Shengyuan Environmental Protection Co (SZSE:300867) Beneish M-Score : -2.44 (As of May. 05, 2024)

View and export this data going back to 2020. Start your Free Trial

What is Shengyuan Environmental Protection 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 -2.44 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Shengyuan Environmental Protection Co's Beneish M-Score or its related term are showing as below:

SZSE:300867' s Beneish M-Score Range Over the Past 10 Years
Min: -2.83 Med: -2.4 Max: -0.81
Current: -2.44

During the past 11 years, the highest Beneish M-Score of Shengyuan Environmental Protection Co was -0.81. The lowest was -2.83. And the median was -2.40.

Shengyuan Environmental Protection Co Beneish M-Score Historical Data

The historical data trend for Shengyuan Environmental Protection 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.

Shengyuan Environmental Protection Co Beneish M-Score Chart

Shengyuan Environmental Protection Co Annual Data

Trend

Dec13

Dec14

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Beneish M-Score

Get a 7-Day Free Trial

-1.52

-1.18

-2.83

-2.40

Shengyuan Environmental Protection Co Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Beneish M-Score	Get a 7-Day Free Trial															-2.75	-2.79	-2.80	-2.40	-2.44

Competitive Comparison of Shengyuan Environmental Protection Co's Beneish M-Score

For the Waste Management subindustry, Shengyuan Environmental Protection 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.

Shengyuan Environmental Protection Co's Beneish M-Score Distribution in the Waste Management Industry

For the Waste Management industry and Industrials sector, Shengyuan Environmental Protection Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Shengyuan Environmental Protection Co's Beneish M-Score falls into.

Shengyuan Environmental Protection 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 Shengyuan Environmental Protection Co 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 * 1.1895

0.528 * 0.9321

0.404 * 0.983

0.892 * 1.059

0.115 * 1

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.0528

4.679 * -0.031363

0.327 * 0.9751

-2.44

This Year (Mar24) TTM:

Last Year (Mar23) TTM:

Total Receivables was ¥1,252 Mil.
Revenue was 376.573 + 538.479 + 389.466 + 434.141 = ¥1,739 Mil.
Gross Profit was 158.192 + 108.402 + 148.176 + 154.434 = ¥569 Mil.
Total Current Assets was ¥1,627 Mil.
Total Assets was ¥8,526 Mil.
Property, Plant and Equipment(Net PPE) was ¥564 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥44 Mil.
Total Current Liabilities was ¥1,615 Mil.
Long-Term Debt & Capital Lease Obligation was ¥2,954 Mil.
Net Income was 44.542 + 14.446 + 38.905 + 51.893 = ¥150 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ¥0 Mil.
Cash Flow from Operations was 62.656 + 138.709 + 130.564 + 85.266 = ¥417 Mil.

Total Receivables was ¥994 Mil.
Revenue was 385.507 + 408.491 + 430.475 + 417.33 = ¥1,642 Mil.
Gross Profit was 137.082 + 99.766 + 119.489 + 144.671 = ¥501 Mil.
Total Current Assets was ¥1,485 Mil.
Total Assets was ¥8,301 Mil.
Property, Plant and Equipment(Net PPE) was ¥542 Mil.
Depreciation, Depletion and Amortization(DDA) was ¥0 Mil.
Selling, General, & Admin. Expense(SGA) was ¥40 Mil.
Total Current Liabilities was ¥1,255 Mil.
Long-Term Debt & Capital Lease Obligation was ¥3,307 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)
	=	(1252.337 / 1738.659)	/	(994.209 / 1641.803)
	=	0.720289	/	0.605559
	=	1.1895

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)
	=	(501.008 / 1641.803)	/	(569.204 / 1738.659)
	=	0.305157	/	0.327381
	=	0.9321

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 - (1627.17 + 564.152) / 8526.237)	/	(1 - (1484.523 + 542.43) / 8300.564)
	=	0.742991	/	0.755805
	=	0.983

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
	=	1738.659	/	1641.803
	=	1.059

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 + 542.43))	/	(0 / (0 + 564.152))
	=	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)
	=	(44.351 / 1738.659)	/	(39.779 / 1641.803)
	=	0.025509	/	0.024229
	=	1.0528

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)
	=	((2953.806 + 1614.707) / 8526.237)	/	((3306.635 + 1254.606) / 8300.564)
	=	0.535818	/	0.54951
	=	0.9751

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
	=	(149.786 - 0	-	417.195)	/	8526.237
	=	-0.031363

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.

Shengyuan Environmental Protection Co has a M-score of -2.44 suggests that the company is unlikely to be a manipulator.

Shengyuan Environmental Protection Co Beneish M-Score Related Terms

Thank you for viewing the detailed overview of Shengyuan Environmental Protection Co's Beneish M-Score provided by GuruFocus.com. Please click on the following links to see related term pages.

Shengyuan Environmental Protection Co (SZSE:300867) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Waste Management » Shengyuan Environmental Protection Co Ltd (SZSE:300867) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

No. 6 Huli Avenue, second floor of Dongdu Road No.104, Northern Commercial Building, Huli District, Fujian Province, Xiamen, CHN

Website

https://www.chinasyep.com

Shengyuan Environmental Protection Co Ltd is a comprehensive management enterprise specializing in garbage incineration power generation, sewage treatment, among others. The company owns garbage incineration power plants in operation, construction and preparation, sewage treatment plants, landfill leachate treatment station, kitchen waste disposal project under way, and the system of collection, transportation and terminal treatment of domestic garbage.

Shengyuan Environmental Protection Co (SZSE:300867) Headlines

No Headlines