The CEO of Trigiant Group Limited (HKG:1300) is Wei Jiang. 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 method should give us information to assess how appropriately the company pays the CEO.
How Does Wei Jiang's Compensation Compare With Similar Sized Companies?
Our data indicates that Trigiant Group Limited is worth HK$2.6b, and total annual CEO compensation was reported as CN¥905k for the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at CN¥833k. We looked at a group of companies with market capitalizations from CN¥1.4b to CN¥5.6b, and the median CEO total compensation was CN¥2.3m.
This would give shareholders a good impression of the company, since most similar size companies have to pay more, leaving less for shareholders. Though positive, it's important we delve into the performance of the actual business.
The graphic below shows how CEO compensation at Trigiant Group has changed from year to year.
Is Trigiant Group Limited Growing?
Over the last three years Trigiant Group Limited has grown its earnings per share (EPS) by an average of 19% per year (using a line of best fit). Its revenue is up 14% over 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 Trigiant Group Limited Been A Good Investment?
Most shareholders would probably be pleased with Trigiant Group Limited for providing a total return of 42% over three years. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
It appears that Trigiant Group Limited remunerates its CEO below most similar sized companies.
Since the business is growing, many would argue this suggests the pay is modest. And given most shareholders are probably very happy with recent returns, you might even think that Wei Jiang deserves a raise! Most shareholders like to see a modestly paid CEO combined with strong performance by the company. The cherry on top would be if company insiders are buying shares with their own money. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Trigiant Group.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
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