In 2015 Mark Belton was appointed CEO of Trifast plc (LON:TRI). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. After that, we will consider the growth in the business. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.
How Does Mark Belton’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Trifast plc has a market cap of UK£231m, and is paying total annual CEO compensation of UK£629k. (This figure is for the year to 2018). We think total compensation is more important but we note that the CEO salary is lower, at UK£300k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of UK£79m to UK£316m. The median total CEO compensation was UK£546k.
So Mark Belton receives a similar amount to the median CEO pay, amongst the companies we looked at. This doesn’t tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
You can see a visual representation of the CEO compensation at Trifast, below.
Is Trifast plc Growing?
On average over the last three years, Trifast plc has grown earnings per share (EPS) by 12% each year. It achieved revenue growth of 5.3% over the last year.
This demonstrates that the company has been improving recently. A good result. It’s nice to see a little revenue growth, as this is consistent with healthy business conditions.
You might want to check this free visual report on analyst forecasts for future earnings.
Has Trifast plc Been A Good Investment?
Most shareholders would probably be pleased with Trifast plc for providing a total return of 63% over three years. So they may not be at all concerned if the CEO is paid more than is normal for companies around the same size.
Mark Belton is paid around what is normal the leaders of comparable size companies.
Shareholders would surely be happy to see that shareholder returns have been great, and the earnings per share are up. So one could argue the CEO compensation is quite modest, if you consider company performance! Whatever your view on compensation, you might want to check if insiders are buying or selling Trifast shares (free trial).
Or you might rather take a peek at this analytical visualization of historic cash flow, earnings and revenue.
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 email@example.com.