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Is 1000mercis (EPA:ALMIL) Overpaying Its CEO?

Simply Wall St

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The CEO of 1000mercis (EPA:ALMIL) is Yseulys Costes. First, this article will compare CEO compensation with compensation at similar sized companies. Then we'll look at a snap shot of the business growth. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for 1000mercis

How Does Yseulys Costes's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that 1000mercis has a market cap of €64m, and is paying total annual CEO compensation of €160k. (This figure is for the year to December 2018). We think total compensation is more important but we note that the CEO salary is lower, at €105k. We examined a group of similar sized companies, with market capitalizations of below €178m. The median CEO total compensation in that group is €89k.

Thus we can conclude that Yseulys Costes receives more in total compensation than the median of a group of companies in the same market, and of similar size to 1000mercis. 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.

You can see, below, how CEO compensation at 1000mercis has changed over time.

ENXTPA:ALMIL CEO Compensation, July 20th 2019

Is 1000mercis Growing?

1000mercis has reduced its earnings per share by an average of 8.7% a year, over the last three years (measured with a line of best fit). Its revenue is up 14% over last year.

Unfortunately, earnings per share have trended lower over the last three years. And while it's good to see some good revenue growth recently, the growth isn't really fast enough for me to put aside my concerns around earnings. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. It could be important to check this free visual depiction of what analysts expect for the future.

Has 1000mercis Been A Good Investment?

Since shareholders would have lost about 31% over three years, some 1000mercis shareholders would surely be feeling negative emotions. So shareholders would probably think the company shouldn't be too generous with CEO compensation.

In Summary...

We examined the amount 1000mercis pays its CEO, and compared it to the amount paid by similar sized companies. We found that it pays well over the median amount paid in the benchmark group.

Earnings per share have not grown in three years, and the revenue growth fails to impress us.

Over the same period, investors would have come away with nothing in the way of share price gains. In our opinion the CEO might be paid too generously! If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at 1000mercis.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

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. Thank you for reading.