Brookfield Business Beneish M-Score Historical Data
The historical data trend for Brookfield Business'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.
Brookfield Business Beneish M-Score Chart
|
Brookfield Business Annual Data
|
|
Trend |
Dec18 |
Dec19 |
Dec20 |
Dec21 |
Dec22 |
Dec23 |
| Beneish M-Score |
|
Get a 7-Day Free Trial
|
- |
- |
- |
-2.06 |
-2.20 |
|
Brookfield Business Quarterly Data
|
|
Dec18 |
Dec19 |
Sep20 |
Dec20 |
Mar21 |
Jun21 |
Sep21 |
Dec21 |
Mar22 |
Jun22 |
Sep22 |
Dec22 |
Mar23 |
Jun23 |
Sep23 |
Dec23 |
Mar24 |
| Beneish M-Score |
Get a 7-Day Free Trial
|
|
|
|
|
|
|
|
|
|
-1.61 |
-1.94 |
-1.99 |
-2.20 |
-2.67 |
Competitive Comparison of Brookfield Business's Beneish M-Score
For the Asset Management subindustry, Brookfield Business'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.
Brookfield Business's Beneish M-Score Distribution in the Asset Management Industry
For the Asset Management industry and Financial Services sector, Brookfield Business's Beneish M-Score distribution charts can be found below:
* The bar in red indicates where Brookfield Business's Beneish M-Score falls into.
Brookfield Business 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 Brookfield Business 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 * 0.5512 | + | 0.528 * 0.9336 | + | 0.404 * 1.1117 | + | 0.892 * 0.9878 | + | 0.115 * 0.8334 |
| - | 0.172 * SGAI | + | 4.679 * TATA | - | 0.327 * LVGI |
| - | 0.172 * 1.0996 | + | 4.679 * 0.042605 | - | 0.327 * 0.901 |
| = | -2.70 |
* 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 (Mar24) TTM: | Last Year (Mar23) TTM: |
Total Receivables was €1,557 Mil.
Revenue was 1715.8 + -1014.202 + 2767.898 + 2689.622 = €6,159 Mil.
Gross Profit was 195.96 + -165.06 + 328.887 + 321.204 = €681 Mil.
Total Current Assets was €2,646 Mil.
Total Assets was €19,216 Mil.
Property, Plant and Equipment(Net PPE) was €2,412 Mil.
Depreciation, Depletion and Amortization(DDA) was €867 Mil.
Selling, General, & Admin. Expense(SGA) was €210 Mil.
Total Current Liabilities was €4,279 Mil.
Long-Term Debt & Capital Lease Obligation was €7,815 Mil.
Net Income was -138 + 416.318 + 90.889 + 99.684 = €469 Mil.
Non Operating Income was -113.16 + -786.786 + 39.354 + 303.667 = €-557 Mil.
Cash Flow from Operations was -48.76 + 165.977 + 24.362 + 65.533 = €207 Mil.
|
Total Receivables was €2,859 Mil.
Revenue was 1741.91 + -633.424 + 2934.05 + 2192.828 = €6,235 Mil.
Gross Profit was 232.566 + -89.68 + 304.01 + 196.768 = €644 Mil.
Total Current Assets was €5,202 Mil.
Total Assets was €25,758 Mil.
Property, Plant and Equipment(Net PPE) was €3,485 Mil.
Depreciation, Depletion and Amortization(DDA) was €985 Mil.
Selling, General, & Admin. Expense(SGA) was €193 Mil.
Total Current Liabilities was €5,864 Mil.
Long-Term Debt & Capital Lease Obligation was €12,129 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) |
| = | (1556.64 / 6159.118) | / | (2858.974 / 6235.364) |
| = | 0.252737 | / | 0.45851 |
| | = | 0.5512 |
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) |
| = | (643.664 / 6235.364) | / | (680.991 / 6159.118) |
| = | 0.103228 | / | 0.110566 |
| | = | 0.9336 |
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 - (2645.92 + 2412.24) / 19216.04) | / | (1 - (5202.38 + 3484.754) / 25757.852) |
| = | 0.736774 | / | 0.662738 |
| | = | 1.1117 |
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 |
| = | 6159.118 | / | 6235.364 |
| | = | 0.9878 |
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)) |
| = | (985.288 / (985.288 + 3484.754)) | / | (867.346 / (867.346 + 2412.24)) |
| = | 0.22042 | / | 0.264468 |
| | = | 0.8334 |
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) |
| = | (209.699 / 6159.118) | / | (193.072 / 6235.364) |
| = | 0.034047 | / | 0.030964 |
| | = | 1.0996 |
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) |
| = | ((7815.4 + 4278.92) / 19216.04) | / | ((12128.924 + 5863.652) / 25757.852) |
| = | 0.629387 | / | 0.698528 |
| | = | 0.901 |
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 |
| = | (468.891 - -556.925 | - | 207.112) | / | 19216.04 |
| | = | 0.042605 |
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.
Brookfield Business has a M-score of -2.70 suggests that the company is unlikely to be a manipulator.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
FRA:C6E has been successfully added to your