Fatima Fertilizer Co (KAR:FATIMA) Beneish M-Score : -2.60 (As of Jun. 23, 2024)

View and export this data going back to 2010. Start your Free Trial

What is Fatima Fertilizer Co 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 -2.6 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

KAR:FATIMA' s Beneish M-Score Range Over the Past 10 Years
Min: -3.2 Med: -2.25 Max: 16.36
Current: -2.6

During the past 13 years, the highest Beneish M-Score of Fatima Fertilizer Co was 16.36. The lowest was -3.20. And the median was -2.25.

Fatima Fertilizer Co Beneish M-Score Historical Data

The historical data trend for Fatima Fertilizer 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.

* Premium members only.

Fatima Fertilizer Co Beneish M-Score Chart

Fatima Fertilizer Co Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Beneish M-Score

Get a 7-Day Free Trial

-1.51

-2.70

-2.23

-2.26

-2.94

Fatima Fertilizer Co Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Beneish M-Score	Get a 7-Day Free Trial															-2.35	-2.11	-2.53	-2.94	-2.60

Competitive Comparison of Fatima Fertilizer Co's Beneish M-Score

For the Agricultural Inputs subindustry, Fatima Fertilizer 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.

Fatima Fertilizer Co's Beneish M-Score Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, Fatima Fertilizer Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Fatima Fertilizer Co's Beneish M-Score falls into.

Fatima Fertilizer 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 Fatima Fertilizer Co for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 0.4872

0.528 * 0.9844

0.404 * 1.2302

0.892 * 1.561

0.115 * 0.4709

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.7336

4.679 * -0.052786

0.327 * 0.9076

-2.60

This Year (Mar24) TTM:

Last Year (Mar23) TTM:

Total Receivables was ₨36,877 Mil.
Revenue was 66039.314 + 73993.494 + 76161.574 + 47181.874 = ₨263,376 Mil.
Gross Profit was 27438.475 + 22431.123 + 22601.514 + 14643.077 = ₨87,114 Mil.
Total Current Assets was ₨117,383 Mil.
Total Assets was ₨240,305 Mil.
Property, Plant and Equipment(Net PPE) was ₨111,477 Mil.
Depreciation, Depletion and Amortization(DDA) was ₨12,352 Mil.
Selling, General, & Admin. Expense(SGA) was ₨12,946 Mil.
Total Current Liabilities was ₨75,177 Mil.
Long-Term Debt & Capital Lease Obligation was ₨6,281 Mil.
Net Income was 8393.597 + 10016.191 + 7758.187 + 1192.773 = ₨27,361 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ₨0 Mil.
Cash Flow from Operations was -3601.241 + 16311.817 + 27839.625 + -504.64 = ₨40,046 Mil.

Total Receivables was ₨48,487 Mil.
Revenue was 38086.4 + 59483.333 + 37978.263 + 33169.57 = ₨168,718 Mil.
Gross Profit was 14507.213 + 11042.577 + 13332.218 + 16052.493 = ₨54,935 Mil.
Total Current Assets was ₨97,271 Mil.
Total Assets was ₨218,299 Mil.
Property, Plant and Equipment(Net PPE) was ₨112,576 Mil.
Depreciation, Depletion and Amortization(DDA) was ₨5,549 Mil.
Selling, General, & Admin. Expense(SGA) was ₨11,306 Mil.
Total Current Liabilities was ₨72,484 Mil.
Long-Term Debt & Capital Lease Obligation was ₨9,047 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)
	=	(36877.142 / 263376.256)	/	(48486.773 / 168717.566)
	=	0.140017	/	0.287384
	=	0.4872

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)
	=	(54934.501 / 168717.566)	/	(87114.189 / 263376.256)
	=	0.3256	/	0.330759
	=	0.9844

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 - (117382.539 + 111477.263) / 240305.473)	/	(1 - (97271.473 + 112575.565) / 218298.659)
	=	0.04763	/	0.038716
	=	1.2302

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
	=	263376.256	/	168717.566
	=	1.561

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))
	=	(5548.798 / (5548.798 + 112575.565))	/	(12352.119 / (12352.119 + 111477.263))
	=	0.046974	/	0.099751
	=	0.4709

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)
	=	(12946.419 / 263376.256)	/	(11305.861 / 168717.566)
	=	0.049156	/	0.067011
	=	0.7336

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)
	=	((6281.363 + 75176.979) / 240305.473)	/	((9046.821 + 72483.724) / 218298.659)
	=	0.338978	/	0.373482
	=	0.9076

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
	=	(27360.748 - 0	-	40045.561)	/	240305.473
	=	-0.052786

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.

Fatima Fertilizer Co has a M-score of -2.60 suggests that the company is unlikely to be a manipulator.

Fatima Fertilizer Co Beneish M-Score Related Terms

Thank you for viewing the detailed overview of Fatima Fertilizer Co's Beneish M-Score provided by GuruFocus.com. Please click on the following links to see related term pages.

Fatima Fertilizer Co (KAR:FATIMA) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Agriculture » Fatima Fertilizer Co Ltd (KAR:FATIMA) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

E-110, Khayaban-e-Jinnah, Lahore Cantt, Lahore, PAK

Website

https://www.fatima-group.com

Fatima Fertilizer Co Ltd manufactures and sells fertilizers and chemicals across Pakistan. The company is a holding company and through its subsidiaries involves in the activity of manufacturing, producing, buying, selling, importing, and exporting fertilizers and chemicals. Its primary product offering includes urea, calcium ammonium nitrate (CAN), and nitro phosphate(NP). It also produces two intermediary products which are ammonia and nitric acid. The firm also operates in various other sectors such as textile, sugar manufacturing, trading of goods, energy, Packaging, and mining.

Fatima Fertilizer Co (KAR:FATIMA) Headlines

No Headlines