Yahoo Finance It's Unlikely That Field Solutions Holdings Limited's (ASX:FSG) CEO Will See A Huge Pay Rise This Year
CEO Andrew Roberts has done a decent job of delivering relatively good performance at Field Solutions Holdings Limited (ASX:FSG) recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 28 November 2022. However, some shareholders will still be cautious of paying the CEO excessively.
Check out our latest analysis for Field Solutions Holdings
Comparing Field Solutions Holdings Limited's CEO Compensation With The Industry
At the time of writing, our data shows that Field Solutions Holdings Limited has a market capitalization of AU$84m, and reported total annual CEO compensation of AU$706k for the year to June 2022. We note that's an increase of 48% above last year. In particular, the salary of AU$390.0k, makes up a fairly large portion of the total compensation being paid to the CEO.
On comparing similar-sized companies in the industry with market capitalizations below AU$299m, we found that the median total CEO compensation was AU$498k. This suggests that Andrew Roberts is paid more than the median for the industry. What's more, Andrew Roberts holds AU$337k worth of shares in the company in their own name.
Component | 2022 | 2021 | Proportion (2022) |
Salary | AU$390k | AU$295k | 55% |
Other | AU$316k | AU$183k | 45% |
Total Compensation | AU$706k | AU$478k | 100% |
On an industry level, around 46% of total compensation represents salary and 54% is other remuneration. Field Solutions Holdings pays out 55% of remuneration in the form of a salary, significantly higher than the industry average. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.
Field Solutions Holdings Limited's Growth
Field Solutions Holdings Limited's earnings per share (EPS) grew 98% per year over the last three years. Its revenue is up 127% over the last year.
This demonstrates that the company has been improving recently and is good news for the shareholders. Most shareholders would be pleased to see strong revenue growth combined with EPS growth. This combo suggests a fast growing business. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Field Solutions Holdings Limited Been A Good Investment?
Boasting a total shareholder return of 323% over three years, Field Solutions Holdings Limited has done well by shareholders. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.
To Conclude...
Given that the company's overall performance has been reasonable, the CEO remuneration policy might not be shareholders' central point of focus in the upcoming AGM. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are already being paid higher than the industry.
It is always advisable to analyse CEO pay, along with performing a thorough analysis of the company's key performance areas. In our study, we found 5 warning signs for Field Solutions Holdings you should be aware of, and 1 of them is a bit concerning.
Important note: Field Solutions Holdings is an exciting stock, but we understand investors may be looking for an unencumbered balance sheet and blockbuster returns. You might find something better in this list of interesting companies with high ROE and low debt.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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