Hexaware Technologies (LSE:35PJ) Beneish M-Score: -2.41 (As of Jun. 27, 2026)


What is Hexaware Technologies Beneish M-Score?

Hexaware Technologies LSE:35PJ 39 Beneish M-Score is -2.41 as of Jun. 27, 2026. GuruFocus rates LSE:35PJ with a GF Score™ of 39/100. The stock has 1 warning sign investors should review. Among 2,634 Software companies, Hexaware Technologies ranks worse than 58.12% 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 -2.41 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

LSE:35PJ' s Beneish M-Score Range Over the Past 10 Years
Min: -2.73   Med: -1.39   Max: 2.65
Current: -2.41

During the past 13 years, the highest Beneish M-Score of Hexaware Technologies was 2.65. The lowest was -2.73. And the median was -1.39.

Hexaware Technologies Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Hexaware Technologies'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.

Hexaware Technologies Beneish M-Score Chart

Hexaware Technologies Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.40 -1.46 1.22 2.65 -2.49

Hexaware Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Dec21 Dec22 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 0.00 -2.49 -2.41

LSE:35PJ vs IBM, ACN, FISV: Beneish M-Score Comparison

For the Information Technology Services subindustry, Hexaware Technologies'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.

Hexaware Technologies Beneish M-Score vs Software Industry

For the Software industry and Technology sector, Hexaware Technologies's Beneish M-Score distribution charts can be found below:

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


Hexaware Technologies 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 Hexaware Technologies 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 * 1.0387+0.528 * 1.0147+0.404 * 1.2079+0.892 * 1.0107+0.115 * 0.8773
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * -0.031729-0.327 * 1.0188
=-2.51

* 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 (Mar26) TTM:Last Year (Mar25) TTM:
Total Receivables was £247.89 Mil.
Revenue was 291.942 + 288.578 + 291.873 + 279.836 = £1,152.23 Mil.
Gross Profit was 120.049 + 120.867 + 127.118 + 121.016 = £489.05 Mil.
Total Current Assets was £456.33 Mil.
Total Assets was £946.50 Mil.
Property, Plant and Equipment(Net PPE) was £133.83 Mil.
Depreciation, Depletion and Amortization(DDA) was £31.51 Mil.
Selling, General, & Admin. Expense(SGA) was £0.00 Mil.
Total Current Liabilities was £238.45 Mil.
Long-Term Debt & Capital Lease Obligation was £57.63 Mil.
Net Income was 28.41 + 24.218 + 31.017 + 32.603 = £116.25 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = £0.00 Mil.
Cash Flow from Operations was -0.614 + 67.602 + 39.195 + 40.096 = £146.28 Mil.
 Total Receivables was £236.12 Mil.
Revenue was 286.971 + 293.653 + 282.917 + 276.456 = £1,140.00 Mil.
Gross Profit was 122.378 + 126.458 + 122.254 + 119.887 = £490.98 Mil.
Total Current Assets was £445.27 Mil.
Total Assets was £839.59 Mil.
Property, Plant and Equipment(Net PPE) was £132.63 Mil.
Depreciation, Depletion and Amortization(DDA) was £26.63 Mil.
Selling, General, & Admin. Expense(SGA) was £0.00 Mil.
Total Current Liabilities was £207.01 Mil.
Long-Term Debt & Capital Lease Obligation was £50.78 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)
=(247.888 / 1152.229) / (236.123 / 1139.997)
=0.215138 / 0.207126
=1.0387

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)
=(490.977 / 1139.997) / (489.05 / 1152.229)
=0.430683 / 0.424438
=1.0147

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 - (456.328 + 133.826) / 946.495) / (1 - (445.266 + 132.63) / 839.587)
=0.376485 / 0.31169
=1.2079

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
=1152.229 / 1139.997
=1.0107

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))
=(26.63 / (26.63 + 132.63)) / (31.514 / (31.514 + 133.826))
=0.167211 / 0.190601
=0.8773

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)
=(0 / 1152.229) / (0 / 1139.997)
=0 / 0
=1

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)
=((57.629 + 238.45) / 946.495) / ((50.776 + 207.005) / 839.587)
=0.312816 / 0.307033
=1.0188

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
=(116.248 - 0 - 146.279) / 946.495
=-0.031729

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.

Hexaware Technologies has a M-score of -2.51 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 -2.41 mean?
Hexaware Technologies (LSE:35PJ) has a Beneish M-Score of -2.41 as of Jun. 27, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Hexaware Technologies and its competitors. According to the industry distribution chart, Hexaware Technologies ranks #1531 out of 2634 companies in the Software industry, placing it in the top 58.1%.
Is Hexaware Technologies' Beneish M-Score too high?
Hexaware Technologies' current Beneish M-Score is -2.41. Based on the distribution chart, Hexaware Technologies ranks #1531 out of 2634 companies in the Software industry, which is below the industry midpoint. Overall, Hexaware Technologies has a GF Score™ of 39/100, reflecting its overall financial health beyond just this single metric.
How does Hexaware Technologies' Beneish M-Score compare to IBM and ACN?
According to the Software industry distribution chart, Hexaware Technologies ranks #1531 out of 2634 companies for Beneish M-Score. This places Hexaware Technologies 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 Software company?
A good Beneish M-Score depends on the Software 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 Hexaware Technologies and its competitors. Hexaware Technologies's current Beneish M-Score is -2.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hexaware Technologies stock overvalued right now?
Hexaware Technologies (LSE:35PJ) has a current Beneish M-Score of -2.41. The current Beneish M-Score is -2.41. Hexaware Technologies' overall GF Score™ is 39/100 with 1 warning sign 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 Hexaware Technologies (LSE:35PJ), the current Beneish M-Score is -2.41 as of Jun. 27, 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.

Hexaware Technologies Business Description

Other Exchanges HEXT:India544362:India
Address Q1, Loma Co-Developers1 Private Limited, 8th floor, 13th Level, Plot no. Gen-4/1, TTC Industrial Area, Ghansoli, Navi Mumbai, IND, 400710
Hexaware Technologies Ltd is a digital and technology services company with artificial intelligence. The segments of the company are based on the industries served: Financial Services, Healthcare and Insurance, Manufacturing and Consumer, Hi-Tech and Professional Services, Banking, and Travel and Transportation. The firm generates key revenue from the Travel and Transportation segment. Geographically, the firm generates the majority of its revenue from the Americas.