In This Article:
The CEO of China Weaving Materials Holdings Limited (HKG:3778) is Yongxiang Zheng. 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 - 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 China Weaving Materials Holdings
How Does Yongxiang Zheng's Compensation Compare With Similar Sized Companies?
According to our data, China Weaving Materials Holdings Limited has a market capitalization of HK$520m, and paid its CEO total annual compensation worth CN¥3.1m over the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CN¥1.0m. We note that more than half of the total compensation is not the salary; and performance requirements may apply to this non-salary portion. We looked at a group of companies with market capitalizations under CN¥1.4b, and the median CEO total compensation was CN¥1.6m.
As you can see, Yongxiang Zheng is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean China Weaving Materials Holdings Limited 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.
The graphic below shows how CEO compensation at China Weaving Materials Holdings has changed from year to year.
Is China Weaving Materials Holdings Limited Growing?
Over the last three years China Weaving Materials Holdings Limited has grown its earnings per share (EPS) by an average of 58% per year (using a line of best fit). In the last year, its revenue is up 7.7%.
This shows that the company has improved itself over the last few years. Good news for shareholders. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Although we don't have analyst forecasts you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has China Weaving Materials Holdings Limited Been A Good Investment?
Given the total loss of 20% over three years, many shareholders in China Weaving Materials Holdings Limited are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.