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JiaXing Gas Group Co (HKSE:09908) Beneish M-Score : -2.51 (As of May. 13, 2024)


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What is JiaXing Gas Group Co 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 -2.51 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for JiaXing Gas Group Co's Beneish M-Score or its related term are showing as below:

HKSE:09908' s Beneish M-Score Range Over the Past 10 Years
Min: -2.51   Med: -2.3   Max: -1.42
Current: -2.51

During the past 7 years, the highest Beneish M-Score of JiaXing Gas Group Co was -1.42. The lowest was -2.51. And the median was -2.30.


JiaXing Gas Group Co Beneish M-Score Historical Data

The historical data trend for JiaXing Gas Group Co'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.

JiaXing Gas Group Co Beneish M-Score Chart

JiaXing Gas Group Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial -2.42 -2.30 -1.79 -1.42 -2.51

JiaXing Gas Group Co Semi-Annual Data
Dec17 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only -1.79 - -1.42 - -2.51

Competitive Comparison of JiaXing Gas Group Co's Beneish M-Score

For the Utilities - Regulated Gas subindustry, JiaXing Gas Group Co'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.


JiaXing Gas Group Co's Beneish M-Score Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, JiaXing Gas Group Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where JiaXing Gas Group Co's Beneish M-Score falls into.



JiaXing Gas Group Co 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 JiaXing Gas Group Co 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 * 1.5261+0.528 * 0.5324+0.404 * 1.0284+0.892 * 0.8355+0.115 * 0.9257
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.5178+4.679 * 0.003835-0.327 * 1.1448
=-2.51

* 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 HK$400 Mil.
Revenue was HK$3,234 Mil.
Gross Profit was HK$290 Mil.
Total Current Assets was HK$967 Mil.
Total Assets was HK$2,904 Mil.
Property, Plant and Equipment(Net PPE) was HK$819 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$88 Mil.
Selling, General, & Admin. Expense(SGA) was HK$104 Mil.
Total Current Liabilities was HK$1,033 Mil.
Long-Term Debt & Capital Lease Obligation was HK$345 Mil.
Net Income was HK$261 Mil.
Gross Profit was HK$0 Mil.
Cash Flow from Operations was HK$250 Mil.
Total Receivables was HK$314 Mil.
Revenue was HK$3,871 Mil.
Gross Profit was HK$185 Mil.
Total Current Assets was HK$706 Mil.
Total Assets was HK$2,319 Mil.
Property, Plant and Equipment(Net PPE) was HK$745 Mil.
Depreciation, Depletion and Amortization(DDA) was HK$74 Mil.
Selling, General, & Admin. Expense(SGA) was HK$82 Mil.
Total Current Liabilities was HK$587 Mil.
Long-Term Debt & Capital Lease Obligation was HK$375 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)
=(400.145 / 3233.739) / (313.835 / 3870.573)
=0.123741 / 0.081082
=1.5261

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)
=(185.108 / 3870.573) / (290.468 / 3233.739)
=0.047824 / 0.089824
=0.5324

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 - (966.506 + 819.267) / 2903.699) / (1 - (705.753 + 745.247) / 2319.223)
=0.385001 / 0.374359
=1.0284

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
=3233.739 / 3870.573
=0.8355

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))
=(73.885 / (73.885 + 745.247)) / (88.442 / (88.442 + 819.267))
=0.090199 / 0.097434
=0.9257

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)
=(103.773 / 3233.739) / (81.836 / 3870.573)
=0.032091 / 0.021143
=1.5178

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)
=((345.271 + 1033.057) / 2903.699) / ((374.749 + 586.874) / 2319.223)
=0.47468 / 0.414632
=1.1448

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
=(261.418 - 0 - 250.283) / 2903.699
=0.003835

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.

JiaXing Gas Group Co has a M-score of -2.51 suggests that the company is unlikely to be a manipulator.


JiaXing Gas Group Co Beneish M-Score Related Terms

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JiaXing Gas Group Co (HKSE:09908) Business Description

Traded in Other Exchanges
N/A
Address
5th Floor, Building 3, Hualong Plaza,No. 32 Qinyi Road, Economic and Technological Development Zone, Zhejiang Province, Jiaxing, CHN
JiaXing Gas Group Co Ltd is a piped natural gas (PNG) operator in Jiaxing. The company engages in sales of gas, PNG in Jiaxing, LNG and LPG; construction and installation services to construct and install end-user pipeline network and gas facilities; and provision of natural gas transportation services, sales of vapour and construction materials, and leasing of properties. Its customers include residential and non-residential users, property developers and owners or occupants of residential and non-residential properties.

JiaXing Gas Group Co (HKSE:09908) Headlines

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