How Much Did Tai Sin Electric Limited's (SGX:500) CEO Pocket Last Year?
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In 2013 Bernard Lim was appointed CEO of Tai Sin Electric Limited (SGX:500). First, this article will compare CEO compensation with compensation at similar sized companies. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
View our latest analysis for Tai Sin Electric
How Does Bernard Lim's Compensation Compare With Similar Sized Companies?
Our data indicates that Tai Sin Electric Limited is worth S$144m, and total annual CEO compensation is S$823k. (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 S$494k. We looked at a group of companies with market capitalizations under S$270m, and the median CEO total compensation was S$271k.
It would therefore appear that Tai Sin Electric Limited pays Bernard Lim 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 get a better idea of how generous the pay is by looking at the performance of the underlying business.
You can see a visual representation of the CEO compensation at Tai Sin Electric, below.
Is Tai Sin Electric Limited Growing?
On average over the last three years, Tai Sin Electric Limited has shrunk earnings per share by 17% each year (measured with a line of best fit). It achieved revenue growth of 12% over the last year.
Unfortunately, earnings per share have trended lower over the last three years. There's no doubt that the silver lining is that revenue is up. But it isn't sufficiently fast growth to overlook the fact that earnings per share has gone backwards over three years. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. We don't have analyst forecasts, but shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Tai Sin Electric Limited Been A Good Investment?
With a total shareholder return of 22% over three years, Tai Sin Electric Limited shareholders would, in general, be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.
In Summary...
We compared the total CEO remuneration paid by Tai Sin Electric 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.
Earnings per share have not grown in three years, and the revenue growth fails to impress us.
And while shareholder returns have been respectable, they have hardly been superb. So you may want to delve deeper, because we don't think the CEO pay is too low. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Tai Sin Electric.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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.
