ELC

• Beneish M-Score = -0.722 with Vietnam peer percentile 89th and YoY change +2.18: the score is higher (more aggressive) than most Vietnamese peers and has moved materially year-over-year; note the -1.78 US cutoff is not VN-calibrated.
• GMI (Gross Margin Index) = 1.7145: gross margins have deteriorated relative to the prior year, a component of the M-Score that often precedes accounting pressure.
• SGI (Sales Growth Index) = 1.8968 and SGAI (SG&A Index) = 0.5078 (SGAI < 1 but high SGI): rapid sales growth (SGI ~1.90) combined with notable changes in SG&A can stress controls and give scope for aggressive recognition; revenue-quality = 0.0/100 and margin-quality = 32.2/100 reinforce concerns on the income-statement side.
• TATA (Total Accruals to Total Assets) = 0.1737 and Earnings Quality accruals = 40.3/100: total accruals are relatively large (TATA ~17.4% of assets), indicating a material gap between accounting profit and cash flows.
• Cash conversion (3-year operating cash flow / net profit) = -0.22 (19th percentile among Vietnamese peers): reported profits are not being converted into operating cash, a classic earnings-quality concern.
• Receivables outside the trade cycle = 12.8% of total assets (85th percentile): a relatively large portion of assets classified outside the normal trade receivables cycle (prepayments, loans receivable, long-term receivables) which can hide related-party flows or non-core claims.

• Receivables quality = 100.0/100: on the receivables-quality metric itself the company scores very well, suggesting trade receivables aging/collectibility (as measured by that score) is strong.
• AQI (Asset Quality Index) = 0.7792 and DEPI (Depreciation Index) = 0.8397: AQI < 1 and DEPI < 1 indicate no obvious build-up of slow-moving/other noncurrent assets or unusually low depreciation pressure compared with the prior year.
• Altman Z-Score = 3.32 (safe zone): the company is a comfortable distance from bankruptcy risk under the Altman model.
• Piotroski F-Score = 4/9 (neutral): fundamentals are neither strongly positive nor deeply negative by the Piotroski checklist, and there are no accumulated losses or statutory loss triggers (Decree tests) in the published statements.

Ownership is moderately dispersed: largest individual shareholder holds 5.1% (Phan Chiến Thắng) and several institutional and broker-shareholders hold around 5% each (Vietnam Equity Holding 5.0%, Nguyễn Mạnh Hải 5.0%, SSI 5.0%, Samarang UCITS 4.9%). Director-deal disclosures show registered insider activity in 2025–10–30 to 2026–10–30 with seven sale registrations (7 traders; 6,342,000 shares) and six purchase registrations (2 traders; 1,400,000 shares; three purchase registrations without a volume), noting these are registrations of intentions with the exchange, not executed trades.

• Compare the line(s) in the notes that support ‘receivables outside the trade cycle’ (prepayments to suppliers, loans receivable, other long-term receivables) — verify the 12.8% of total assets breakdown and counterparties/related-party disclosures.
• Reconcile the total accruals (TATA = 0.1737) to the consolidated statement of cash flows and the statement of changes in working capital — identify the components driving the 17.37% TATA ratio.
• Compare operating cash flow and profit for the last three years in the cash-flow statement to confirm the 3-year cash conversion = -0.22 and disclose items (noncash adjustments, working-capital movements) that produced the negative conversion.
• Examine the revenue recognition policy note and the revenue/detail schedules to investigate revenue-quality = 0.0/100 and SGI = 1.8968 (sales growth); check timing, cutoff, and any consignment/related-party sales disclosures.