How Much Did Eurocommercial Properties N.V.'s (AMS:ECMPA) CEO Pocket Last Year?
The CEO of Eurocommercial Properties N.V. (AMS:ECMPA) is Jeremy Lewis. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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. This method should give us information to assess how appropriately the company pays the CEO.
Check out our latest analysis for Eurocommercial Properties
How Does Jeremy Lewis's Compensation Compare With Similar Sized Companies?
According to our data, Eurocommercial Properties N.V. has a market capitalization of €1.3b, and pays its CEO total annual compensation worth €1.5m. (This is based on the year to June 2018). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at €689k. When we examined a selection of companies with market caps ranging from €884m to €2.8b, we found the median CEO total compensation was €1.6m.
So Jeremy Lewis receives a similar amount to the median CEO pay, amongst the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.
You can see, below, how CEO compensation at Eurocommercial Properties has changed over time.
Is Eurocommercial Properties N.V. Growing?
Over the last three years Eurocommercial Properties N.V. has shrunk its earnings per share by an average of 31% per year (measured with a line of best fit). Its revenue is down -2.3% over last year.
Sadly for shareholders, earnings per share are actually down, over three years. And the impression is worse when you consider revenue is down year-on-year. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. It could be important to check this free visual depiction of what analysts expect for the future.
Has Eurocommercial Properties N.V. Been A Good Investment?
Since shareholders would have lost about 27% over three years, some Eurocommercial Properties N.V. shareholders would surely be feeling negative emotions. This suggests it would be unwise for the company to pay the CEO too generously.
In Summary...
Jeremy Lewis is paid around the same as most CEOs of similar size companies.
The company isn't growing EPS, and shareholder returns have been disappointing. Most would consider it prudent for the company to hold off any CEO pay rise until performance improves. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Eurocommercial Properties.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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