Choo Bee Metal Industries Bhd (XKLS:5797) Beneish M-Score : -2.62 (As of May. 24, 2024)

View and export this data going back to 1994. Start your Free Trial

What is Choo Bee Metal Industries Bhd 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 -2.62 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Choo Bee Metal Industries Bhd's Beneish M-Score or its related term are showing as below:

XKLS:5797' s Beneish M-Score Range Over the Past 10 Years
Min: -3.4 Med: -2.36 Max: 0.5
Current: -2.62

During the past 13 years, the highest Beneish M-Score of Choo Bee Metal Industries Bhd was 0.50. The lowest was -3.40. And the median was -2.36.

Choo Bee Metal Industries Bhd Beneish M-Score Historical Data

The historical data trend for Choo Bee Metal Industries Bhd'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.

Choo Bee Metal Industries Bhd Beneish M-Score Chart

Choo Bee Metal Industries Bhd Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Beneish M-Score

Get a 7-Day Free Trial

-2.18

-3.04

-1.54

0.50

-2.62

Choo Bee Metal Industries Bhd Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Beneish M-Score	Get a 7-Day Free Trial															0.50	2.00	12.86	-2.04	-2.62

Competitive Comparison of Choo Bee Metal Industries Bhd's Beneish M-Score

For the Steel subindustry, Choo Bee Metal Industries Bhd'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.

Choo Bee Metal Industries Bhd's Beneish M-Score Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Choo Bee Metal Industries Bhd's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Choo Bee Metal Industries Bhd's Beneish M-Score falls into.

Choo Bee Metal Industries Bhd 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 Choo Bee Metal Industries Bhd 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 * 1.2419

0.528 * 1.1491

0.404 * 0.9989

0.892 * 0.8155

0.115 * 1.1888

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.2352

4.679 * -0.063313

0.327 * 0.8709

-2.62

This Year (Dec23) TTM:

Last Year (Dec22) TTM:

Total Receivables was RM101.2 Mil.
Revenue was 103.558 + 105.767 + 88.016 + 104.773 = RM402.1 Mil.
Gross Profit was 4.831 + 3.587 + 7.575 + 10.528 = RM26.5 Mil.
Total Current Assets was RM368.6 Mil.
Total Assets was RM651.3 Mil.
Property, Plant and Equipment(Net PPE) was RM273.0 Mil.
Depreciation, Depletion and Amortization(DDA) was RM9.4 Mil.
Selling, General, & Admin. Expense(SGA) was RM30.6 Mil.
Total Current Liabilities was RM21.6 Mil.
Long-Term Debt & Capital Lease Obligation was RM3.1 Mil.
Net Income was -1.274 + -2.759 + 1.549 + 3.615 = RM1.1 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = RM0.0 Mil.
Cash Flow from Operations was 5.763 + 8.293 + 23.303 + 5.01 = RM42.4 Mil.

Total Receivables was RM99.9 Mil.
Revenue was 98.161 + 116.421 + 116.487 + 162.043 = RM493.1 Mil.
Gross Profit was -1.69 + -12.82 + 22.381 + 29.502 = RM37.4 Mil.
Total Current Assets was RM444.4 Mil.
Total Assets was RM660.1 Mil.
Property, Plant and Equipment(Net PPE) was RM205.9 Mil.
Depreciation, Depletion and Amortization(DDA) was RM8.5 Mil.
Selling, General, & Admin. Expense(SGA) was RM30.4 Mil.
Total Current Liabilities was RM27.3 Mil.
Long-Term Debt & Capital Lease Obligation was RM1.4 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)
	=	(101.201 / 402.114)	/	(99.933 / 493.112)
	=	0.251672	/	0.202658
	=	1.2419

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)
	=	(37.373 / 493.112)	/	(26.521 / 402.114)
	=	0.07579	/	0.065954
	=	1.1491

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 - (368.595 + 272.986) / 651.331)	/	(1 - (444.376 + 205.866) / 660.134)
	=	0.014969	/	0.014985
	=	0.9989

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
	=	402.114	/	493.112
	=	0.8155

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))
	=	(8.488 / (8.488 + 205.866))	/	(9.406 / (9.406 + 272.986))
	=	0.039598	/	0.033308
	=	1.1888

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)
	=	(30.649 / 402.114)	/	(30.429 / 493.112)
	=	0.07622	/	0.061708
	=	1.2352

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)
	=	((3.056 + 21.613) / 651.331)	/	((1.437 + 27.273) / 660.134)
	=	0.037875	/	0.043491
	=	0.8709

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
	=	(1.131 - 0	-	42.369)	/	651.331
	=	-0.063313

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.

Choo Bee Metal Industries Bhd has a M-score of -2.62 suggests that the company is unlikely to be a manipulator.

Choo Bee Metal Industries Bhd Beneish M-Score Related Terms

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

Choo Bee Metal Industries Bhd (XKLS:5797) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Steel » Choo Bee Metal Industries Bhd (XKLS:5797) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

Jalan Bendahara, Wisma Soon Teik Aun, Ipoh, PRK, MYS, 31650

Website

https://www.choobee.com

Choo Bee Metal Industries Bhd is a Malaysian-based company engaged in the processing of steel coils into steel products, fabrication of steel products, and trading of hardware products. The firm manufactures steel products for oil and gas applications, building and construction industries, trading of hardware products, functioning as beams, channels, mild steel plates, flat bars, angle bars, stainless steel products, and other building materials, as well as provision of steel servicing, such as slitting and shearing of coils. The group is organized into trading and manufacturing segments in which Trading segments derive a majority of its revenue. Geographically, it derives the majority of its revenue from Malaysia.

Choo Bee Metal Industries Bhd (XKLS:5797) Headlines

No Headlines