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R.R.Donnelley & Sons Co (R.R.Donnelley & Sons Co) Beneish M-Score : 0.00 (As of May. 05, 2024)


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What is R.R.Donnelley & Sons Co 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 R.R.Donnelley & Sons Co's Beneish M-Score or its related term are showing as below:

During the past 13 years, the highest Beneish M-Score of R.R.Donnelley & Sons Co was 0.00. The lowest was 0.00. And the median was 0.00.


R.R.Donnelley & Sons Co Beneish M-Score Historical Data

The historical data trend for R.R.Donnelley & Sons Co'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.

R.R.Donnelley & Sons Co Beneish M-Score Chart

R.R.Donnelley & Sons Co Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.61 -2.77 -2.97 -2.44 -2.49

R.R.Donnelley & Sons Co Quarterly Data
Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21
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 -2.44 -2.61 -2.34 -2.19 -2.49

Competitive Comparison of R.R.Donnelley & Sons Co's Beneish M-Score

For the Specialty Business Services subindustry, R.R.Donnelley & Sons Co'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.


R.R.Donnelley & Sons Co's Beneish M-Score Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, R.R.Donnelley & Sons Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where R.R.Donnelley & Sons Co's Beneish M-Score falls into.



R.R.Donnelley & Sons Co 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 R.R.Donnelley & Sons Co 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 * 1.0118+0.528 * 1.0503+0.404 * 0.9858+0.892 * 1.0414+0.115 * 1.0674
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9652+4.679 * -0.018522-0.327 * 1.0158
=-2.49

* 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 (Dec21) TTM:Last Year (Dec20) TTM:
Total Receivables was $1,063 Mil.
Revenue was 1377.2 + 1267.8 + 1145.6 + 1173.1 = $4,964 Mil.
Gross Profit was 272.3 + 254.9 + 217.5 + 224.1 = $969 Mil.
Total Current Assets was $1,807 Mil.
Total Assets was $3,131 Mil.
Property, Plant and Equipment(Net PPE) was $623 Mil.
Depreciation, Depletion and Amortization(DDA) was $131 Mil.
Selling, General, & Admin. Expense(SGA) was $601 Mil.
Total Current Liabilities was $1,319 Mil.
Long-Term Debt & Capital Lease Obligation was $1,616 Mil.
Net Income was -13.9 + 28.3 + -9.4 + -1.3 = $4 Mil.
Non Operating Income was -9.9 + 1.4 + -20.9 + -1 = $-30 Mil.
Cash Flow from Operations was 121.1 + 35.8 + -45.9 + -18.9 = $92 Mil.
Total Receivables was $1,009 Mil.
Revenue was 1348.6 + 1191.3 + 1009.6 + 1216.9 = $4,766 Mil.
Gross Profit was 288.8 + 247.7 + 192.3 + 248.3 = $977 Mil.
Total Current Assets was $1,757 Mil.
Total Assets was $3,131 Mil.
Property, Plant and Equipment(Net PPE) was $663 Mil.
Depreciation, Depletion and Amortization(DDA) was $150 Mil.
Selling, General, & Admin. Expense(SGA) was $598 Mil.
Total Current Liabilities was $1,290 Mil.
Long-Term Debt & Capital Lease Obligation was $1,599 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)
=(1063.4 / 4963.7) / (1009.2 / 4766.4)
=0.214235 / 0.211732
=1.0118

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)
=(977.1 / 4766.4) / (968.8 / 4963.7)
=0.204997 / 0.195177
=1.0503

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 - (1806.8 + 622.9) / 3131.4) / (1 - (1756.6 + 662.6) / 3130.9)
=0.224085 / 0.227315
=0.9858

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
=4963.7 / 4766.4
=1.0414

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))
=(150.3 / (150.3 + 662.6)) / (130.5 / (130.5 + 622.9))
=0.184894 / 0.173215
=1.0674

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)
=(600.6 / 4963.7) / (597.5 / 4766.4)
=0.120998 / 0.125357
=0.9652

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)
=((1616.2 + 1319) / 3131.4) / ((1598.9 + 1290.2) / 3130.9)
=0.937344 / 0.92277
=1.0158

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
=(3.7 - -30.4 - 92.1) / 3131.4
=-0.018522

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.

R.R.Donnelley & Sons Co has a M-score of -2.49 suggests that the company is unlikely to be a manipulator.


R.R.Donnelley & Sons Co Beneish M-Score Related Terms

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R.R.Donnelley & Sons Co (R.R.Donnelley & Sons Co) Business Description

Traded in Other Exchanges
N/A
Address
35 West Wacker Drive, Chicago, IL, USA, 60601
R.R.Donnelley & Sons Co provides integrated communication strategies by helping organizations communicate more effectively by working to create, manage and produce the content on behalf of its customers. It assists its customers in developing and executing multichannel communication strategies. The company carries its operations in the United States, Europe, Asia and other countries. The maximum earnings come from the U.S.A.
Executives
Chatham Asset Management, Llc 10 percent owner 26 MAIN STREET, SUITE 204, CHATHAM NJ 07928
David Miles Houck officer: EVP, Chief Information Officer 35 WEST WACKER DR. CHICAGO IL 60606
Dupont Albert officer: EVP, Chief Commercial Officer 35 WEST WACKER DR. CHICAGO IL 60606
Ray James R Jr director COMMERCIAL VEHICLE GROUP, INC., 7800 WALTON PARKWAY, NEW ALBANY OH 43054
Kenneth E O'brien officer: EVP and CIO C/O RR DONNELLEY & SONS COMPANY 35 W. WACKER DRIVE CHICAGO IL 60601
Sheila M Rutt officer: EVP and CHRO 5995 MAYFAIR ROAD, NORTH CANTON OH 44720
Terry D Peterson officer: See Remarks 3680 VICTORIA STREET N., SHOREVIEW MN 55128
Douglas D Ryan officer: President-Marketing Solutions C/O RR DONNELLEY & SONS COMPANY 35 W. WACKER DRIVE CHICAGO IL 60601
J. Glynn Perry officer: EVP, Operations C/O RR DONNELLEY & SONS COMPANY 35 W. WACKER DRIVE CHICAGO IL 60601
Timothy R Mclevish director 2440 BEAR HOLLOW DRIVE, PARK CITY UT 84098
Irene M Esteves director C/O TIME WARNER CABLE INC., 60 COLUMBUS CIRCLE, 17TH FLOOR, NEW YORK NY 10023
Michael J Sharp officer: SVP - Chief Accounting Officer 1100 N WOOD DALE ROAD, WOOD DALE IL 60191
Daniel L. Knotts director, officer: CEO and President C/O RR DONNELLEY 111 SOUTH WACKER DRIVE CHICAGO IL 60606
John P Pecaric officer: See Remarks C/O RR DONNELLEY & SONS COMPANY 35 W. WACKER DRIVE CHICAGO IL 60601
Jamie Moldafsky director C/O WELLS FARGO 420 MONTGOMERY ST., 12TH FLOOR SAN FRANCISCO CA 94104

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