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What Did R&R Real Estate Investment Trust's (CVE:RRR.UN) CEO Take Home Last Year?

Simply Wall St

Michael Klingher is the CEO of R&R Real Estate Investment Trust (CVE:RRR.UN). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Next, we'll consider growth that the business demonstrates. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.

See our latest analysis for R&R Real Estate Investment Trust

How Does Michael Klingher's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that R&R Real Estate Investment Trust has a market cap of CA$16m, and is paying total annual CEO compensation of US$150k. (This is based on the year to December 2018). It is worth noting that the CEO compensation consists almost entirely of the salary, worth US$150k. We took a group of companies with market capitalizations below CA$262m, and calculated the median CEO total compensation to be CA$120k.

So Michael Klingher is paid around the average of the companies we looked at. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

The graphic below shows how CEO compensation at R&R Real Estate Investment Trust has changed from year to year.

TSXV:RRR.UN CEO Compensation, July 23rd 2019

Is R&R Real Estate Investment Trust Growing?

Over the last three years R&R Real Estate Investment Trust has shrunk its earnings per share by an average of 23% per year (measured with a line of best fit). Its revenue is up 140% over last year.

As investors, we are a bit wary of companies that have lower earnings per share, over three years. But in contrast the revenue growth is strong, suggesting future potential for earnings growth. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. We don't have analyst forecasts, but shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has R&R Real Estate Investment Trust Been A Good Investment?

With a three year total loss of 29%, R&R Real Estate Investment Trust would certainly have some dissatisfied shareholders. It therefore might be upsetting for shareholders if the CEO were paid generously.

In Summary...

Michael Klingher is paid around what is normal the leaders of comparable size companies.

The company cannot boast particularly strong per share growth. And it's hard to argue that the returns over the last three years have delighted. So many would argue that the CEO is certainly not underpaid. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at R&R Real Estate Investment Trust.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.

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.