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Is ID Logistics Group SA's (EPA:IDL) CEO Paid At A Competitive Rate?

Simply Wall St

Eric Hémar became the CEO of ID Logistics Group SA (EPA:IDL) in 2010. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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. The aim of all this is to consider the appropriateness of CEO pay levels.

Check out our latest analysis for ID Logistics Group

How Does Eric Hémar's Compensation Compare With Similar Sized Companies?

At the time of writing, our data says that ID Logistics Group SA has a market cap of €953m, and reported total annual CEO compensation of €180k for the year to December 2018. Notably, the salary of €180k is the vast majority of the CEO compensation. When we examined a selection of companies with market caps ranging from €362m to €1.4b, we found the median CEO total compensation was €574k.

A first glance this seems like a real positive for shareholders, since Eric Hémar is paid less than the average total compensation paid by similar sized companies. While this is a good thing, you'll need to understand the business better before you can form an opinion.

You can see, below, how CEO compensation at ID Logistics Group has changed over time.

ENXTPA:IDL CEO Compensation, October 12th 2019

Is ID Logistics Group SA Growing?

On average over the last three years, ID Logistics Group SA has grown earnings per share (EPS) by 18% each year (using a line of best fit). Its revenue is up 9.1% over last year.

This demonstrates that the company has been improving recently. A good result. It's nice to see a little revenue growth, as this is consistent with healthy business conditions. You might want to check this free visual report on analyst forecasts for future earnings.

Has ID Logistics Group SA Been A Good Investment?

ID Logistics Group SA has generated a total shareholder return of 25% over three years, so most shareholders would be reasonably content. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.

In Summary...

ID Logistics Group SA is currently paying its CEO below what is normal for companies of its size.

Considering the underlying business is growing earnings, this would suggest the pay is modest. While some might be keen on seeing higher returns, our short analysis has not produced any evidence to suggest Eric Hémar is overcompensated. It's great to see a company that pays its CEO reasonably, even while growing. It would be an additional positive if insiders are buying shares. Shareholders may want to check for free if ID Logistics Group insiders are buying or selling shares.

If you want to buy a stock that is better than ID Logistics Group, this free list of high return, low debt companies is a great place to look.

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.