Resolute Energy (Resolute Energy) Beneish M-Score : 0.00 (As of Apr. 26, 2024)

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What is Resolute Energy 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.

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

During the past 11 years, the highest Beneish M-Score of Resolute Energy was 0.00. The lowest was 0.00. And the median was 0.00.

Resolute Energy Beneish M-Score Historical Data

The historical data trend for Resolute Energy'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.

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Resolute Energy Beneish M-Score Chart

Resolute Energy Annual Data

Trend

Dec08

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

Beneish M-Score

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-2.53

-3.39

-5.23

-3.66

-3.26

Resolute Energy Quarterly Data
	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18
Beneish M-Score	Get a 7-Day Free Trial															-3.05	-3.26	-4.03	-3.77	-3.72

Competitive Comparison of Resolute Energy's Beneish M-Score

For the Oil & Gas E&P subindustry, Resolute Energy'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.

Resolute Energy's Beneish M-Score Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Resolute Energy's Beneish M-Score distribution charts can be found below:

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

Resolute Energy 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 Resolute Energy 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 * 0.7156

0.528 * 1

0.404 * 0.7031

0.892 * 1.2427

0.115 * 0.8793

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.3882

4.679 * -0.160285

0.327 * 1.0354

-3.49

This Year (Sep18) TTM:

Last Year (Sep17) TTM:

Total Receivables was $65.7 Mil.
Revenue was 106.747 + 73.38 + 74.718 + 89.255 = $344.1 Mil.
Gross Profit was 106.747 + 73.38 + 74.718 + 89.255 = $344.1 Mil.
Total Current Assets was $77.0 Mil.
Total Assets was $897.8 Mil.
Property, Plant and Equipment(Net PPE) was $802.3 Mil.
Depreciation, Depletion and Amortization(DDA) was $108.3 Mil.
Selling, General, & Admin. Expense(SGA) was $66.2 Mil.
Total Current Liabilities was $270.8 Mil.
Long-Term Debt & Capital Lease Obligation was $706.1 Mil.
Net Income was -14.302 + -3.732 + -12.857 + -1.332 = $-32.2 Mil.
Non Operating Income was -30.174 + -8.388 + -6.857 + -6.738 = $-52.2 Mil.
Cash Flow from Operations was 78.266 + 14.399 + 45.89 + 25.282 = $163.8 Mil.

Total Receivables was $73.8 Mil.
Revenue was 79.371 + 70.26 + 64.592 + 62.668 = $276.9 Mil.
Gross Profit was 79.371 + 70.26 + 64.592 + 62.668 = $276.9 Mil.
Total Current Assets was $78.3 Mil.
Total Assets was $792.3 Mil.
Property, Plant and Equipment(Net PPE) was $690.8 Mil.
Depreciation, Depletion and Amortization(DDA) was $80.7 Mil.
Selling, General, & Admin. Expense(SGA) was $38.4 Mil.
Total Current Liabilities was $187.5 Mil.
Long-Term Debt & Capital Lease Obligation was $645.2 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)
	=	(65.655 / 344.1)	/	(73.83 / 276.891)
	=	0.190802	/	0.266639
	=	0.7156

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)
	=	(276.891 / 276.891)	/	(344.1 / 344.1)
	=	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 - (77.029 + 802.275) / 897.792)	/	(1 - (78.282 + 690.833) / 792.32)
	=	0.020593	/	0.029287
	=	0.7031

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
	=	344.1	/	276.891
	=	1.2427

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))
	=	(80.651 / (80.651 + 690.833))	/	(108.253 / (108.253 + 802.275))
	=	0.10454	/	0.11889
	=	0.8793

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)
	=	(66.245 / 344.1)	/	(38.401 / 276.891)
	=	0.192517	/	0.138686
	=	1.3882

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)
	=	((706.145 + 270.8) / 897.792)	/	((645.193 + 187.537) / 792.32)
	=	1.088164	/	1.051002
	=	1.0354

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
	=	(-32.223 - -52.157	-	163.837)	/	897.792
	=	-0.160285

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.

Resolute Energy has a M-score of -3.49 suggests that the company is unlikely to be a manipulator.

Resolute Energy Beneish M-Score Related Terms

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Resolute Energy (Resolute Energy) Business Description

Industry

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Address

1700 Lincoln Street, Suite 2800, Denver, CO, USA, 80203

Website

http://www.resoluteenergy.com

Resolute Energy Corp is an independent oil and gas company engaged in the exploitation, development, exploration for and acquisition of oil and gas properties. The group primarily operates in Oil, Gas and Natural gas liquids division. The company's operating assets are comprised primarily of properties in the Permian Basin in west Texas and southeast New Mexico and Aneth Field located in the Paradox Basin in the southeast. Geographically all the business activities of the firm are operated through the United States of America. Resolute derives the majority of revenue from oil division.