Wilhelm Hörmanseder is the CEO of Mayr-Melnhof Karton AG (VIE:MMK). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. After that, we will consider the growth in the business. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This process should give us an idea about how appropriately the CEO is paid.

View our latest analysis for Mayr-Melnhof Karton

How Does Wilhelm Hörmanseder's Compensation Compare With Similar Sized Companies?

At the time of writing, our data says that Mayr-Melnhof Karton AG has a market cap of €2.0b, and reported total annual CEO compensation of €4.1m for the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at €1.2m. Importantly, there may be performance hurdles relating to the non-salary component of the total compensation. We examined companies with market caps from €923m to €3.0b, and discovered that the median CEO total compensation of that group was €1.9m.

Pay mix tells us a lot about how a company functions versus the wider industry, and it's no different in the case of Mayr-Melnhof Karton. Speaking on an industry level, we can see that nearly 54% of total compensation represents salary, while the remainder of 46% is other remuneration. Mayr-Melnhof Karton sets aside a smaller share of compensation for salary, in comparison to the overall industry.

Thus we can conclude that Wilhelm Hörmanseder receives more in total compensation than the median of a group of companies in the same market, and of similar size to Mayr-Melnhof Karton AG. However, this doesn't necessarily mean the pay is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business. You can see a visual representation of the CEO compensation at Mayr-Melnhof Karton, below.

Is Mayr-Melnhof Karton AG Growing?

Over the last three years Mayr-Melnhof Karton AG has grown its earnings per share (EPS) by an average of 6.3% per year (using a line of best fit). In the last year, its revenue is up 6.3%.

I'm not particularly impressed by the revenue growth, but I'm happy with the modest EPS growth. So there are some positives here, but not enough to earn high praise. You might want to check this free visual report on analyst forecasts for future earnings.

Has Mayr-Melnhof Karton AG Been A Good Investment?

Since shareholders would have lost about 1.7% over three years, some Mayr-Melnhof Karton AG shareholders would surely be feeling negative emotions. So shareholders would probably think the company shouldn't be too generous with CEO compensation.