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Harbin Pharmaceutical Group Co (SHSE:600664) Beneish M-Score : -2.41 (As of Dec. 13, 2024)


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What is Harbin Pharmaceutical Group 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.

Good Sign:

Beneish M-Score -2.41 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

SHSE:600664' s Beneish M-Score Range Over the Past 10 Years
Min: -6.85   Med: -2.58   Max: -0.5
Current: -2.41

During the past 13 years, the highest Beneish M-Score of Harbin Pharmaceutical Group Co was -0.50. The lowest was -6.85. And the median was -2.58.


Harbin Pharmaceutical Group Co Beneish M-Score Historical Data

The historical data trend for Harbin Pharmaceutical Group 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.

Harbin Pharmaceutical Group Co Beneish M-Score Chart

Harbin Pharmaceutical Group Co 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 -1.66 -4.57 -0.65 -2.60 -2.71

Harbin Pharmaceutical Group Co 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 -2.82 -2.71 -2.54 -2.56 -2.41

Competitive Comparison of Harbin Pharmaceutical Group Co's Beneish M-Score

For the Drug Manufacturers - Specialty & Generic subindustry, Harbin Pharmaceutical Group 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.


Harbin Pharmaceutical Group Co's Beneish M-Score Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Harbin Pharmaceutical Group Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Harbin Pharmaceutical Group Co's Beneish M-Score falls into.



Harbin Pharmaceutical Group 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 Harbin Pharmaceutical Group 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 * 0.9519+0.528 * 0.9265+0.404 * 0.9925+0.892 * 1.0592+0.115 * 1
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0786+4.679 * 0.020342-0.327 * 0.9416
=-2.41

* 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 ¥5,279 Mil.
Revenue was 4114.244 + 4000.036 + 4142.161 + 3962.726 = ¥16,219 Mil.
Gross Profit was 1079.051 + 1204.027 + 1176.573 + 1146.081 = ¥4,606 Mil.
Total Current Assets was ¥10,663 Mil.
Total Assets was ¥14,268 Mil.
Property, Plant and Equipment(Net PPE) was ¥2,342 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥2,234 Mil.
Total Current Liabilities was ¥7,885 Mil.
Long-Term Debt & Capital Lease Obligation was ¥55 Mil.
Net Income was 164.9 + 166.645 + 176.741 + 104.762 = ¥613 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ¥0 Mil.
Cash Flow from Operations was 105.032 + 344.424 + -270.799 + 144.153 = ¥323 Mil.
Total Receivables was ¥5,235 Mil.
Revenue was 3790.464 + 3771.838 + 3931.55 + 3818.204 = ¥15,312 Mil.
Gross Profit was 996.084 + 924.224 + 985.418 + 1122.931 = ¥4,029 Mil.
Total Current Assets was ¥10,193 Mil.
Total Assets was ¥13,918 Mil.
Property, Plant and Equipment(Net PPE) was ¥2,484 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥1,955 Mil.
Total Current Liabilities was ¥8,159 Mil.
Long-Term Debt & Capital Lease Obligation was ¥67 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)
=(5278.804 / 16219.167) / (5235.385 / 15312.056)
=0.325467 / 0.341913
=0.9519

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)
=(4028.657 / 15312.056) / (4605.732 / 16219.167)
=0.263104 / 0.283968
=0.9265

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 - (10662.852 + 2342.187) / 14268.018) / (1 - (10192.567 + 2484.102) / 13918.035)
=0.088518 / 0.089191
=0.9925

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
=16219.167 / 15312.056
=1.0592

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))
=(0 / (0 + 2484.102)) / (0 / (0 + 2342.187))
=0 / 0
=1

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)
=(2233.881 / 16219.167) / (1955.251 / 15312.056)
=0.137731 / 0.127694
=1.0786

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)
=((55.074 + 7885.144) / 14268.018) / ((66.808 + 8158.678) / 13918.035)
=0.556505 / 0.590995
=0.9416

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
=(613.048 - 0 - 322.81) / 14268.018
=0.020342

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.

Harbin Pharmaceutical Group Co has a M-score of -2.41 suggests that the company is unlikely to be a manipulator.


Harbin Pharmaceutical Group Co Beneish M-Score Related Terms

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Harbin Pharmaceutical Group Co Business Description

Traded in Other Exchanges
N/A
Address
Xi'an Street West, People 's Development Zone Baoan Road South, Heilongjiang Province, Harbin, CHN, 150018
Harbin Pharmaceutical Group Co Ltd is engaged in manufacturing, trading and research and development of pharmaceuticals. The company is organized into seven business segments - Antibiotics, Small-Molecular drug preparations, OTC and healthcare products, Modern Chinese medicines, Biopharmaceuticals, Animal vaccines, and medicine circulations. The company sells its products across China and fifty other countries. Some of its brands are - Hayao, Sanjing, Gaizhonggai, Hutong, and Shiyitang.
Executives
Liu Bo senior management
Xia Ji Cheng senior management
Qiu Fang Ju Supervisors
Li Bang Dong senior management
Jiang Hai Tao senior management
Meng Xiao Dong senior management
Lin Guo Ren senior management
Wang Hai Sheng senior management
Xu Hai Ying Directors, senior managers
Liang Chen senior management
Wang Peng Hao senior management
Xiao Qiang senior management
Bian Ke Supervisors
Zhou Xing senior management
Wei Shuang Ying senior management

Harbin Pharmaceutical Group Co Headlines

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