Volpara Health Technologies (ASX:VHT) Beneish M-Score : -2.84 (As of May. 22, 2024)

View and export this data going back to 2016. Start your Free Trial

What is Volpara Health Technologies 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 -2.84 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

ASX:VHT' s Beneish M-Score Range Over the Past 10 Years
Min: -2.84 Med: -2.37 Max: 0.62
Current: -2.84

During the past 7 years, the highest Beneish M-Score of Volpara Health Technologies was 0.62. The lowest was -2.84. And the median was -2.37.

Volpara Health Technologies Beneish M-Score Historical Data

The historical data trend for Volpara Health Technologies'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.

Volpara Health Technologies Beneish M-Score Chart

Volpara Health Technologies Annual Data

Trend

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Beneish M-Score

Get a 7-Day Free Trial

-2.26

0.62

-2.37

-2.84

Volpara Health Technologies Semi-Annual Data
	Sep16	Mar17	Sep17	Mar18	Sep18	Mar19	Sep19	Mar20	Sep20	Mar21	Sep21	Mar22	Sep22	Mar23	Sep23
Beneish M-Score	Get a 7-Day Free Trial										-	-2.84	-	-2.84	-

Competitive Comparison of Volpara Health Technologies's Beneish M-Score

For the Health Information Services subindustry, Volpara Health Technologies'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.

Volpara Health Technologies's Beneish M-Score Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Volpara Health Technologies's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Volpara Health Technologies's Beneish M-Score falls into.

Volpara Health Technologies 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 Volpara Health Technologies 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 * 0.8608

0.528 * 0.9868

0.404 * 1.0889

0.892 * 1.3503

0.115 * 0.8859

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.8076

4.679 * -0.10909

0.327 * 1.2533

-2.84

This Year (Mar23) TTM:

Last Year (Mar22) TTM:

Total Receivables was A$10.23 Mil.
Revenue was A$32.77 Mil.
Gross Profit was A$30.30 Mil.
Total Current Assets was A$24.40 Mil.
Total Assets was A$74.15 Mil.
Property, Plant and Equipment(Net PPE) was A$2.13 Mil.
Depreciation, Depletion and Amortization(DDA) was A$5.13 Mil.
Selling, General, & Admin. Expense(SGA) was A$26.74 Mil.
Total Current Liabilities was A$24.74 Mil.
Long-Term Debt & Capital Lease Obligation was A$1.44 Mil.
Net Income was A$-9.17 Mil.
Gross Profit was A$2.52 Mil.
Cash Flow from Operations was A$-3.60 Mil.

Total Receivables was A$8.80 Mil.
Revenue was A$24.27 Mil.
Gross Profit was A$22.14 Mil.
Total Current Assets was A$28.29 Mil.
Total Assets was A$75.27 Mil.
Property, Plant and Equipment(Net PPE) was A$2.59 Mil.
Depreciation, Depletion and Amortization(DDA) was A$4.33 Mil.
Selling, General, & Admin. Expense(SGA) was A$24.52 Mil.
Total Current Liabilities was A$19.43 Mil.
Long-Term Debt & Capital Lease Obligation was A$1.77 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)
	=	(10.227 / 32.772)	/	(8.799 / 24.271)
	=	0.312065	/	0.362531
	=	0.8608

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)
	=	(22.142 / 24.271)	/	(30.298 / 32.772)
	=	0.912282	/	0.924509
	=	0.9868

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 - (24.395 + 2.134) / 74.15)	/	(1 - (28.287 + 2.59) / 75.272)
	=	0.642225	/	0.589794
	=	1.0889

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
	=	32.772	/	24.271
	=	1.3503

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))
	=	(4.33 / (4.33 + 2.59))	/	(5.132 / (5.132 + 2.134))
	=	0.625723	/	0.706303
	=	0.8859

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)
	=	(26.738 / 32.772)	/	(24.519 / 24.271)
	=	0.815879	/	1.010218
	=	0.8076

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)
	=	((1.435 + 24.74) / 74.15)	/	((1.771 + 19.43) / 75.272)
	=	0.353001	/	0.281659
	=	1.2533

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
	=	(-9.174 - 2.518	-	-3.603)	/	74.15
	=	-0.10909

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.

Volpara Health Technologies has a M-score of -2.84 suggests that the company is unlikely to be a manipulator.

Volpara Health Technologies Beneish M-Score Related Terms

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

Volpara Health Technologies (ASX:VHT) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Healthcare Providers & Services » Volpara Health Technologies Ltd (ASX:VHT) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

VPAHF:USA

Address

40 Mercer Street, Level 14–15, Wellington Central, Wellington, NZL, 6011

Website

https://www.volparahealth.com

Volpara Health Technologies Ltd is a New Zealand-based research, development, and manufacturing company. The business of the company operates through three product categories that include Capital Sales, Software Maintenance Agreements, and Software as a Service. It offers a breast imaging analytics platform that delivers real-time quality assurance and performance monitoring. It operates through the sale of a single suite of medical device software products.