How Much is ZEAL Network SE's (ETR:TIM) CEO Getting Paid?
Helmut Becker became the CEO of ZEAL Network SE (ETR:TIM) in 2015. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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.
View our latest analysis for ZEAL Network
How Does Helmut Becker's Compensation Compare With Similar Sized Companies?
According to our data, ZEAL Network SE has a market capitalization of €383m, and paid its CEO total annual compensation worth €1.6m over the year to December 2018. We think total compensation is more important but we note that the CEO salary is lower, at €651k. We further remind readers that the CEO may face performance requirements to receive the non-salary part of the total compensation. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of €183m to €734m. The median total CEO compensation was €739k.
As you can see, Helmut Becker is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean ZEAL Network SE is paying too much. 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 ZEAL Network, below.
Is ZEAL Network SE Growing?
Over the last three years ZEAL Network SE has grown its earnings per share (EPS) by an average of 32% per year (using a line of best fit). It achieved revenue growth of 9.9% over the last year.
This demonstrates that the company has been improving recently. A good result. It's also good to see modest revenue growth, suggesting the underlying business is healthy. It could be important to check this free visual depiction of what analysts expect for the future.
Has ZEAL Network SE Been A Good Investment?
With a three year total loss of 39%, ZEAL Network SE would certainly have some dissatisfied shareholders. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
We compared the total CEO remuneration paid by ZEAL Network SE, and compared it to remuneration at a group of similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.
However we must not forget that the EPS growth has been very strong over three years. On the other hand returns to investors over the same period have probably disappointed many. While EPS is positive, we'd say shareholders would want better returns before the CEO is paid much more. So you may want to check if insiders are buying ZEAL Network shares with their own money (free access).
If you want to buy a stock that is better than ZEAL Network, this free list of high return, low debt companies is a great place to look.
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.
