GSM

• Beneish M-Score = -1.4133 (81st percentile among Vietnamese peers; YoY change +0.81). The M-Score aggregates multiple signals of accounting distortion; the company ranks above most Vietnamese peers and its M-Score has materially increased year-over-year.
• AQI (Asset Quality Index) = 5.3617. AQI measures the change in non-current asset components (PPE, intangible, other long-term receivables, etc.) relative to total assets; a high AQI often reflects reclassification or rapid growth in non-current assets that can accompany aggressive accounting.
• Revenue quality = 0.0/100 and Margin quality = 28.9/100. These earnings-quality sub-scores indicate revenue recognition patterns and margins that score poorly versus peers — the revenue-quality component is particularly weak.
• SGI (Sales Growth Index) = 1.4700. SGI > 1 signals fast sales growth; rapid growth can strain controls and increase pressure to manage earnings.
• LVGI (Leverage Growth Index) = 0.7329. LVGI > 0 indicates rising leverage (growth in debt relative to assets/equity), which can create balance-sheet pressure.
• DEPI = 0.7428 (Depreciation Index < 1). DEPI < 1 indicates the reported depreciation rate increased (or asset lives shortened) year-over-year, which changes expense recognition and can mask earlier capitalization policies.

• Accruals quality = 100.0/100 and TATA = -0.1235. The accruals-quality sub-score and negative Total Accruals to Total Assets (TATA) show operating cash generation dominates accruals; that is consistent with cash-based quality of reported earnings.
• Cash conversion (operating cash flow / net profit, 3-year) = 1.50 (64th percentile among Vietnamese companies) and Earnings-quality cash conversion sub-score = 100/100. Operating cash flow over reported profit is healthy on a three-year basis (1.50x), indicating profits have translated into cash overall.
• Receivables outside the trade cycle = 0.1% of total assets (6th percentile). Very low non-trade receivables / prepayments/long-term receivables reduces one common channel for off-statement value transfer.
• Altman Z-Score = 4.52 (safe zone). This Z-score indicates distance from bankruptcy risk under the Altman model.
• Piotroski F-Score = 9/9. A maximum Piotroski score reflects strong operating profitability, balance-sheet improvement and performance compared with prior periods.

Ownership is concentrated: four shareholders together control ≥77% (Kim Thành 27.4%, Tổng Công ty Khoáng sản và Thương mại Hà Tĩnh 19.8%, Nguyễn Thị Linh Giang 10.2%, Công ty TNHH Đại Hiệp 10.0%, Trần Thị Kim Thoa 10.0%). Two of the top holders are institutions and there appears to be a tightly held group structure, which raises the importance of checking related-party and intra-group transactions.

• Compare the FY2025 movements in PPE, intangible assets, long-term receivables and other non-current asset line items with the notes on reclassifications and acquisitions to reconcile the high AQI (5.3617).
• Reconcile revenue and margin line items with the revenue recognition note and sales-by-customer/segment schedules to understand why Revenue Quality = 0.0/100 and Margin Quality = 28.9/100.
• Verify related-party disclosures (sales, purchases, loans, prepayments) and the schedule of receivables to confirm the very low receivables-outside-trade-cycle (0.1% of assets) and identify any intra-group balances.
• Compare the statement of cash flows (operating cash flow) to net profit across the last three years to confirm the three-year cash conversion ratio 1.50 and the TATA-derived accrual behavior (TATA = -0.1235).