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Samuel Tsang is the CEO of Century Legend (Holdings) Limited (HKG:79). 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 process should give us an idea about how appropriately the CEO is paid.
View our latest analysis for Century Legend (Holdings)
How Does Samuel Tsang's Compensation Compare With Similar Sized Companies?
Our data indicates that Century Legend (Holdings) Limited is worth HK$95m, and total annual CEO compensation is HK$6.6m. (This figure is for the year to December 2018). That's a notable increase of 24% on last year. We think total compensation is more important but we note that the CEO salary is lower, at HK$3.2m. We examined a group of similar sized companies, with market capitalizations of below HK$1.6b. The median CEO total compensation in that group is HK$1.7m.
It would therefore appear that Century Legend (Holdings) Limited pays Samuel Tsang more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn't mean the remuneration is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.
The graphic below shows how CEO compensation at Century Legend (Holdings) has changed from year to year.
Is Century Legend (Holdings) Limited Growing?
Over the last three years Century Legend (Holdings) Limited has grown its earnings per share (EPS) by an average of 66% per year (using a line of best fit). In the last year, its revenue is down -5.7%.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. While it would be good to see revenue growth, profits matter more in the end. Although we don't have analyst forecasts, you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Century Legend (Holdings) Limited Been A Good Investment?
Given the total loss of 63% over three years, many shareholders in Century Legend (Holdings) Limited are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
We compared the total CEO remuneration paid by Century Legend (Holdings) Limited, 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.