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Asiana Airlines (XKRX:020560) Beneish M-Score : -2.84 (As of May. 25, 2024)


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What is Asiana Airlines 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 Asiana Airlines's Beneish M-Score or its related term are showing as below:

XKRX:020560' s Beneish M-Score Range Over the Past 10 Years
Min: -10.93   Med: -2.81   Max: 3.77
Current: -2.84

During the past 13 years, the highest Beneish M-Score of Asiana Airlines was 3.77. The lowest was -10.93. And the median was -2.81.


Asiana Airlines Beneish M-Score Historical Data

The historical data trend for Asiana Airlines'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.

Asiana Airlines Beneish M-Score Chart

Asiana Airlines Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.38 -1.72 -2.90 -3.39 -3.00

Asiana Airlines Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 -3.33 -3.23 -3.07 -3.00 -2.84

Competitive Comparison of Asiana Airlines's Beneish M-Score

For the Airlines subindustry, Asiana Airlines'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.


Asiana Airlines's Beneish M-Score Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Asiana Airlines's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Asiana Airlines's Beneish M-Score falls into.



Asiana Airlines 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 Asiana Airlines 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 * 1.0013+0.528 * 1.1264+0.404 * 0.9531+0.892 * 1.1755+0.115 * 0.9482
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.1896+4.679 * -0.113235-0.327 * 0.9898
=-2.84

* 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 ₩526,765 Mil.
Revenue was 2008865.525 + 2048462.709 + 2001891.22 + 1825577.438 = ₩7,884,797 Mil.
Gross Profit was 225106.885 + 256149.687 + 355767.532 + 302620.858 = ₩1,139,645 Mil.
Total Current Assets was ₩2,509,377 Mil.
Total Assets was ₩13,410,416 Mil.
Property, Plant and Equipment(Net PPE) was ₩9,011,498 Mil.
Depreciation, Depletion and Amortization(DDA) was ₩1,067,860 Mil.
Selling, General, & Admin. Expense(SGA) was ₩408,849 Mil.
Total Current Liabilities was ₩5,638,592 Mil.
Long-Term Debt & Capital Lease Obligation was ₩4,489,947 Mil.
Net Income was -167886.162 + 194178.121 + -13370.271 + -1264.049 = ₩11,658 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = ₩0 Mil.
Cash Flow from Operations was 395027.18 + 204641.456 + 361944.373 + 568567.864 = ₩1,530,181 Mil.
Total Receivables was ₩447,566 Mil.
Revenue was 1747416.98 + 1733170.4 + 1677970.742 + 1549278.096 = ₩6,707,836 Mil.
Gross Profit was 307037.931 + 237493.817 + 311716.707 + 235816.079 = ₩1,092,065 Mil.
Total Current Assets was ₩2,872,782 Mil.
Total Assets was ₩13,450,959 Mil.
Property, Plant and Equipment(Net PPE) was ₩8,589,612 Mil.
Depreciation, Depletion and Amortization(DDA) was ₩959,275 Mil.
Selling, General, & Admin. Expense(SGA) was ₩292,387 Mil.
Total Current Liabilities was ₩6,105,672 Mil.
Long-Term Debt & Capital Lease Obligation was ₩4,158,438 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)
=(526765.204 / 7884796.892) / (447565.582 / 6707836.218)
=0.066808 / 0.066723
=1.0013

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)
=(1092064.534 / 6707836.218) / (1139644.962 / 7884796.892)
=0.162804 / 0.144537
=1.1264

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 - (2509377.473 + 9011498.279) / 13410416.138) / (1 - (2872782.273 + 8589612.461) / 13450959.274)
=0.140901 / 0.147838
=0.9531

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
=7884796.892 / 6707836.218
=1.1755

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))
=(959275.001 / (959275.001 + 8589612.461)) / (1067860.477 / (1067860.477 + 9011498.279))
=0.100459 / 0.105945
=0.9482

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)
=(408848.847 / 7884796.892) / (292387.062 / 6707836.218)
=0.051853 / 0.043589
=1.1896

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)
=((4489946.601 + 5638591.922) / 13410416.138) / ((4158438.017 + 6105671.508) / 13450959.274)
=0.755274 / 0.763076
=0.9898

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
=(11657.639 - 0 - 1530180.873) / 13410416.138
=-0.113235

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.

Asiana Airlines has a M-score of -2.84 suggests that the company is unlikely to be a manipulator.


Asiana Airlines Beneish M-Score Related Terms

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Asiana Airlines (XKRX:020560) Business Description

Traded in Other Exchanges
N/A
Address
Asiana Town KangseoNo 47, PO Box 98 Osae-Dong, Kangseo-ku, Seoul, KOR, 157-731
Asiana Airlines Inc is one of South Korea's major airlines. It generates revenue by transporting passengers, cargo, and by providing supplementary services related to airlines and travel industries. The company offers many different classes, or cabin experiences, for each flight. A customer may purchase tickets, check the flight status, check-in, and order/confirm other amenities on the company's website. Only a small portion of revenue is derived from domestic passengers (South Korea), with international passengers and carrying cargo constituting a majority. The majority of Asiana's revenue is from routes conducted throughout Asia.

Asiana Airlines (XKRX:020560) Headlines

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