)

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HKSE:06887 Sunshine Lake Pharma Co Ltd HKSE:06887
15 GF Score
Price HK$37.98
! 2 Warning Signs
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What is Sunshine Lake Pharma Co Beneish M-Score?

Sunshine Lake Pharma Co HKSE:06887 +1.61% 15 Beneish M-Score is -2.83 as of Aug. 21, 2026. GuruFocus rates HKSE:06887 with a GF Score™ of 15/100. The stock has 2 warning signs investors should review. Among 914 Drug Manufacturers companies, Sunshine Lake Pharma Co ranks better than 77.13% 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 -2.83 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Sunshine Lake Pharma Co's Beneish M-Score or its related term are showing as below:

HKSE:06887' s Beneish M-Score Range Over the Past 10 Years
Min: -2.84   Med: -2.84   Max: -2.83
Current: -2.83

During the past 4 years, the highest Beneish M-Score of Sunshine Lake Pharma Co was -2.83. The lowest was -2.84. And the median was -2.84.

Sunshine Lake Pharma Co Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Sunshine Lake Pharma Co'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.

Sunshine Lake Pharma Co Beneish M-Score Chart

Sunshine Lake Pharma Co Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Beneish M-Score
0.00 0.00 -2.84 -2.83

Sunshine Lake Pharma Co Semi-Annual Data
Dec22 Dec23 Jun24 Dec24 Jun25 Dec25
Beneish M-Score Get a 7-Day Free Trial 0.00 0.00 -2.84 0.00 -2.83

HKSE:06887 vs ZTS: Beneish M-Score Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Sunshine Lake Pharma Co'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.

Sunshine Lake Pharma Co Beneish M-Score vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Sunshine Lake Pharma Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Sunshine Lake Pharma Co's Beneish M-Score falls into.


HKSE:06887
15GF Score
Sunshine Lake Pharma Co Ltd HKSE:06887
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Sunshine Lake Pharma Co 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 Sunshine Lake Pharma Co 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 * 0.8459+0.528 * 0.9943+0.404 * 0.9327+0.892 * 1.2397+0.115 * 0.9966
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.2234+4.679 * -0.073605-0.327 * 1.0324
=-2.83

* 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$1,998 Mil.
Revenue was HK$5,319 Mil.
Gross Profit was HK$4,071 Mil.
Total Current Assets was HK$5,138 Mil.
Total Assets was HK$13,249 Mil.
Property, Plant and Equipment(Net PPE) was HK$6,130 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$510 Mil.
Selling, General, & Admin. Expense(SGA) was HK$2,841 Mil.
Total Current Liabilities was HK$6,670 Mil.
Long-Term Debt & Capital Lease Obligation was HK$1,585 Mil.
Net Income was HK$301 Mil.
Gross Profit was HK$0 Mil.
Cash Flow from Operations was HK$1,276 Mil.
 Total Receivables was HK$1,905 Mil.
Revenue was HK$4,291 Mil.
Gross Profit was HK$3,266 Mil.
Total Current Assets was HK$5,316 Mil.
Total Assets was HK$12,739 Mil.
Property, Plant and Equipment(Net PPE) was HK$5,381 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$446 Mil.
Selling, General, & Admin. Expense(SGA) was HK$1,873 Mil.
Total Current Liabilities was HK$5,140 Mil.
Long-Term Debt & Capital Lease Obligation was HK$2,548 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)
=(1997.653 / 5319.323) / (1905.03 / 4290.873)
=0.375546 / 0.443973
=0.8459

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)
=(3265.615 / 4290.873) / (4071.348 / 5319.323)
=0.761061 / 0.765388
=0.9943

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 - (5137.711 + 6129.61) / 13248.68) / (1 - (5315.683 + 5380.749) / 12738.944)
=0.149551 / 0.160336
=0.9327

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
=5319.323 / 4290.873
=1.2397

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))
=(446.334 / (446.334 + 5380.749)) / (510.31 / (510.31 + 6129.61))
=0.076596 / 0.076855
=0.9966

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)
=(2840.562 / 5319.323) / (1872.87 / 4290.873)
=0.534008 / 0.436478
=1.2234

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)
=((1585.204 + 6670.165) / 13248.68) / ((2548.329 + 5140.041) / 12738.944)
=0.623109 / 0.603533
=1.0324

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
=(300.974 - 0 - 1276.149) / 13248.68
=-0.073605

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.

Sunshine Lake Pharma Co has a M-score of -2.83 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 -2.83 mean?
Sunshine Lake Pharma Co (HKSE:06887) has a Beneish M-Score of -2.83 as of Aug. 21, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Sunshine Lake Pharma Co and its competitors. According to the industry distribution chart, Sunshine Lake Pharma Co ranks #209 out of 914 companies in the Drug Manufacturers industry, placing it in the top 22.9%.
Is Sunshine Lake Pharma Co's Beneish M-Score too high?
Sunshine Lake Pharma Co's current Beneish M-Score is -2.83. Based on the distribution chart, Sunshine Lake Pharma Co ranks #209 out of 914 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Sunshine Lake Pharma Co has a GF Score™ of 15/100, reflecting its overall financial health beyond just this single metric.
How does Sunshine Lake Pharma Co's Beneish M-Score compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Sunshine Lake Pharma Co ranks #209 out of 914 companies for Beneish M-Score. This places Sunshine Lake Pharma Co in the top 23% of its industry — outperforming the majority of peers. 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 Drug Manufacturers company?
A good Beneish M-Score depends on the Drug Manufacturers 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 Sunshine Lake Pharma Co and its competitors. Sunshine Lake Pharma Co's current Beneish M-Score is -2.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sunshine Lake Pharma Co stock overvalued right now?
Sunshine Lake Pharma Co (HKSE:06887) has a current Beneish M-Score of -2.83. The current Beneish M-Score is -2.83. Sunshine Lake Pharma Co's overall GF Score™ is 15/100 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 Sunshine Lake Pharma Co (HKSE:06887), the current Beneish M-Score is -2.83 as of Aug. 21, 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.

Sunshine Lake Pharma Co Business Description

Address No. 368 Zhen An Zhong Road, HEC Scientific Park, Chang’an County, Guangdong Province, Dongguan, CHN
Sunshine Lake Pharma Co Ltd is a vertically integrated pharmaceutical company principally engaged in the research and development, manufacturing and sales of pharmaceuticals. It is focused on therapeutic areas of infectious diseases, chronic diseases and oncology. The company's revenue is mainly derived from sales of pharmaceutical products to distributors in the PRC.
15GF 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$37.98
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