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Koen Slippens became the CEO of Sligro Food Group N.V. (AMS:SLIGR) in 2008. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for Sligro Food Group
How Does Koen Slippens’s Compensation Compare With Similar Sized Companies?
According to our data, Sligro Food Group N.V. has a market capitalization of €1.5b, and pays its CEO total annual compensation worth €734k. (This is based on the year to 2018). That’s a modest increase of 2.9% on the prior year year. While we always look at total compensation first, we note that the salary component is less, at €485k. We examined companies with market caps from €887m to €2.8b, and discovered that the median CEO compensation of that group was €1.5m.
Most shareholders would consider it a positive that Koen Slippens takes less compensation than the CEOs of most similar size companies, leaving more for shareholders. However, before we heap on the praise, we should delve deeper to understand business performance.
The graphic below shows how CEO compensation at Sligro Food Group has changed from year to year.
Is Sligro Food Group N.V. Growing?
On average over the last three years, Sligro Food Group N.V. has shrunk earnings per share by 8.2% each year (measured with a line of best fit). It achieved revenue growth of 9.1% over the last year.
Sadly for shareholders, earnings per share are actually down, over three years. The modest increase in revenue in the last year isn’t enough to make me overlook the disappointing change in earnings per share. It’s hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Shareholders might be interested in this free visualization of analyst forecasts.
Has Sligro Food Group N.V. Been A Good Investment?
Sligro Food Group N.V. has served shareholders reasonably well, with a total return of 28% over three years. But they would probably prefer not to see CEO compensation far in excess of the median.
In Summary…
It looks like Sligro Food Group N.V. pays its CEO less than similar sized companies.
The compensation paid to Koen Slippens is lower than is usual at similar sized companies. But the company lacks earnings per share growth, and returns to shareholders are less than stellar. We would like to see EPS growth from the business, although we wouldn’t say the CEO pay is high. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Sligro Food Group.