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Kein Hing International Bhd (XKLS:7199) Beneish M-Score : -2.81 (As of May. 26, 2024)


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What is Kein Hing International 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 -2.81 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Kein Hing International Bhd's Beneish M-Score or its related term are showing as below:

XKLS:7199' s Beneish M-Score Range Over the Past 10 Years
Min: -3.55   Med: -2.79   Max: -1.55
Current: -2.81

During the past 13 years, the highest Beneish M-Score of Kein Hing International Bhd was -1.55. The lowest was -3.55. And the median was -2.79.


Kein Hing International Bhd Beneish M-Score Historical Data

The historical data trend for Kein Hing International 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.

Kein Hing International Bhd Beneish M-Score Chart

Kein Hing International Bhd Annual Data
Trend Apr14 Apr15 Apr16 Apr17 Apr18 Apr19 Apr20 Apr21 Apr22 Apr23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.88 -3.55 -1.55 -2.50 -2.81

Kein Hing International Bhd Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - -2.81 - - -

Competitive Comparison of Kein Hing International Bhd's Beneish M-Score

For the Metal Fabrication subindustry, Kein Hing International 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.


Kein Hing International Bhd's Beneish M-Score Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Kein Hing International Bhd's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Kein Hing International Bhd's Beneish M-Score falls into.



Kein Hing International 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 Kein Hing International Bhd 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 * 0.7181+0.528 * 0.9909+0.404 * 0.8995+0.892 * 1.2177+0.115 * 1.0298
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9101+4.679 * -0.059527-0.327 * 0.8744
=-2.81

* 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 (Apr23) TTM:Last Year (Apr22) TTM:
Total Receivables was RM45.1 Mil.
Revenue was RM326.7 Mil.
Gross Profit was RM58.3 Mil.
Total Current Assets was RM143.0 Mil.
Total Assets was RM263.6 Mil.
Property, Plant and Equipment(Net PPE) was RM101.7 Mil.
Depreciation, Depletion and Amortization(DDA) was RM12.3 Mil.
Selling, General, & Admin. Expense(SGA) was RM40.1 Mil.
Total Current Liabilities was RM62.9 Mil.
Long-Term Debt & Capital Lease Obligation was RM21.2 Mil.
Net Income was RM22.3 Mil.
Gross Profit was RM0.0 Mil.
Cash Flow from Operations was RM38.0 Mil.
Total Receivables was RM51.6 Mil.
Revenue was RM268.3 Mil.
Gross Profit was RM47.5 Mil.
Total Current Assets was RM133.2 Mil.
Total Assets was RM247.1 Mil.
Property, Plant and Equipment(Net PPE) was RM94.3 Mil.
Depreciation, Depletion and Amortization(DDA) was RM11.8 Mil.
Selling, General, & Admin. Expense(SGA) was RM36.2 Mil.
Total Current Liabilities was RM70.4 Mil.
Long-Term Debt & Capital Lease Obligation was RM19.9 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)
=(45.145 / 326.712) / (51.628 / 268.301)
=0.13818 / 0.192426
=0.7181

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)
=(47.476 / 268.301) / (58.344 / 326.712)
=0.176951 / 0.178579
=0.9909

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 - (143.04 + 101.738) / 263.559) / (1 - (133.214 + 94.333) / 247.124)
=0.071259 / 0.079219
=0.8995

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
=326.712 / 268.301
=1.2177

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))
=(11.763 / (11.763 + 94.333)) / (12.275 / (12.275 + 101.738))
=0.110871 / 0.107663
=1.0298

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)
=(40.083 / 326.712) / (36.169 / 268.301)
=0.122686 / 0.134808
=0.9101

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)
=((21.232 + 62.918) / 263.559) / ((19.862 + 70.372) / 247.124)
=0.319283 / 0.365137
=0.8744

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
=(22.304 - 0 - 37.993) / 263.559
=-0.059527

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.

Kein Hing International Bhd has a M-score of -2.81 suggests that the company is unlikely to be a manipulator.


Kein Hing International Bhd Beneish M-Score Related Terms

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Kein Hing International Bhd (XKLS:7199) Business Description

Traded in Other Exchanges
N/A
Address
Lot 1863, Jalan Kolej, Seri Kembangan, SGR, MYS, 43300
Kein Hing International Bhd is a Malaysia based investment holding company. The company's operating segment includes Manufacturing; Trading and Investment holding. It generates maximum revenue from the Manufacturing segment. Manufacturing segment includes sheet metal forming, precision machining, component assembly and manufacture and sale of gas appliances. Geographically, it derives a majority of its revenue is from Vietnam and also has a presence in Malaysia; America; Europe; Hong Kong; Thailand; Australia; Brazil and Other Countries.

Kein Hing International Bhd (XKLS:7199) Headlines

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