The CEO Of BELIMO Holding AG (VTX:BEAN) Might See A Pay Rise On The Horizon
BELIMO Holding's Annual General Meeting to take place on 27th of March
Salary of CHF520.0k is part of CEO Lars van der Haegen's total remuneration
The total compensation is 54% less than the average for the industry
BELIMO Holding's EPS grew by 0.5% over the past three years while total shareholder return over the past three years was 70%
Shareholders will probably not be disappointed by the robust results at BELIMO Holding AG (VTX:BEAN) recently and they will be keeping this in mind as they go into the AGM on 27th of March. The focus will probably be on the future strategic initiatives that the board and management will put in place to improve the business rather than executive remuneration when they cast their votes on company resolutions. We have prepared some analysis below and we show why we think CEO compensation looks decent with even the possibility for a raise.
View our latest analysis for BELIMO Holding
Comparing BELIMO Holding AG's CEO Compensation With The Industry
At the time of writing, our data shows that BELIMO Holding AG has a market capitalization of CHF5.5b, and reported total annual CEO compensation of CHF1.3m for the year to December 2022. That's a slight decrease of 4.0% on the prior year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at CHF520k.
For comparison, other companies in the Swiss Building industry with market capitalizations ranging between CHF3.7b and CHF11b had a median total CEO compensation of CHF2.8m. That is to say, Lars van der Haegen is paid under the industry median. Moreover, Lars van der Haegen also holds CHF1.1m worth of BELIMO Holding stock directly under their own name.
On an industry level, around 46% of total compensation represents salary and 54% is other remuneration. It's interesting to note that BELIMO Holding allocates a smaller portion of compensation to salary in comparison to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.
BELIMO Holding AG's Growth
BELIMO Holding AG saw earnings per share stay pretty flat over the last three years. Its revenue is up 11% over the last year.
This revenue growth could really point to a brighter future. And the improvement in EPSis modest but respectable. So while performance isn't amazing, we think it really does seem quite respectable. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..
Has BELIMO Holding AG Been A Good Investment?
Boasting a total shareholder return of 70% over three years, BELIMO Holding AG 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.
Overall, the company hasn't done too poorly performance-wise, but we would like to see some improvement. If it manages to keep up the current streak, CEO remuneration could well be one of shareholders' least concerns. Instead, investors might be more interested in discussions that would help manage their longer-term growth expectations such as company business strategies and future growth potential.
While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. That's why we did some digging and identified 1 warning sign for BELIMO Holding that you should be aware of before investing.
Switching gears from BELIMO Holding, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.
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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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