Next Capital PCL (BKK:NCAP) Beneish M-Score : -1.73 (As of May. 25, 2024)

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

What is Next Capital PCL 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.

Warning Sign:

Beneish M-Score -1.73 higher than -1.78, which implies that the company might have manipulated its financial results.

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

BKK:NCAP' s Beneish M-Score Range Over the Past 10 Years
Min: -1.8 Med: -1.3 Max: 0.02
Current: -1.73

During the past 6 years, the highest Beneish M-Score of Next Capital PCL was 0.02. The lowest was -1.80. And the median was -1.30.

Next Capital PCL Beneish M-Score Historical Data

The historical data trend for Next Capital PCL'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.

Next Capital PCL Beneish M-Score Chart

Next Capital PCL Annual Data

Trend

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Beneish M-Score

Get a 7-Day Free Trial

-0.32

-0.93

-1.46

Next Capital PCL Quarterly Data
	Dec18	Jun19	Dec19	Mar20	Jun20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Beneish M-Score	Get a 7-Day Free Trial														-1.30	-1.50	-1.43	-1.46	-1.73

Competitive Comparison of Next Capital PCL's Beneish M-Score

For the Credit Services subindustry, Next Capital PCL'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.

Next Capital PCL's Beneish M-Score Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Next Capital PCL's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Next Capital PCL's Beneish M-Score falls into.

Next Capital PCL 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 Next Capital PCL 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 * 1.1118

0.528 * 1.1063

0.404 * 1.0077

0.892 * 1.0427

0.115 * 1.1293

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.8922

4.679 * 0.12033

0.327 * 1.1288

-1.73

This Year (Mar24) TTM:

Last Year (Mar23) TTM:

Total Receivables was ฿4,180 Mil.
Revenue was 449.31 + 446.777 + 455.977 + 446.827 = ฿1,799 Mil.
Gross Profit was 383.709 + -9.837 + 395.004 + 397.687 = ฿1,167 Mil.
Total Current Assets was ฿4,349 Mil.
Total Assets was ฿9,999 Mil.
Property, Plant and Equipment(Net PPE) was ฿72 Mil.
Depreciation, Depletion and Amortization(DDA) was ฿34 Mil.
Selling, General, & Admin. Expense(SGA) was ฿259 Mil.
Total Current Liabilities was ฿2,774 Mil.
Long-Term Debt & Capital Lease Obligation was ฿2,701 Mil.
Net Income was 28.462 + 41.807 + 34.377 + 41.587 = ฿146 Mil.
Non Operating Income was 51.36 + 28.725 + 46.652 + 50.759 = ฿177 Mil.
Cash Flow from Operations was -54.785 + 32.417 + -344.82 + -867.27 = ฿-1,234 Mil.

Total Receivables was ฿3,606 Mil.
Revenue was 431.077 + 417.026 + 437.29 + 439.831 = ฿1,725 Mil.
Gross Profit was 390.794 + 52.727 + 398.309 + 395.871 = ฿1,238 Mil.
Total Current Assets was ฿3,764 Mil.
Total Assets was ฿8,543 Mil.
Property, Plant and Equipment(Net PPE) was ฿49 Mil.
Depreciation, Depletion and Amortization(DDA) was ฿28 Mil.
Selling, General, & Admin. Expense(SGA) was ฿278 Mil.
Total Current Liabilities was ฿2,261 Mil.
Long-Term Debt & Capital Lease Obligation was ฿1,882 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)
	=	(4179.949 / 1798.891)	/	(3605.737 / 1725.224)
	=	2.323626	/	2.090011
	=	1.1118

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)
	=	(1237.701 / 1725.224)	/	(1166.563 / 1798.891)
	=	0.717415	/	0.64849
	=	1.1063

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 - (4349.231 + 71.653) / 9999.139)	/	(1 - (3763.91 + 49.468) / 8542.66)
	=	0.557874	/	0.553608
	=	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
	=	1798.891	/	1725.224
	=	1.0427

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))
	=	(28.391 / (28.391 + 49.468))	/	(34.17 / (34.17 + 71.653))
	=	0.364646	/	0.322898
	=	1.1293

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)
	=	(258.502 / 1798.891)	/	(277.865 / 1725.224)
	=	0.143701	/	0.16106
	=	0.8922

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)
	=	((2700.648 + 2774.1) / 9999.139)	/	((1882.343 + 2261.33) / 8542.66)
	=	0.547522	/	0.485057
	=	1.1288

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
	=	(146.233 - 177.496	-	-1234.458)	/	9999.139
	=	0.12033

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.

Next Capital PCL has a M-score of -1.73 signals that the company is likely to be a manipulator.

Next Capital PCL Beneish M-Score Related Terms

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

Next Capital PCL (BKK:NCAP) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Credit Services » Next Capital PCL (BKK:NCAP) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

Surawong Road, No. 163 Thai Samut Building, 15th Floor, Suriyawong, Bangrak, Bangkok, THA, 10500

Website

https://www.nextcapital.co.th

Next Capital PCL is a financial institution that lends credit to the public but does not receive deposits. The company operates a hire-purchase loan business which is not under the supervision of the Bank of Thailand with a focus on serving retail customers who mainly want to own motorcycles by offering new motorcycle hire-purchase loans. It is engaged in two segments which are motorcycle hire-purchase and used truck hire-purchase.