ReTo Eco-Solutions, Inc.
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ReTo Eco-Solutions, Inc.’s revenue for fiscal 2025 (year ended December 2025) was $3.4 million, up 84.3% from fiscal 2024.
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ReTo Eco-Solutions, Inc. (RETO) Beneish M-score
ReTo Eco-Solutions, Inc.'s Beneish M-score for fiscal 2025 is −2.89; values above −1.78 are the model's flag for possible earnings manipulation — a statistical screen, not a finding.
Beneish M-score, annual
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Annual newest first
| Period | Beneish M-score | Change (points) |
|---|---|---|
| FY2025 | −2.89 | (148.34) |
| FY2024 | 145.46 | 121.61 |
| FY2023 | 23.85 | 27.57 |
| FY2022 | −3.72 | (2.48) |
| FY2021 | −1.24 | 1.09 |
| FY2020 | −2.33 | 0.85 |
| FY2019 | −3.18 | (0.90) |
| FY2018 | −2.28 | (0.18) |
| FY2017 | −2.09 | (0.44) |
| FY2016 | −1.66 | — |
How fiscal 2025’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Days’ sales in receivables index | 1.13 | — | 1.04 | |
| Gross margin index | 1.28 | — | 0.68 | |
| Asset quality index | 1.00 | — | 0.40 | |
| Sales growth index | 1.84 | — | 1.64 | |
| Depreciation index | 0.72 | — | 0.08 | |
| SG&A index | 0.47 | — | −0.08 | |
| Total accruals to total assets | (0.26) | — | −1.22 | |
| Leverage index | 1.80 | — | −0.59 | |
| Beneish M-score | Low — no pattern the model associates with manipulation | −2.89 | ||
How the Beneish M-score works
M = −4.84 + 0.920 × DSRI + 0.528 × GMI + 0.404 × AQI + 0.892 × SGI + 0.115 × DEPI − 0.172 × SGAI + 4.679 × TATA − 0.327 × LVGI (Beneish, 1999): eight changes in the accounts from one fiscal year to the next, which the model weighs for the pattern seen in companies that later restated their earnings. Higher is worse.
| below −2.22 | Low — no pattern the model associates with manipulation |
|---|---|
| −2.22 to −1.78 | Elevated |
| above −1.78 | Flagged by the model |
−1.78 is the cut-off usually quoted from the paper, −2.22 a common conservative one. A statistical screen, not a finding of wrongdoing.
When asset quality, depreciation or SG&A cannot be worked out, that index is set to 1, as Beneish did, and the breakdown says so; with all three missing there is no score. Depreciation includes amortisation, and asset quality leaves out securities. Not worked out for banks, insurers and REITs.
Beneish M-score against peers
| Company | Beneish M-score |
|---|---|
| CPTAF Captivision Inc. compare | −11.3× |
| CAPS Capstone Therapeutics Corp. compare | −3.8× |
| RETO ReTo Eco-Solutions, Inc. | −2.9× |
| TTAM Titan America SA compare | −2.6× |
| CPAC Cementos Pacasmayo S.A.A. compare | −2.5× |
| TGLS Tecnoglass Holdings Inc. compare | −2.3× |
| SMID Smith-Midland Corp. compare | −2.2× |
| LOMA Loma Negra Compania Industrial Argentina S.A. Sponsored ADR compare | −2.2× |
| RMIX Suncrete, Inc. compare | — |
What Beneish M-score is
The Beneish M-Score combines eight year-on-year changes in the accounts into a statistical screen for patterns seen in companies that overstated earnings.
−4.84 + 0.920 × DSRI + 0.528 × GMI + 0.404 × AQI + 0.892 × SGI + 0.115 × DEPI − 0.172 × SGAI + 4.679 × TATA − 0.327 × LVGI