Advertisement
UK markets close in 2 hours 36 minutes
  • FTSE 100

    8,129.50
    +50.64 (+0.63%)
     
  • FTSE 250

    19,826.91
    +224.93 (+1.15%)
     
  • AIM

    755.17
    +2.05 (+0.27%)
     
  • GBP/EUR

    1.1665
    +0.0008 (+0.07%)
     
  • GBP/USD

    1.2501
    -0.0010 (-0.08%)
     
  • Bitcoin GBP

    51,336.55
    +616.95 (+1.22%)
     
  • CMC Crypto 200

    1,390.17
    -6.36 (-0.46%)
     
  • S&P 500

    5,048.42
    -23.21 (-0.46%)
     
  • DOW

    38,085.80
    -375.12 (-0.98%)
     
  • CRUDE OIL

    84.24
    +0.67 (+0.80%)
     
  • GOLD FUTURES

    2,360.60
    +18.10 (+0.77%)
     
  • NIKKEI 225

    37,934.76
    +306.28 (+0.81%)
     
  • HANG SENG

    17,651.15
    +366.61 (+2.12%)
     
  • DAX

    18,093.07
    +175.79 (+0.98%)
     
  • CAC 40

    8,065.72
    +49.07 (+0.61%)
     

Why Sylvania Platinum Limited’s (LON:SLP) CEO Salary Matters To You

Terry McConnachie has been the CEO of Sylvania Platinum Limited (LON:SLP) since 2010. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Then we’ll look at a snap shot of the business growth. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. The aim of all this is to consider the appropriateness of CEO pay levels.

Check out our latest analysis for Sylvania Platinum

How Does Terry McConnachie’s Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Sylvania Platinum Limited has a market cap of UK£48m, and is paying total annual CEO compensation of US$494k. That’s below the compensation, last year. We looked at a group of companies with market capitalizations under US$200m, and the median CEO compensation was US$314k.

ADVERTISEMENT

Thus we can conclude that Terry McConnachie receives more in total compensation than the median of a group of companies in the same market, and of similar size to Sylvania Platinum Limited. However, this doesn’t necessarily mean the pay is too high. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.

The graphic below shows how CEO compensation at Sylvania Platinum has changed from year to year.

AIM:SLP CEO Compensation October 29th 18
AIM:SLP CEO Compensation October 29th 18

Is Sylvania Platinum Limited Growing?

Sylvania Platinum Limited has increased its earnings per share (EPS) by an average of 67% a year, over the last three years It achieved revenue growth of 24% over the last year.

This shows that the company has improved itself over the last few years. Good news for shareholders. It’s also good to see decent revenue growth in the last year, suggesting the business is healthy and growing.

It could be important to check this free visual depiction of what analysts expect for the future.

Has Sylvania Platinum Limited Been A Good Investment?

I think that the total shareholder return of 95%, over three years, would leave most Sylvania Platinum Limited shareholders smiling. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

In Summary…

We compared total CEO remuneration at Sylvania Platinum Limited with the amount paid at companies with a similar market capitalization. We found that it pays well over the median amount paid in the benchmark group.

However, the earnings per share growth over three years is certainly impressive. In addition, shareholders have done well over the same time period. Considering this fine result for shareholders, we daresay the CEO compensation might be apt. Shareholders may want to check for free if Sylvania Platinum Limited insiders are buying or selling shares.

Or you might prefer examine intently this intuitive graph showing past earnings and revenue.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.