Zhifeng Pi is the CEO of Anton Oilfield Services Group (HKG:3337). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. 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.
How Does Zhifeng Pi’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Anton Oilfield Services Group has a market cap of HK$3.1b, and is paying total annual CEO compensation of CN¥2.3m. (This number is for the twelve months until December 2017). While we always look at total compensation first, we note that the salary component is less, at CN¥2.0m. We examined companies with market caps from CN¥1.3b to CN¥5.4b, and discovered that the median CEO total compensation of that group was CN¥1.7m.
It would therefore appear that Anton Oilfield Services Group pays Zhifeng Pi more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn’t mean the remuneration is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.
The graphic below shows how CEO compensation at Anton Oilfield Services Group has changed from year to year.
Is Anton Oilfield Services Group Growing?
Over the last three years Anton Oilfield Services Group has grown its earnings per share (EPS) by an average of 88% per year (using a line of best fit). In the last year, its revenue is up 37%.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It’s great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. You might want to check this free visual report on analyst forecasts for future earnings.
Has Anton Oilfield Services Group Been A Good Investment?
Most shareholders would probably be pleased with Anton Oilfield Services Group for providing a total return of 35% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
We examined the amount Anton Oilfield Services Group pays its CEO, and compared it to the amount paid by similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.
However we must not forget that the EPS growth has been very strong over three years. Even better, returns to shareholders have been plentiful, over the same time period. Considering this fine result for shareholders, we daresay the CEO compensation might be apt. So you may want to check if insiders are buying Anton Oilfield Services Group shares with their own money (free access).
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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