Yahoo Finance Here's What We Think About GL Events SA's (EPA:GLO) CEO Pay
The CEO of GL Events SA (EPA:GLO) is Olivier Ginon. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Next, we'll consider growth that the business demonstrates. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This process should give us an idea about how appropriately the CEO is paid.
View our latest analysis for GL Events
How Does Olivier Ginon's Compensation Compare With Similar Sized Companies?
According to our data, GL Events SA has a market capitalization of €342m, and paid its CEO total annual compensation worth €354k over the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at €332k. We looked at a group of companies with market capitalizations from €184m to €736m, and the median CEO total compensation was €542k.
Pay mix tells us a lot about how a company functions versus the wider industry, and it's no different in the case of GL Events. Talking in terms of the sector, salary represented approximately 55% of total compensation out of all the companies we analysed, while other remuneration made up 45% of the pie. GL Events is paying a higher share of its remuneration through a salary in comparison to the overall industry.
At first glance this seems like a real positive for shareholders, since Olivier Ginon is paid less than the average total compensation paid by similar sized companies. Though positive, it's important we delve into the performance of the actual business. The graphic below shows how CEO compensation at GL Events has changed from year to year.
Is GL Events SA Growing?
Over the last three years GL Events SA has seen earnings per share (EPS) move in a positive direction by an average of 8.1% per year (using a line of best fit). Its revenue is up 13% over last year.
I would argue that the modest growth in revenue is a notable positive. And the modest growth in earnings per share isn't bad, either. So while performance isn't amazing, we think it really does seem quite respectable. Shareholders might be interested in this free visualization of analyst forecasts.
Has GL Events SA Been A Good Investment?
Given the total loss of 40% over three years, many shareholders in GL Events SA are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
GL Events SA is currently paying its CEO below what is normal for companies of its size.
It's well worth noting that while Olivier Ginon is paid less than most company leaders (at similar sized companies), performance has been somewhat uninspiring, and total returns have been lacking. Many shareholders would probably like to see improvements, but our analysis does not suggest that CEO compensation is too generous. Shifting gears from CEO pay for a second, we've spotted 4 warning signs for GL Events you should be aware of, and 1 of them is a bit concerning.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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