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Benefit Systems (WAR:BFT) Beneish M-Score : -3.13 (As of May. 26, 2024)


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What is Benefit Systems 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 -3.13 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

WAR:BFT' s Beneish M-Score Range Over the Past 10 Years
Min: -3.44   Med: -2.69   Max: -2.15
Current: -3.13

During the past 13 years, the highest Beneish M-Score of Benefit Systems was -2.15. The lowest was -3.44. And the median was -2.69.


Benefit Systems Beneish M-Score Historical Data

The historical data trend for Benefit Systems'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.

Benefit Systems Beneish M-Score Chart

Benefit Systems Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.43 -3.21 -3.01 -2.81 -2.64

Benefit Systems Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Mar24
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 -2.64 -2.92 -3.09 -3.15 -3.13

Competitive Comparison of Benefit Systems's Beneish M-Score

For the Leisure subindustry, Benefit Systems'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.


Benefit Systems's Beneish M-Score Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Benefit Systems's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Benefit Systems's Beneish M-Score falls into.



Benefit Systems 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 Benefit Systems 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 * 0.632+0.528 * 0.8691+0.404 * 0.9089+0.892 * 1.476+0.115 * 1.0004
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8655+4.679 * -0.146989-0.327 * 0.9052
=-3.13

* 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 (Mar24) TTM:Last Year (Dec22) TTM:
Total Receivables was zł205 Mil.
Revenue was 801.108 + 693.877 + 697.492 + 625.311 = zł2,818 Mil.
Gross Profit was 238.301 + 256.719 + 237.399 + 145.701 = zł878 Mil.
Total Current Assets was zł775 Mil.
Total Assets was zł2,948 Mil.
Property, Plant and Equipment(Net PPE) was zł1,406 Mil.
Depreciation, Depletion and Amortization(DDA) was zł289 Mil.
Selling, General, & Admin. Expense(SGA) was zł372 Mil.
Total Current Liabilities was zł816 Mil.
Long-Term Debt & Capital Lease Obligation was zł931 Mil.
Net Income was 92.118 + 115.361 + 129.465 + 52.372 = zł389 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = zł0 Mil.
Cash Flow from Operations was 244.756 + 234.102 + 166.612 + 177.101 = zł823 Mil.
Total Receivables was zł220 Mil.
Revenue was 562.257 + 485.424 + 459.605 + 401.834 = zł1,909 Mil.
Gross Profit was 177.384 + 143.285 + 119.491 + 76.925 = zł517 Mil.
Total Current Assets was zł466 Mil.
Total Assets was zł2,234 Mil.
Property, Plant and Equipment(Net PPE) was zł1,129 Mil.
Depreciation, Depletion and Amortization(DDA) was zł232 Mil.
Selling, General, & Admin. Expense(SGA) was zł291 Mil.
Total Current Liabilities was zł612 Mil.
Long-Term Debt & Capital Lease Obligation was zł850 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)
=(204.804 / 2817.788) / (219.557 / 1909.12)
=0.072683 / 0.115004
=0.632

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)
=(517.085 / 1909.12) / (878.12 / 2817.788)
=0.27085 / 0.311635
=0.8691

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 - (774.847 + 1406.274) / 2947.53) / (1 - (466.311 + 1128.588) / 2234.021)
=0.260017 / 0.286086
=0.9089

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
=2817.788 / 1909.12
=1.476

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))
=(232.076 / (232.076 + 1128.588)) / (289.03 / (289.03 + 1406.274))
=0.170561 / 0.170489
=1.0004

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)
=(371.573 / 2817.788) / (290.866 / 1909.12)
=0.131867 / 0.152356
=0.8655

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)
=((930.542 + 815.54) / 2947.53) / ((850.282 + 611.646) / 2234.021)
=0.592388 / 0.654393
=0.9052

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
=(389.316 - 0 - 822.571) / 2947.53
=-0.146989

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.

Benefit Systems has a M-score of -3.13 suggests that the company is unlikely to be a manipulator.


Benefit Systems Beneish M-Score Related Terms

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Benefit Systems (WAR:BFT) Business Description

Traded in Other Exchanges
Address
European Square 2, Warsaw, POL, 00-844
Benefit Systems SA is Poland based company which is engaged in providing work benefits in the area of sport, recreations, culture and entertainment. Its products portfolio includes MultiSport Plus card, program that allows access to the sport and recreation clubs and multi-purpose facilities as well as Mybenefit, Benefitlunch, Multibilet, Multikafeteria and others.

Benefit Systems (WAR:BFT) Headlines

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