Duncan Au has been the CEO of CWC Energy Services Corp. (CVE:CWC) since 2011. 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.
How Does Duncan Au’s Compensation Compare With Similar Sized Companies?
Our data indicates that CWC Energy Services Corp. is worth CA$72m, and total annual CEO compensation is CA$653k. (This figure is for the year to 2017). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at CA$310k. We examined a group of similar sized companies, with market capitalizations of below CA$267m. The median CEO compensation in that group is CA$157k.
As you can see, Duncan Au is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean CWC Energy Services Corp. is paying too much. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.
You can see, below, how CEO compensation at CWC Energy Services has changed over time.
Is CWC Energy Services Corp. Growing?
Over the last three years CWC Energy Services Corp. has grown its earnings per share (EPS) by an average of 111% per year (using a line of best fit). It achieved revenue growth of 53% over the last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It’s great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly.
You might want to check this free visual report on analyst forecasts for future earnings.
Has CWC Energy Services Corp. Been A Good Investment?
With a total shareholder return of 17% over three years, CWC Energy Services Corp. shareholders would, in general, be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
We compared the total CEO remuneration paid by CWC Energy Services Corp., 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.
Importantly, though, the company has impressed with its earnings per share growth, over three years. We also think investors are doing ok, over the same time period. While it may be worth researching further, we don’t see a problem with the CEO pay, given the good EPS growth. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at CWC Energy Services.
Or you might prefer this data-rich interactive visualization of historic revenue and earnings.
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.