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Trustco Bank N Y (Trustco Bank N Y) Beneish M-Score : -2.44 (As of Apr. 27, 2024)


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What is Trustco Bank N Y 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 -2.44 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Trustco Bank N Y's Beneish M-Score or its related term are showing as below:

TRST' s Beneish M-Score Range Over the Past 10 Years
Min: -2.57   Med: -2.48   Max: -2.25
Current: -2.44

During the past 13 years, the highest Beneish M-Score of Trustco Bank N Y was -2.25. The lowest was -2.57. And the median was -2.48.


Trustco Bank N Y 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 Trustco Bank N Y 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 * 1.0077+0.892 * 0.9537+0.115 * 0.9505
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.178+4.679 * -0.000889-0.327 * 0.6264
=-2.44

* 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 (Dec23) TTM:Last Year (Dec22) TTM:
Total Receivables was $0.0 Mil.
Revenue was 43.081 + 46.795 + 48.65 + 51.634 = $190.2 Mil.
Gross Profit was 43.081 + 46.795 + 48.65 + 51.634 = $190.2 Mil.
Total Current Assets was $501.6 Mil.
Total Assets was $6,168.2 Mil.
Property, Plant and Equipment(Net PPE) was $74.5 Mil.
Depreciation, Depletion and Amortization(DDA) was $10.8 Mil.
Selling, General, & Admin. Expense(SGA) was $57.4 Mil.
Total Current Liabilities was $89.0 Mil.
Long-Term Debt & Capital Lease Obligation was $44.5 Mil.
Net Income was 9.848 + 14.68 + 16.372 + 17.746 = $58.6 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0.0 Mil.
Cash Flow from Operations was 17.816 + 11.866 + 15.667 + 18.78 = $64.1 Mil.
Total Receivables was $0.0 Mil.
Revenue was 53.961 + 52.179 + 47.976 + 45.279 = $199.4 Mil.
Gross Profit was 53.961 + 52.179 + 47.976 + 45.279 = $199.4 Mil.
Total Current Assets was $524.9 Mil.
Total Assets was $6,000.1 Mil.
Property, Plant and Equipment(Net PPE) was $77.3 Mil.
Depreciation, Depletion and Amortization(DDA) was $10.6 Mil.
Selling, General, & Admin. Expense(SGA) was $51.1 Mil.
Total Current Liabilities was $158.3 Mil.
Long-Term Debt & Capital Lease Obligation was $49.0 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 / 190.16) / (0 / 199.395)
=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)
=(199.395 / 199.395) / (190.16 / 190.16)
=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 - (501.563 + 74.548) / 6168.191) / (1 - (524.942 + 77.283) / 6000.052)
=0.9066 / 0.89963
=1.0077

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
=190.16 / 199.395
=0.9537

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))
=(10.553 / (10.553 + 77.283)) / (10.786 / (10.786 + 74.548))
=0.120144 / 0.126397
=0.9505

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)
=(57.42 / 190.16) / (51.109 / 199.395)
=0.301956 / 0.25632
=1.178

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)
=((44.471 + 88.99) / 6168.191) / ((48.98 + 158.275) / 6000.052)
=0.021637 / 0.034542
=0.6264

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
=(58.646 - 0 - 64.129) / 6168.191
=-0.000889

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.

Trustco Bank N Y has a M-score of -2.44 suggests that the company is unlikely to be a manipulator.


Trustco Bank N Y Beneish M-Score Related Terms

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Trustco Bank N Y (Trustco Bank N Y) Business Description

Traded in Other Exchanges
Address
5 Sarnowski Drive, Glenville, NY, USA, 12302
Trustco Bank Corp N Y is a savings and loan holding company. The core part of a business consists of accepting deposits and making loans and investments. It offers a range of both personal and business banking services. The company's product includes savings accounts; retirement accounts; money market account; mortgages; building loans; auto loans and others.
Executives
Frank B Silverman director C/O TRUSTCO BANK, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Robert J Mccormick director, officer: PRES. & CEO TRUSTCO BANK CORP C/O TRUSTCO BANK COMPANY, 5 SARNOUSKI DR, GLENVILLE NY 12302
Michael James Hall officer: SECRETARY C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Kevin M Curley officer: SENIOR VICE PRESIDENT C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Eric W Schreck officer: TREASURER C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Robert M Leonard officer: AVP & Assistant Secretary 5 SARNOWSKI DR, GELNVILLE NY 12302
Steffani Cotugno director C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Michael M Ozimek officer: SVP & CFO C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Curtis N Powell director C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12303
Scot R Salvador officer: Chief Banking Officer & EVP
Lisa M Reutter director C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
De Gennaro Dennis A director C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE NY 12302
Kimberly Adams Russell director C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
Alejandro M Sanchez director C/O TRUSTCO BANK CORP NY, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302
William D Powers director C/O TRUSTCO BANK CORP, 5 SARNOWSKI DRIVE, GLENVILLE NY 12302