Izolacja-Jarocin (WAR:IZO) Beneish M-Score

: -1.63 (As of Today)

View and export this data going back to 2007. Start your Free Trial

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.

Warning Sign:

Beneish M-Score -1.63 higher than -1.78, which implies that the company might have manipulated its financial results.

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

WAR:IZO' s Beneish M-Score Range Over the Past 10 Years
Min: -3.48 Med: -2.56 Max: 0.01
Current: -1.63

During the past 13 years, the highest Beneish M-Score of Izolacja-Jarocin was 0.01. The lowest was -3.48. And the median was -2.56.

Izolacja-Jarocin Beneish M-Score Historical Data

The historical data trend for Izolacja-Jarocin'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.

Izolacja-Jarocin Annual Data

Trend

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

Dec19

Dec20

Dec21

Beneish M-Score

-1.91

-2.56

-2.84

-2.88

-1.63

Izolacja-Jarocin Semi-Annual Data
	Jun12	Dec12	Jun13	Dec13	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22
Beneish M-Score																-3.13	-2.88	0.01	-1.63	-

Competitive Comparison

For the Building Materials subindustry, Izolacja-Jarocin'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.

Annual Data Quarterly Data

Izolacja-Jarocin Beneish M-Score Distribution

For the Building Materials industry and Basic Materials sector, Izolacja-Jarocin's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Izolacja-Jarocin's Beneish M-Score falls in comparison to its industry or sector. The grey bar indicates the Beneish M-Score's extreme value range as defined by GuruFocus.

Izolacja-Jarocin 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 Izolacja-Jarocin 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 * 1.4829

0.528 * 1.1492

0.404 * 1.0328

0.892 * 1.1594

0.115 * 1.0368

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.9812

4.679 * 0.047929

0.327 * 1.1425

-1.62

This Year (Dec21) TTM:

Last Year (Dec20) TTM:

Total Receivables was zł4.59 Mil.
Revenue was zł30.52 Mil.
Gross Profit was zł7.61 Mil.
Total Current Assets was zł15.06 Mil.
Total Assets was zł20.59 Mil.
Property, Plant and Equipment(Net PPE) was zł5.21 Mil.
Depreciation, Depletion and Amortization(DDA) was zł0.31 Mil.
Selling, General, & Admin. Expense(SGA) was zł6.18 Mil.
Total Current Liabilities was zł3.67 Mil.
Long-Term Debt & Capital Lease Obligation was zł0.40 Mil.
Net Income was zł1.26 Mil.
Gross Profit was zł0.00 Mil.
Cash Flow from Operations was zł0.27 Mil.

Total Receivables was zł2.67 Mil.
Revenue was zł26.33 Mil.
Gross Profit was zł7.55 Mil.
Total Current Assets was zł13.31 Mil.
Total Assets was zł18.36 Mil.
Property, Plant and Equipment(Net PPE) was zł4.76 Mil.
Depreciation, Depletion and Amortization(DDA) was zł0.29 Mil.
Selling, General, & Admin. Expense(SGA) was zł5.43 Mil.
Total Current Liabilities was zł2.97 Mil.
Long-Term Debt & Capital Lease Obligation was zł0.21 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)
	=	(4.587 / 30.523)	/	(2.668 / 26.326)
	=	0.15028	/	0.101345
	=	1.4829

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)
	=	(7.545 / 26.326)	/	(7.612 / 30.523)
	=	0.286599	/	0.249386
	=	1.1492

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 - (15.059 + 5.205) / 20.593)	/	(1 - (13.313 + 4.764) / 18.361)
	=	0.015976	/	0.015468
	=	1.0328

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
	=	30.523	/	26.326
	=	1.1594

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))
	=	(0.291 / (0.291 + 4.764))	/	(0.306 / (0.306 + 5.205))
	=	0.057567	/	0.055525
	=	1.0368

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)
	=	(6.177 / 30.523)	/	(5.43 / 26.326)
	=	0.202372	/	0.20626
	=	0.9812

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)
	=	((0.397 + 3.67) / 20.593)	/	((0.206 + 2.968) / 18.361)
	=	0.197494	/	0.172866
	=	1.1425

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
	=	(1.258 - 0	-	0.271)	/	20.593
	=	0.047929

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.

Izolacja-Jarocin has a M-score of -1.62 signals that the company is likely to be a manipulator.

Izolacja-Jarocin Beneish M-Score Related Terms

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

Izolacja-Jarocin (WAR:IZO) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Izolacja-Jarocin SA (WAR:IZO) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

ul. Poznanska 24-26, Jarocin, POL, 63-200

Website

http://www.izolacja-jarocin.pl

Izolacja-Jarocin SA produces and distributes building materials. It offers waterproofing and sealing products for the construction industry. The products include tarmac asphalt, bulks and bituminous binders, shingles, construction knives and putty, roofing membranes, styrofoam boards taped with tar paper, and products for road engineering.

Izolacja-Jarocin (WAR:IZO) Headlines

No Headlines