EpicQuest Education Group International (EpicQuest Education Group International) Beneish M-Score : -3.34 (As of May. 12, 2024)

View and export this data going back to 2021. Start your Free Trial

What is EpicQuest Education Group International 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 -3.34 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for EpicQuest Education Group International's Beneish M-Score or its related term are showing as below:

EEIQ' s Beneish M-Score Range Over the Past 10 Years
Min: -3.34 Med: -0.83 Max: 5.13
Current: -3.34

During the past 6 years, the highest Beneish M-Score of EpicQuest Education Group International was 5.13. The lowest was -3.34. And the median was -0.83.

EpicQuest Education Group International Beneish M-Score Historical Data

The historical data trend for EpicQuest Education Group International'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.

EpicQuest Education Group International Beneish M-Score Chart

EpicQuest Education Group International Annual Data

Trend

Sep18

Sep19

Sep20

Sep21

Sep22

Sep23

Beneish M-Score

Get a 7-Day Free Trial

-0.26

-1.40

5.13

-3.34

EpicQuest Education Group International Semi-Annual Data
	Sep18	Mar19	Sep19	Mar20	Sep20	Mar21	Sep21	Mar22	Sep22	Mar23	Sep23
Beneish M-Score	Get a 7-Day Free Trial						-1.40	-	5.13	-	-3.34

Competitive Comparison of EpicQuest Education Group International's Beneish M-Score

For the Education & Training Services subindustry, EpicQuest Education Group International'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.

EpicQuest Education Group International's Beneish M-Score Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, EpicQuest Education Group International's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where EpicQuest Education Group International's Beneish M-Score falls into.

EpicQuest Education Group International 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 EpicQuest Education Group International 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 * 0.6847

0.528 * 0.9236

0.404 * 1.358

0.892 * 0.9024

0.115 * 0.6432

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 1.0856

4.679 * -0.086001

0.327 * 1.4073

-3.34

This Year (Sep23) TTM:

Last Year (Sep22) TTM:

Total Receivables was $1.04 Mil.
Revenue was $5.71 Mil.
Gross Profit was $4.21 Mil.
Total Current Assets was $8.71 Mil.
Total Assets was $19.21 Mil.
Property, Plant and Equipment(Net PPE) was $3.16 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.41 Mil.
Selling, General, & Admin. Expense(SGA) was $10.84 Mil.
Total Current Liabilities was $6.88 Mil.
Long-Term Debt & Capital Lease Obligation was $0.57 Mil.
Net Income was $-6.76 Mil.
Gross Profit was $0.14 Mil.
Cash Flow from Operations was $-5.25 Mil.

Total Receivables was $1.68 Mil.
Revenue was $6.33 Mil.
Gross Profit was $4.31 Mil.
Total Current Assets was $14.07 Mil.
Total Assets was $24.00 Mil.
Property, Plant and Equipment(Net PPE) was $3.18 Mil.
Depreciation, Depletion and Amortization(DDA) was $0.25 Mil.
Selling, General, & Admin. Expense(SGA) was $11.06 Mil.
Total Current Liabilities was $6.05 Mil.
Long-Term Debt & Capital Lease Obligation was $0.56 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)
	=	(1.038 / 5.712)	/	(1.68 / 6.33)
	=	0.181723	/	0.265403
	=	0.6847

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)
	=	(4.309 / 6.33)	/	(4.21 / 5.712)
	=	0.680727	/	0.737045
	=	0.9236

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 - (8.711 + 3.159) / 19.209)	/	(1 - (14.069 + 3.181) / 24.003)
	=	0.38206	/	0.28134
	=	1.358

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
	=	5.712	/	6.33
	=	0.9024

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))
	=	(0.252 / (0.252 + 3.181))	/	(0.407 / (0.407 + 3.159))
	=	0.073405	/	0.114133
	=	0.6432

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)
	=	(10.835 / 5.712)	/	(11.061 / 6.33)
	=	1.896884	/	1.747393
	=	1.0856

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)
	=	((0.571 + 6.88) / 19.209)	/	((0.562 + 6.054) / 24.003)
	=	0.387891	/	0.275632
	=	1.4073

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
	=	(-6.763 - 0.142	-	-5.253)	/	19.209
	=	-0.086001

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.

EpicQuest Education Group International has a M-score of -3.34 suggests that the company is unlikely to be a manipulator.

EpicQuest Education Group International Beneish M-Score Related Terms

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

EpicQuest Education Group International (EpicQuest Education Group International) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Education » EpicQuest Education Group International Ltd (NAS:EEIQ) » Definitions » Beneish M-Score

Comparable Companies

Traded in Other Exchanges

N/A

Address

1209 North University Boulevard, Middletown, OH, USA, 45042

Website

https://www.epicquesteducation.com

EpicQuest Education Group International Ltd provides comprehensive education solutions for domestic and international students interested in university and college degree programs in the U.S., Canada, and the UK. In addition, the company has a recruiting relationship with the regional campuses of Miami University of Ohio, where it maintains residential facilities, a full-service cafeteria, recreational facilities, shuttle buses, and an office for the regional campuses that provides study abroad and post-study services for its students; these facilities are not owned, maintained, operated or are a part of Miami University.