F

NPK International Inc. — Earnings Quality Grade F

NPKI · Energy

Major red flags

Revenue
$277M
2025
Net Income
$39M
2025
Gross Margin
36.4%
Free Cash Flow
$26M
01

Screening Summary

13
Passed
3
Watch
1
Failed
-2.62
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 70 days, change -7 days YoY

A2AR vs Revenue Growth

AR growth 15.1% vs revenue growth 27.4%

A3Revenue vs CFFO

Revenue 27.4%, CFFO 91.2%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

Inventory -21.5% vs COGS 25.6%. Normal

B2CapEx vs Revenue

CapEx growth 7.2% vs revenue 27.4%. Normal

B3SG&A Ratio

SG&A/Gross Profit = 53.6%. Normal

B4Gross Margin

Gross margin 36.4%, change +0.9pp. Stable

03

Cash Flow Quality

C1CFFO vs Net Income

CFFO/NI = 1.87. Profits backed by cash

C2Free Cash Flow

FCF $0.0B, FCF/NI = 0.68

C3Accruals Ratio

Accruals ratio = -7.7%. Low accruals

C4Cash vs Debt

Cash $0.0B covers only 19% of debt $0.0B

04

Balance Sheet Health

D1Goodwill + Intangibles

Goodwill+Intangibles $0.1B = 28% of equity. Manageable

D2Leverage

Debt/EBITDA = 0.4x. Healthy

!
D3Soft Asset Growth

Other assets grew 55.3% vs revenue 27.4%

D4Asset Impairment

No write-off data

05

Acquisition Risk

!
E1Serial Acquirer FCF

FCF after acquisitions negative for 2/3 years

!
E2Goodwill Surge

Goodwill+Intangibles surged 70% YoY

06

Manipulation Score

F1Beneish M-Score

M-Score = -2.62 (< -2.22). Unlikely manipulator

Portfolio monitoring

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04

Beneish M-Score

Manipulation Probability-2.62
-4.0 Clean-2.22 Grey-1.78 Danger0
0.904
DSRI
AR growing faster than revenue?
0.975
GMI
Gross margin declining?
1.27
AQI
Asset quality deteriorating?
1.274
SGI
Revenue growth rate
1.282
DEPI
Depreciation slowing?
0.921
SGAI
SG&A ratio changing?
-0.0771
TATA
Accruals level
1.24
LVGI
Leverage increasing?
05

Altman Z-Score

4.41
Safe Zone
0 Distress1.102.605.0+ Safe
0.0551
Liquidity
-0.2276
Cumulative profit
0.1079
Operating efficiency
3.8758
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25