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Polygiene Group AB (OSTO:POLYG) Beneish M-Score : -7.71 (As of Dec. 13, 2024)


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What is Polygiene Group AB 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.

Good Sign:

Beneish M-Score -7.71 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

OSTO:POLYG' s Beneish M-Score Range Over the Past 10 Years
Min: -7.93   Med: -2.23   Max: -0.43
Current: -7.71

During the past 11 years, the highest Beneish M-Score of Polygiene Group AB was -0.43. The lowest was -7.93. And the median was -2.23.


Polygiene Group AB Beneish M-Score Historical Data

The historical data trend for Polygiene Group AB'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.

Polygiene Group AB Beneish M-Score Chart

Polygiene Group AB Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -4.10 -2.69 -0.55 -2.25 -7.90

Polygiene Group AB Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Beneish M-Score Get a 7-Day Free Trial 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 -7.90 -7.61 -7.93 -7.71

Competitive Comparison of Polygiene Group AB's Beneish M-Score

For the Specialty Chemicals subindustry, Polygiene Group AB'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.


Polygiene Group AB's Beneish M-Score Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Polygiene Group AB's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Polygiene Group AB's Beneish M-Score falls into.



Polygiene Group AB 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 Polygiene Group AB 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 * 1.0618+0.528 * 1.0608+0.404 * 0.7762+0.892 * 1.1378+0.115 * 0.6959
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8489+4.679 * -1.007002-0.327 * 2.9237
=-7.71

* 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 (Sep24) TTM:Last Year (Sep23) TTM:
Total Receivables was kr30.4 Mil.
Revenue was 42.704 + 36.514 + 36.199 + 27.735 = kr143.2 Mil.
Gross Profit was 29.227 + 23.71 + 24.09 + 16.162 = kr93.2 Mil.
Total Current Assets was kr120.8 Mil.
Total Assets was kr339.2 Mil.
Property, Plant and Equipment(Net PPE) was kr4.0 Mil.
Depreciation, Depletion and Amortization(DDA) was kr300.8 Mil.
Selling, General, & Admin. Expense(SGA) was kr8.5 Mil.
Total Current Liabilities was kr28.3 Mil.
Long-Term Debt & Capital Lease Obligation was kr1.5 Mil.
Net Income was 1.759 + -1.374 + 9.092 + -335.503 = kr-326.0 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = kr0.0 Mil.
Cash Flow from Operations was 4.629 + 6.016 + 3.334 + 1.556 = kr15.5 Mil.
Total Receivables was kr25.2 Mil.
Revenue was 30.752 + 26.154 + 28.9 + 40.01 = kr125.8 Mil.
Gross Profit was 20.751 + 18.847 + 21.394 + 25.889 = kr86.9 Mil.
Total Current Assets was kr115.3 Mil.
Total Assets was kr633.4 Mil.
Property, Plant and Equipment(Net PPE) was kr2.4 Mil.
Depreciation, Depletion and Amortization(DDA) was kr5.2 Mil.
Selling, General, & Admin. Expense(SGA) was kr8.8 Mil.
Total Current Liabilities was kr18.5 Mil.
Long-Term Debt & Capital Lease Obligation was kr0.6 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)
=(30.404 / 143.152) / (25.166 / 125.816)
=0.21239 / 0.200022
=1.0618

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)
=(86.881 / 125.816) / (93.189 / 143.152)
=0.69054 / 0.650979
=1.0608

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 - (120.842 + 3.974) / 339.186) / (1 - (115.293 + 2.357) / 633.439)
=0.632013 / 0.814268
=0.7762

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
=143.152 / 125.816
=1.1378

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))
=(5.168 / (5.168 + 2.357)) / (300.802 / (300.802 + 3.974))
=0.686777 / 0.986961
=0.6959

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)
=(8.5 / 143.152) / (8.8 / 125.816)
=0.059377 / 0.069943
=0.8489

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)
=((1.504 + 28.336) / 339.186) / ((0.555 + 18.505) / 633.439)
=0.087975 / 0.03009
=2.9237

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
=(-326.026 - 0 - 15.535) / 339.186
=-1.007002

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.

Polygiene Group AB has a M-score of -7.71 suggests that the company is unlikely to be a manipulator.


Polygiene Group AB Beneish M-Score Related Terms

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Polygiene Group AB Business Description

Traded in Other Exchanges
Address
Styrmansgatan 2, Malmo, SWE, SE-211 18
Polygiene Group AB is a provider of odor control and stay fresh solutions. Its sales and markets its products in various segments including Sport and Outdoor, Lifestyle, Home Design, and Footwear. It generates the majority of the revenue from Product Protection by sales of products such as ViralOff, BioMaster and VeriMaster. The company generates revenue through sales of chemicals and royalties.

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