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Sparebanken Ost (OSL:SPOG) Beneish M-Score : -2.46 (As of Jun. 18, 2025)


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What is Sparebanken Ost 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 -2.46 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

OSL:SPOG' s Beneish M-Score Range Over the Past 10 Years
Min: -2.97   Med: -2.26   Max: -1.76
Current: -2.46

During the past 13 years, the highest Beneish M-Score of Sparebanken Ost was -1.76. The lowest was -2.97. And the median was -2.26.


Sparebanken Ost 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 Sparebanken Ost 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 * 0.9998+0.892 * 1.0151+0.115 * 1.0921
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.038+4.679 * -0.000657-0.327 * 0.9867
=-2.46

* 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 (Mar25) TTM:Last Year (Mar24) TTM:
Total Receivables was kr0.0 Mil.
Revenue was 240.3 + 242.4 + 261.1 + 253.6 = kr997.4 Mil.
Gross Profit was 240.3 + 242.4 + 261.1 + 253.6 = kr997.4 Mil.
Total Current Assets was kr0.0 Mil.
Total Assets was kr47,495.1 Mil.
Property, Plant and Equipment(Net PPE) was kr172.5 Mil.
Depreciation, Depletion and Amortization(DDA) was kr27.7 Mil.
Selling, General, & Admin. Expense(SGA) was kr17.7 Mil.
Total Current Liabilities was kr0.0 Mil.
Long-Term Debt & Capital Lease Obligation was kr24,812.6 Mil.
Net Income was 107.4 + 105 + 121.5 + 133.5 = kr467.4 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = kr0.0 Mil.
Cash Flow from Operations was 417.4 + 566.7 + -249.9 + -235.6 = kr498.6 Mil.
Total Receivables was kr0.0 Mil.
Revenue was 282.1 + 240.3 + 243.2 + 217 = kr982.6 Mil.
Gross Profit was 282.1 + 240.3 + 243.2 + 217 = kr982.6 Mil.
Total Current Assets was kr0.0 Mil.
Total Assets was kr46,800.2 Mil.
Property, Plant and Equipment(Net PPE) was kr161.8 Mil.
Depreciation, Depletion and Amortization(DDA) was kr28.8 Mil.
Selling, General, & Admin. Expense(SGA) was kr16.8 Mil.
Total Current Liabilities was kr0.0 Mil.
Long-Term Debt & Capital Lease Obligation was kr24,778.5 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 / 997.4) / (0 / 982.6)
=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)
=(982.6 / 982.6) / (997.4 / 997.4)
=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 + 172.5) / 47495.1) / (1 - (0 + 161.8) / 46800.2)
=0.996368 / 0.996543
=0.9998

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
=997.4 / 982.6
=1.0151

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))
=(28.8 / (28.8 + 161.8)) / (27.7 / (27.7 + 172.5))
=0.151102 / 0.138362
=1.0921

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)
=(17.7 / 997.4) / (16.8 / 982.6)
=0.017746 / 0.017097
=1.038

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)
=((24812.6 + 0) / 47495.1) / ((24778.5 + 0) / 46800.2)
=0.522424 / 0.529453
=0.9867

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
=(467.4 - 0 - 498.6) / 47495.1
=-0.000657

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.

Sparebanken Ost has a M-score of -2.46 suggests that the company is unlikely to be a manipulator.


Sparebanken Ost Beneish M-Score Related Terms

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Sparebanken Ost Business Description

Traded in Other Exchanges
Address
Bragernes Torg 2, PO Box 67, Hokksund, Drammen, NOR, 3301
Sparebanken Øst is a savings bank in Norway. It offers banking products and services to retail and corporate customers in the areas of loans, payment services, insurance products, property management as well as advisory services. Its mission is to be a non-affiliated, independent and locally managed provider of financial services, to enable people in general, along with small and medium-sized enterprises, to exploit their financial resources in the best possible manner.