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First of Long Island (First of Long Island) Beneish M-Score : -2.86 (As of Apr. 26, 2024)


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What is First of Long Island Beneish M-Score?

Note: Financial institutions were excluded from the sample in Beneish paper when calculating Beneish M-Score. Thus, the prediction might not fit banks and insurance companies.

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 -2.86 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for First of Long Island's Beneish M-Score or its related term are showing as below:

FLIC' s Beneish M-Score Range Over the Past 10 Years
Min: -2.86   Med: -2.43   Max: -2.33
Current: -2.86

During the past 13 years, the highest Beneish M-Score of First of Long Island was -2.33. The lowest was -2.86. And the median was -2.43.


First of Long Island 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 First of Long Island 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+0.528 * 1+0.404 * 0.9953+0.892 * 0.7255+0.115 * 1.0588
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.2534+4.679 * -0.001398-0.327 * 1.268
=-2.86

* 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 (Dec23) TTM:Last Year (Dec22) TTM:
Total Receivables was $0.00 Mil.
Revenue was 22.115 + 23.676 + 24.523 + 22.647 = $92.96 Mil.
Gross Profit was 22.115 + 23.676 + 24.523 + 22.647 = $92.96 Mil.
Total Current Assets was $756.76 Mil.
Total Assets was $4,235.90 Mil.
Property, Plant and Equipment(Net PPE) was $54.00 Mil.
Depreciation, Depletion and Amortization(DDA) was $5.75 Mil.
Selling, General, & Admin. Expense(SGA) was $37.37 Mil.
Total Current Liabilities was $70.00 Mil.
Long-Term Debt & Capital Lease Obligation was $497.44 Mil.
Net Income was 6.059 + 6.8 + 6.899 + 6.481 = $26.24 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0.00 Mil.
Cash Flow from Operations was 17.776 + 0.494 + 5.673 + 8.219 = $32.16 Mil.
Total Receivables was $0.00 Mil.
Revenue was 30.676 + 33.305 + 32.719 + 31.429 = $128.13 Mil.
Gross Profit was 30.676 + 33.305 + 32.719 + 31.429 = $128.13 Mil.
Total Current Assets was $747.59 Mil.
Total Assets was $4,281.51 Mil.
Property, Plant and Equipment(Net PPE) was $55.61 Mil.
Depreciation, Depletion and Amortization(DDA) was $6.31 Mil.
Selling, General, & Admin. Expense(SGA) was $41.10 Mil.
Total Current Liabilities was $15.45 Mil.
Long-Term Debt & Capital Lease Obligation was $436.90 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)
=(0 / 92.961) / (0 / 128.129)
=0 / 0
=1

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)
=(128.129 / 128.129) / (92.961 / 92.961)
=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 - (756.764 + 54.002) / 4235.9) / (1 - (747.591 + 55.612) / 4281.511)
=0.808597 / 0.812402
=0.9953

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
=92.961 / 128.129
=0.7255

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))
=(6.311 / (6.311 + 55.612)) / (5.752 / (5.752 + 54.002))
=0.101917 / 0.096261
=1.0588

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)
=(37.373 / 92.961) / (41.096 / 128.129)
=0.402029 / 0.320739
=1.2534

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)
=((497.44 + 70) / 4235.9) / ((436.896 + 15.445) / 4281.511)
=0.13396 / 0.10565
=1.268

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
=(26.239 - 0 - 32.162) / 4235.9
=-0.001398

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.

First of Long Island has a M-score of -2.86 suggests that the company is unlikely to be a manipulator.


First of Long Island Beneish M-Score Related Terms

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First of Long Island (First of Long Island) Business Description

Traded in Other Exchanges
N/A
Address
275 Broadhollow Road, Melville, NY, USA, 11747
First of Long Island Corp is a holding company that provides financial services. It offers services of saving accounts, current accounts, and capital gain accounts. The company also provides lending services, such as commercial and residential mortgage loans, industrial loans, small business credit scored loans, and other credit facilities. In addition, the company provides account reconciliation services, ATM Banking, bill payment, cash management services, mobile banking, online banking, and payroll services to privately owned businesses, professionals, consumers, and public bodies. Revenue earned by the company mainly consists of the interest on loans and investment securities, fees on deposit accounts, and income from investment management.
Executives
Christopher J Hilton officer: Executive Vice President C/O SUFFOLK BANCORP, 4 WEST SECOND STREET, PO BOX 9000, RIVERHEAD NY 11901
Tanweer Sheikh Ansari officer: EVP, Internal Counsel 10 GLEN HEAD ROAD, GLEN HEAD NY 11545
Cooper John Abbott Root director 215 EAST 72ND STREET, 7W, NEW YORK NY 10021
Susanne Pheffer officer: EVP, Chief Information Officer 10 GLEN HEAD ROAD, GLEN HEAD NY 11545
Edward J. Haye director 275 BROADHOLLOW ROAD, MELVILLE NY 11747
Paul T Canarick director
Milbrey Rennie Taylor director C/O THE FIRST OF LONG ISLAND CORPORATION, 10 GLEN HEAD ROAD, GLEN HEAD NY 11545
Teagle Walter C Iii director
Michael J. Spolarich officer: EVP, Chief Credit Officer 10 GLEN HEAD ROAD, GLEN HEAD NY 11545
Christopher Becker officer: Vice President 37 COOPER LANE, EAST HAMPTON NY 11937
Janet T Verneuille officer: Executive Vice President PO BOX 3005, BRIDGEHAMPTON NY 11932
Alexander L Cover director
Michael N Vittorio director, officer: President & CEO
Jay P Mcconie officer: Executive Vice President, CFO 10 GLEN HEAD ROAD, GLEN HEAD NY 11545
Mark D Curtis officer: Sr. Vice President & Treasurer