Banco Bilbao Vizcaya Argentaria 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 Banco Bilbao Vizcaya Argentaria 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 * 10.4166 | + | 0.528 * 1 | + | 0.404 * 0.9989 | + | 0.892 * 1.1554 | + | 0.115 * 1.0897 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 0.9428 | + | 4.679 * 0.003098 | - | 0.327 * 1.1034 |
| = | 6.32 |
* 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 (Jun24) TTM: | Last Year (Jun23) TTM: |
Total Receivables was MXN811,725 Mil.
Revenue was 200002.675 + 148265.891 + 137682.068 + 171883.801 = MXN657,834 Mil.
Gross Profit was 200002.675 + 148265.891 + 137682.068 + 171883.801 = MXN657,834 Mil.
Total Current Assets was MXN0 Mil.
Total Assets was MXN14,978,193 Mil.
Property, Plant and Equipment(Net PPE) was MXN185,429 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN27,825 Mil.
Selling, General, & Admin. Expense(SGA) was MXN218,347 Mil.
Total Current Liabilities was MXN0 Mil.
Long-Term Debt & Capital Lease Obligation was MXN1,478,466 Mil.
Net Income was 55098.351 + 39686.697 + 38094.877 + 38723.119 = MXN171,603 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = MXN0 Mil.
Cash Flow from Operations was 0 + 0 + 205245.869 + -80048.848 = MXN125,197 Mil.
|
Total Receivables was MXN67,443 Mil.
Revenue was 148945.757 + 134280.46 + 133993.695 + 152117.198 = MXN569,337 Mil.
Gross Profit was 148945.757 + 134280.46 + 133993.695 + 152117.198 = MXN569,337 Mil.
Total Current Assets was MXN0 Mil.
Total Assets was MXN14,161,939 Mil.
Property, Plant and Equipment(Net PPE) was MXN159,960 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN26,514 Mil.
Selling, General, & Admin. Expense(SGA) was MXN200,449 Mil.
Total Current Liabilities was MXN0 Mil.
Long-Term Debt & Capital Lease Obligation was MXN1,266,884 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) |
| = | (811724.521 / 657834.435) | / | (67442.58 / 569337.11) |
| = | 1.233934 | / | 0.118458 |
| | = | 10.4166 |
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) |
| = | (569337.11 / 569337.11) | / | (657834.435 / 657834.435) |
| = | 1 | / | 1 |
| | = | 1 |
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 - (0 + 185429.417) / 14978192.801) | / | (1 - (0 + 159960.202) / 14161938.698) |
| = | 0.98762 | / | 0.988705 |
| | = | 0.9989 |
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 |
| = | 657834.435 | / | 569337.11 |
| | = | 1.1554 |
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)) |
| = | (26513.851 / (26513.851 + 159960.202)) | / | (27824.607 / (27824.607 + 185429.417)) |
| = | 0.142185 | / | 0.130476 |
| | = | 1.0897 |
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) |
| = | (218346.897 / 657834.435) | / | (200448.528 / 569337.11) |
| = | 0.331918 | / | 0.352074 |
| | = | 0.9428 |
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) |
| = | ((1478465.837 + 0) / 14978192.801) | / | ((1266884.06 + 0) / 14161938.698) |
| = | 0.098708 | / | 0.089457 |
| | = | 1.1034 |
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 |
| = | (171603.044 - 0 | - | 125197.021) | / | 14978192.801 |
| | = | 0.003098 |
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.
Banco Bilbao Vizcaya Argentaria has a M-score of 6.32 signals that the company is likely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
MEX:BBVA has been successfully added to your