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General Mills Beneish M-Score

: -2.54 (As of Today)
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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 -2.54 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

GIS' s Beneish M-Score Range Over the Past 10 Years
Min: -2.97   Med: -2.58   Max: -1.02
Current: -2.54

During the past 13 years, the highest Beneish M-Score of General Mills was -1.02. The lowest was -2.97. And the median was -2.58.


General Mills Beneish M-Score Historical Data

The historical data trend for General Mills'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.

General Mills Annual Data
Trend May12 May13 May14 May15 May16 May17 May18 May19 May20 May21
Beneish M-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.60 -2.37 -2.55 -2.82 -2.53

General Mills Quarterly Data
May17 Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22
Beneish M-Score 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 Premium Member Only Premium Member Only Premium Member Only -2.66 -2.53 -2.50 -2.56 -2.54

Competitive Comparison

For the Packaged Foods subindustry, General Mills'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.

   

General Mills Beneish M-Score Distribution

For the Consumer Packaged Goods industry and Consumer Defensive sector, General Mills's Beneish M-Score distribution charts can be found below:

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



General Mills 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 General Mills 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 * 0.9855+0.528 * 1.0672+0.404 * 1.0621+0.892 * 0.9999+0.115 * 0.9683
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9928+4.679 * -0.0248-0.327 * 0.9632
=-2.54

* 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 (Feb22) TTM:Last Year (Feb21) TTM:
Total Receivables was $1,750 Mil.
Revenue was 4537.7 + 5024 + 4539.9 + 4523.6 = $18,625 Mil.
Gross Profit was 1403.7 + 1631.2 + 1597.4 + 1582.9 = $6,215 Mil.
Total Current Assets was $5,029 Mil.
Total Assets was $31,144 Mil.
Property, Plant and Equipment(Net PPE) was $3,288 Mil.
Depreciation, Depletion and Amortization(DDA) was $577 Mil.
Selling, General, & Admin. Expense(SGA) was $3,161 Mil.
Total Current Liabilities was $6,839 Mil.
Long-Term Debt & Capital Lease Obligation was $10,945 Mil.
Net Income was 660.3 + 597.2 + 627 + 416.8 = $2,301 Mil.
Non Operating Income was 190.1 + 25.4 + 33.9 + -178.7 = $71 Mil.
Cash Flow from Operations was 730.3 + 1128 + 369.8 + 775.3 = $3,003 Mil.
Total Receivables was $1,776 Mil.
Revenue was 4520 + 4719.4 + 4364 + 5023 = $18,626 Mil.
Gross Profit was 1553.9 + 1721.1 + 1590.4 + 1768.1 = $6,634 Mil.
Total Current Assets was $6,612 Mil.
Total Assets was $32,649 Mil.
Property, Plant and Equipment(Net PPE) was $3,506 Mil.
Depreciation, Depletion and Amortization(DDA) was $593 Mil.
Selling, General, & Admin. Expense(SGA) was $3,184 Mil.
Total Current Liabilities was $9,590 Mil.
Long-Term Debt & Capital Lease Obligation was $9,767 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)
=(1750.4 / 18625.2) / (1776.2 / 18626.4)
=0.0939802 / 0.09535928
=0.9855

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)
=(6633.5 / 18626.4) / (6215.2 / 18625.2)
=0.3561343 / 0.33369843
=1.0672

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 - (5028.6 + 3287.9) / 31143.8) / (1 - (6612.4 + 3505.5) / 32648.8)
=0.73296451 / 0.69009887
=1.0621

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
=18625.2 / 18626.4
=0.9999

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))
=(592.8 / (592.8 + 3505.5)) / (577.4 / (577.4 + 3287.9))
=0.14464534 / 0.14938038
=0.9683

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)
=(3160.6 / 18625.2) / (3183.7 / 18626.4)
=0.16969482 / 0.17092406
=0.9928

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)
=((10944.7 + 6839) / 31143.8) / ((9766.6 + 9589.7) / 32648.8)
=0.57101895 / 0.59286406
=0.9632

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
=(2301.3 - 70.7 - 3003.4) / 31143.8
=-0.0248

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.

General Mills has a M-score of -2.54 suggests that the company is unlikely to be a manipulator.


General Mills Beneish M-Score Related Terms

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General Mills Business Description

General Mills logo
Industry
Address
Number One General Mills Boulevard, Minneapolis, MN, USA, 55426
General Mills is a leading global packaged food company that produces snacks, cereal, convenient meals, yogurt, dough, baking mixes and ingredients, pet food, and superpremium ice cream. Its largest brands are Nature Valley, Cheerios, Old El Paso, Yoplait, Pillsbury, Betty Crocker, BLUE, and Haagen-Dazs. In fiscal 2021, 75% of its revenue was derived from the United States, although the company also operates in Canada, Europe, Australia, Asia, and Latin America. While most of General Mills' products are sold through retail stores to consumers, the company also sells products into the food-service channel and the commercial baking industry.
Executives
Walker Sean N officer: Group President NUMBER ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Church John R officer: Chief SC & GBS Officer ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Nudi Jonathon officer: Group President GENERAL MILLS, INC. ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Henry Maria director C/O THE HILLSHIRE BRANDS COMPANY 3500 LACEY ROAD DOWNERS GROVE IL 60515
Neal Diane L director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: NEAL DIANE L a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Jenkins Jo Ann director 2211 SOUTH 47TH STREET PHOENIX AZ 85034
Lempres Elizabeth Cahill director TWO COMMERCE SQUARE 2001 MARKET STREET, SUITE 3600 PHILADELPHIA PA 19103
Uribe Jorge A. director 5 WESTBROOK CORPORATE CENTER WESTCHESTER IL 60154
Cordani David director CIGNA CORPORATION 900 COTTAGE GROVE ROAD BLOOMFIELD CT 06002
Odland Stephen A director ONE GENERAL MILLS BLVD M03-08 MINNEAPOLIS MN 55426
Clark R Kerry director C/O THE PROCTER & GAMBLE COMPANY ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Sastre Maria director C/O DARDEN RESTAURANTS, INC. 1000 DARDEN CENTER DRIVE ORLANDO FL 32837
Sprunk Eric D director ONE BOWERMAN DRIVE BEAVERTON OR 97005
Ferguson Roger W. Jr. director INTERNATIONAL FLAVORS & FRAGRANCES INC. 521 WEST 57TH STREET NEW YORK NY 10019
Ogrady Shawn P officer: Group President ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426

General Mills Headlines

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