LMC

• Beneish M-Score = -0.3115 (measures eight financial ratios intended to detect earnings manipulation); Vietnam peer percentile = 92nd (this company’s M-Score is more aggressive than 92% of Vietnamese non-financial peers).
• Year-over-year M-Score change = +2.68 (measures trajectory of the M-Score; a notable rise year-over-year can signal a recent shift in accounting patterns).
• Earnings-Quality — Accruals quality = 0.0/100 (measures proportion and volatility of accruals vs cash; zero indicates very weak accruals quality).
• Earnings-Quality — Cash conversion = 0.0/100 (measures operating cash flow relative to profit over three years; zero indicates profits are not converting into cash).
• Vietnam check — 3-year cash conversion (operating cash flow / net profit) = -4.17 (6th percentile vs Vietnamese peers; low/negative means reported net profit has not translated into operating cash flow over three years).
• Beneish SGAI = 2.4443 (measures growth in SG&A relative to sales; a value >1 suggests SG&A grew faster than sales and can flag cost recognition or margin management).
• Beneish DSRI = 0.2606 and SGI = 0.4055 (DSRI <1 and SGI <1 measure changes in days sales outstanding and sales growth; these low values reflect declines in receivables relative to sales and falling sales, which can interact with other ratios to distort M-Score interpretation).
• Director-deal registrations (2025-10-30 to 2026-10-30): 8 sale registrations (6 traders; 219,000 shares; 6 registrations without a disclosed volume) and 7 purchase registrations (7 traders; 290,000 shares; 5 registrations without a disclosed volume). These are registered intentions with the exchange, not executed trades; the mix and number can be a signal to verify insider intent and related-party disclosures.

• Receivables quality = 100.0/100 (measures the proportion and ageing of receivables outside the trade cycle; a top score indicates receivables are not a material concern by the model’s criteria).
• Beneish AQI = 1.0000 and DEPI = 1.0000 (AQI = asset quality index; DEPI = depreciation index. AQI =1 and DEPI =1 suggest no model-detected increase in asset write-offs or unusual depreciation policies relative to prior periods).
• Beneish TATA = 0.7847 and LVGI = 0.9434 (TATA measures total accruals to total assets; LVGI measures leverage growth index. TATA <1 and LVGI close to 1 are not extreme under the model’s lenses).
• Altman Z-Score = 5.67 (measures distance to bankruptcy; a value well above the distress threshold indicates low bankruptcy risk by this composite metric).
• No accumulated losses and owner’s equity (excluding minority interest) is positive; parent net loss count = 0 years up to FY2025 (these are direct facts from the financial statements indicating retained earnings and equity are not negative).

Shareholding is concentrated among individuals: the top five listed holders hold 63.5% together (Việt Thụy Tố Quyên 14.1%; Trần Hoàng Dự 13.3%; Nguyễn Thùy Như Khuyên 13.3%; Nguyễn Thị Mai Trâm 13.3%; Trần Văn Nhật 9.5%). Director-deal registrations (8 sale and 7 purchase registrations over the past year) are registered intentions rather than executed trades and should be read as disclosed proposed insider activity.

• Compare the three-year operating cash flow line in the consolidated cash-flow statement to consolidated net profit (income statement) and the ‘cash flows from operating activities’ note to confirm the -4.17 cash-conversion ratio calculation.
• Inspect the trade and non-trade receivables schedules (notes labeled ‘receivables’, ‘loans and advances’, or ‘prepayments to suppliers’) to verify that receivables outside the trade cycle are 0.2% of total assets and to identify counterparty, related-party, and ageing detail.
• Review the related-party transactions note and any schedules of loans/advances to related parties to reconcile director-deal registrations and to identify whether registered insider transactions relate to share pledges, loans, or other intra-group arrangements.
• Examine the statement of changes in equity and the retained earnings note to confirm there are no accumulated losses and that parent-level net loss is zero for the most recent year; also check minority-interest schedules to reconcile reported owner’s equity excluding minorities.