How Much is C C Land Holdings Limited’s (HKG:1224) CEO Getting Paid?
Peter Lam has been the CEO of C C Land Holdings Limited (HKG:1224) since 1999. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Then we’ll look at a snap shot of the business growth. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. The aim of all this is to consider the appropriateness of CEO pay levels.
Check out our latest analysis for C C Land Holdings
How Does Peter Lam’s Compensation Compare With Similar Sized Companies?
According to our data, C C Land Holdings Limited has a market capitalization of HK$7.0b, and pays its CEO total annual compensation worth HK$18m. (This figure is for the year to 2017). We think total compensation is more important but we note that the CEO salary is lower, at HK$10.0m. We examined companies with market caps from HK$3.1b to HK$13b, and discovered that the median CEO compensation of that group was HK$3.3m.
As you can see, Peter Lam is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean C C Land Holdings Limited is paying too much. We can better assess whether the pay is overly generous by looking into the underlying business performance.
You can see, below, how CEO compensation at C C Land Holdings has changed over time.
Is C C Land Holdings Limited Growing?
Over the last three years C C Land Holdings Limited has shrunk its earnings per share by an average of 77% per year. Its revenue is up 61% over last year.
As investors, we are a bit wary of companies that have lower earnings per share, over three years. On the other hand, the strong revenue growth suggests the business is growing. These two metric are moving in different directions, so while it’s hard to be confident judging performance, we think the stock is worth watching.
We don’t have analyst forecasts, but you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has C C Land Holdings Limited Been A Good Investment?
Given the total loss of 10% over three years, many shareholders in C C Land Holdings Limited are probably rather dissatisfied, to say the least. So shareholders would probably think the company shouldn’t be too generous with CEO compensation.
In Summary…
We compared the total CEO remuneration paid by C C Land Holdings Limited, and compared it to remuneration at a group of similar sized companies. Our data suggests that it pays above the median CEO pay within that group.
The growth in the business has been uninspiring, but the shareholder returns have arguably been worse, over the last three years. Shareholders may wish to consider further research. Although we don’t think the CEO pay is too high, it is probably more on the generous side of things. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling C C Land Holdings (free visualization of insider trades).
Or you might rather take a peek at this analytical visualization of historic cash flow, earnings and revenue.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
