How Much Did China Resources Gas Group Limited’s (HKG:1193) CEO Pocket Last Year?

In this article:

Shanbo Shi became the CEO of China Resources Gas Group Limited (HKG:1193) in 2012. 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. This process should give us an idea about how appropriately the CEO is paid.

View our latest analysis for China Resources Gas Group

How Does Shanbo Shi’s Compensation Compare With Similar Sized Companies?

At the time of writing our data says that China Resources Gas Group Limited has a market cap of HK$66.3b, and is paying total annual CEO compensation of HK$6m. That’s below the compensation, last year. We examined companies with market caps from HK$31.4b to HK$94.1b, and discovered that the median CEO compensation of that group was HK$3m.

It would therefore appear that China Resources Gas Group Limited pays Shanbo Shi 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 better assess whether the pay is overly generous by looking into the underlying business performance.

You can see a visual representation of the CEO compensation at China Resources Gas Group, below.

SEHK:1193 CEO Compensation October 28th 18
SEHK:1193 CEO Compensation October 28th 18

Is China Resources Gas Group Limited Growing?

Over the last three years China Resources Gas Group Limited has grown its earnings per share (EPS) by an average of 13% per year. Its revenue is up 31% over last year.

This demonstrates that the company has been improving recently. A good result. The combination of strong revenue growth with medium-term earnings per share improvement certainly points to the kind of growth I like to see.

It could be important to check this free visual depiction of what analysts expect for the future.

Has China Resources Gas Group Limited Been A Good Investment?

Boasting a total shareholder return of 39% over three years, China Resources Gas Group Limited has done well by shareholders. So they may not be at all concerned if the CEO is paid more than is normal for companies around the same size.

In Summary…

We compared total CEO remuneration at China Resources Gas Group Limited with the amount paid at companies with a similar market capitalization. We found that it pays well over the median amount paid in the benchmark group.

However we must not forget that the EPS growth has been very strong over three years. In addition, shareholders have done well over the same time period. Considering this fine result for shareholders, we daresay the CEO compensation might be apt. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling China Resources Gas Group Limited (free visualization of insider trades).

Or you might prefer gaze upon this detailed graph of past earnings, revenue and cash flow .

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.

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