MTL Cannabis (XCNQ:MTLC) Beneish M-Score : -3.49 (As of Mar. 28, 2025)

View and export this data going back to 2023. Start your Free Trial

What is MTL Cannabis 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 -3.49 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

XCNQ:MTLC' s Beneish M-Score Range Over the Past 10 Years
Min: -3903.62 Med: -3.49 Max: -3.37
Current: -3.49

During the past 4 years, the highest Beneish M-Score of MTL Cannabis was -3.37. The lowest was -3903.62. And the median was -3.49.

MTL Cannabis Beneish M-Score Historical Data

The historical data trend for MTL Cannabis'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.

MTL Cannabis Beneish M-Score Chart

MTL Cannabis Annual Data

Trend

Mar21

Mar22

Mar23

Mar24

Beneish M-Score

MTL Cannabis Quarterly Data
	Mar21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24
Beneish M-Score	Get a 7-Day Free Trial								-	-	-3,903.62	-3.37	-3.49

Competitive Comparison of MTL Cannabis's Beneish M-Score

For the Tobacco subindustry, MTL Cannabis'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.

MTL Cannabis's Beneish M-Score Distribution in the Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, MTL Cannabis's Beneish M-Score distribution charts can be found below:

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

Save Embed

;

Save Embed

;

MTL Cannabis 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 MTL Cannabis 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 * 1.0848

0.528 * 0.6401

0.404 * 0.7373

0.892 * 1.2708

0.115 * 0.6342

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.429

4.679 * -0.196178

0.327 * 1.0126

-3.49

This Year (Dec24) TTM:

Last Year (Dec23) TTM:

Total Receivables was C$10.60 Mil.
Revenue was 19.955 + 20.87 + 20.721 + 14.022 = C$75.57 Mil.
Gross Profit was 8.612 + 11.785 + 13.104 + 7.449 = C$40.95 Mil.
Total Current Assets was C$31.50 Mil.
Total Assets was C$81.21 Mil.
Property, Plant and Equipment(Net PPE) was C$30.01 Mil.
Depreciation, Depletion and Amortization(DDA) was C$7.22 Mil.
Selling, General, & Admin. Expense(SGA) was C$25.20 Mil.
Total Current Liabilities was C$43.66 Mil.
Long-Term Debt & Capital Lease Obligation was C$14.05 Mil.
Net Income was -1.221 + 1.246 + 2.206 + -1.219 = C$1.01 Mil.
Non Operating Income was 0.05 + 0.029 + 0.041 + -0.093 = C$0.03 Mil.
Cash Flow from Operations was 4.959 + 2.569 + 5.603 + 3.786 = C$16.92 Mil.

Total Receivables was C$7.69 Mil.
Revenue was 19.332 + 19.176 + 12.764 + 8.194 = C$59.47 Mil.
Gross Profit was 8.994 + 6.686 + 3.275 + 1.673 = C$20.63 Mil.
Total Current Assets was C$20.73 Mil.
Total Assets was C$74.89 Mil.
Property, Plant and Equipment(Net PPE) was C$29.51 Mil.
Depreciation, Depletion and Amortization(DDA) was C$4.14 Mil.
Selling, General, & Admin. Expense(SGA) was C$13.88 Mil.
Total Current Liabilities was C$33.64 Mil.
Long-Term Debt & Capital Lease Obligation was C$18.91 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)
	=	(10.604 / 75.568)	/	(7.692 / 59.466)
	=	0.140324	/	0.129351
	=	1.0848

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)
	=	(20.628 / 59.466)	/	(40.95 / 75.568)
	=	0.346887	/	0.541896
	=	0.6401

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 - (31.495 + 30.013) / 81.212)	/	(1 - (20.73 + 29.513) / 74.887)
	=	0.242624	/	0.329082
	=	0.7373

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
	=	75.568	/	59.466
	=	1.2708

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))
	=	(4.139 / (4.139 + 29.513))	/	(7.221 / (7.221 + 30.013))
	=	0.122994	/	0.193936
	=	0.6342

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)
	=	(25.204 / 75.568)	/	(13.879 / 59.466)
	=	0.333527	/	0.233394
	=	1.429

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)
	=	((14.049 + 43.655) / 81.212)	/	((18.909 + 33.637) / 74.887)
	=	0.710535	/	0.701671
	=	1.0126

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
	=	(1.012 - 0.027	-	16.917)	/	81.212
	=	-0.196178

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.

MTL Cannabis has a M-score of -3.49 suggests that the company is unlikely to be a manipulator.

MTL Cannabis Beneish M-Score Related Terms

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

MTL Cannabis Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Tobacco Products » MTL Cannabis Corp (XCNQ:MTLC) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

J4E:Germany

Address

4225 Autoroute Transcanadienne, Pointe-Claire, Montreal, QC, CAN, H9R 1B4

Website

https://www.mtlcannabis.ca

MTL Cannabis Corp is a flower-first company built for the modern street, MTL Cannabis uses proprietary hydroponic growing methodologies supported by handcrafted techniques to produce products that are truly crafted for the masses. The company focuses on craft quality cannabis products, including lines of dried flower, pre-rolls and hash marketed under the MTL Cannabis, Low Key by MTL and R'belle brands for the Canadian market through nine distribution arrangements with various provincial cannabis distributors. It has also developed a number of export channels for bulk and unbranded GACP quality cannabis. It uses proprietary hydroponic growing methodologies supported by handcrafted techniques to produce products that are truly craft for the masses.

Executives

Kevin David Weitzman	Director or Senior Officer of 10% Security Holder
Michel Karl Clement	10% Security Holder, Senior Officer
Archerwill Investments Inc.	10% Security Holder

MTL Cannabis Headlines

No Headlines