Is Burkhalter Holding AG's (VTX:BRKN) CEO Paid At A Competitive Rate?

Marco Syfrig has been the CEO of Burkhalter Holding AG (VTX:BRKN) since 2008. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we'll consider growth that the business demonstrates. 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.

See our latest analysis for Burkhalter Holding

How Does Marco Syfrig's Compensation Compare With Similar Sized Companies?

Our data indicates that Burkhalter Holding AG is worth CHF463m, and total annual CEO compensation is CHF782k. (This figure is for the year to December 2018). While we always look at total compensation first, we note that the salary component is less, at CHF444k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of CHF198m to CHF791m. The median total CEO compensation was CHF892k.

That means Marco Syfrig receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

You can see, below, how CEO compensation at Burkhalter Holding has changed over time.

SWX:BRKN CEO Compensation, September 16th 2019
SWX:BRKN CEO Compensation, September 16th 2019

Is Burkhalter Holding AG Growing?

Burkhalter Holding AG has reduced its earnings per share by an average of 19% a year, over the last three years (measured with a line of best fit). The trailing twelve months of revenue was pretty much the same as the prior period.

Sadly for shareholders, earnings per share are actually down, over three years. And the flat revenue hardly impresses. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. You might want to check this free visual report on analyst forecasts for future earnings.

Has Burkhalter Holding AG Been A Good Investment?

Since shareholders would have lost about 33% over three years, some Burkhalter Holding AG shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.

In Summary...

Marco Syfrig is paid around the same as most CEOs of similar size companies.

The company isn't growing EPS, and shareholder returns have been disappointing. Most would consider it prudent for the company to hold off any CEO pay rise until performance improves. Whatever your view on compensation, you might want to check if insiders are buying or selling Burkhalter Holding shares (free trial).