CNC

• Beneish M‑Score = -1.413 (measures likelihood of earnings manipulation; US cutoff -1.78 is less applicable in Vietnam; company sits in the 81st percentile versus Vietnamese peers, meaning it ranks more aggressive than ~80% of peers).
• Year‑over‑year M‑Score change = +1.47 (measures trajectory of the manipulation signal; a large positive change is a secondary cue because single-year M‑Scores have low autocorrelation).
• DSRI = 2.0576 (Days‑Sales‑Receivable Index; measures change in receivables relative to sales — value >1 indicates receivables growing faster than sales).
• AQI = 1.8995 (Asset Quality Index; measures growth in non‑current and intangible assets and other items relative to total assets — value >1 indicates increasing non‑standard assets that can hide earnings).
• Receivables outside the trade cycle = 9.1% of total assets (measures prepayments, loans receivable and other long‑term receivables; 79th percentile among Vietnamese non‑financials).
• Cash conversion (3‑year OCF / net profit) = 1.81 (measures how profit converts to operating cash flow; company is at the 72nd percentile where lower is worse — here the figure indicates profit is not fully turning into cash over the 3‑year window).

• Accruals quality = 100.0/100 (measures degree to which earnings are driven by accruals rather than cash flows; a perfect score indicates low accruals risk).
• Cash conversion (single score) = 100.0/100 (high score on short‑term cash metrics indicates good immediate cash generation relative to reported profit).
• Margin quality = 95.3/100 (measures stability/quality of margins; high score indicates margins are not being materially distorted).
• SGI = 1.0448 and GMI = 0.9917 (Sales Growth Index ~1.045 measures sales growth; Gross Margin Index <1 indicates gross margin is not deteriorating; these mitigate some concerns about aggressive revenue recognition).
• TATA = -0.0586 (Total Accruals to Total Assets; a small negative value indicates accruals are not large relative to assets).
• Piotroski F‑Score = 6/9 (measures nine fundamental signals — a 6 is a neutral-to-favourable score rather than a clear deterioration).

The listed parent TRA holds 51.0% (control, disclosed at 2025‑12‑31), indicating a concentrated majority owner; TRA also controls other subsidiaries in the same group (e.g., DBM 58.2%). Outside institutional holdings, several individuals hold single‑digit stakes (largest individual 4.8%). This structure implies group/parent influence over governance and related‑party interactions.

• Compare the line(s) in the 2025 audited balance sheet and notes that support "Receivables — other/long‑term receivables" to reconcile the 9.1% of total assets figure (look for schedules of prepayments to suppliers, loans receivable and long‑term receivables).
• Reconcile the DSRI signal by comparing the 2023–2025 revenue note (sales by customer category) with the aging and movement schedule for trade receivables and non‑trade receivables in the 2025 disclosures.
• Inspect the cash flow statement and the notes to verify operating cash flow components for 2023–2025 and confirm the 3‑year cash conversion ratio (OCF / net profit = 1.81) — check large non‑cash adjustments or one‑off items in the cash flow reconciliation.
• Review related‑party transaction disclosures (sales/purchases, loans, prepayments) and the parent/subsidiary schedules to see whether the increases in AQI (1.8995) and non‑trade receivables are linked to intra‑group balances.