How Much Did CVS Group plc’s (LON:CVSG) CEO Pocket Last Year?
Simon Innes has been the CEO of CVS Group plc (LON:CVSG) since 2004. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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 CVS Group
How Does Simon Innes’s Compensation Compare With Similar Sized Companies?
Our data indicates that CVS Group plc is worth UK£326m, and total annual CEO compensation is UK£487k. (This number is for the twelve months until June 2018). While we always look at total compensation first, we note that the salary component is less, at UK£406k. When we examined a selection of companies with market caps ranging from UK£150m to UK£601m, we found the median CEO compensation was UK£696k.
So Simon Innes receives a similar amount to the median CEO pay, amongst 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.
You can see a visual representation of the CEO compensation at CVS Group, below.
Is CVS Group plc Growing?
Over the last three years CVS Group plc has grown its earnings per share (EPS) by an average of 17% per year (using a line of best fit). It achieved revenue growth of 20% over the last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It’s a real positive to see this sort of growth in a single year. That suggests a healthy and growing business. It could be important to check this free visual depiction of what analysts expect for the future.
Has CVS Group plc Been A Good Investment?
Given the total loss of 36% over three years, many shareholders in CVS Group plc 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…
Simon Innes is paid around the same as most CEOs of similar size companies.
We think that the EPS growth is very pleasing, but we find the returns over the last three years to be lacking. Considering the the positives we don’t think the CEO pays is too high, but it’s certainly hard to argue it is too low. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at CVS Group.
Important note: CVS Group may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.
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