In This Article:
In 2010 Harvinder Singh was appointed CEO of Satin Creditcare Network Limited (NSE:SATIN). 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. The aim of all this is to consider the appropriateness of CEO pay levels.
See our latest analysis for Satin Creditcare Network
How Does Harvinder Singh’s Compensation Compare With Similar Sized Companies?
Our data indicates that Satin Creditcare Network Limited is worth ₹9.7b, and total annual CEO compensation is ₹16m. That’s actually a decrease on the year before. We looked at a group of companies with market capitalizations under ₹14b, and the median CEO compensation was ₹1.5m.
It would therefore appear that Satin Creditcare Network Limited pays Harvinder Singh 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 better assess whether the pay is overly generous by looking into the underlying business performance.
You can see, below, how CEO compensation at Satin Creditcare Network has changed over time.
Is Satin Creditcare Network Limited Growing?
On average over the last three years, Satin Creditcare Network Limited has shrunk earnings per share by 41% each year. In the last year, its revenue is up 199%.
Investors should note that, over three years, earnings per share are down. On the other hand, the strong revenue growth suggests the business is growing. These two metric are moving in different directions, so while it’s hard to be confident judging performance, we think the stock is worth watching.
It could be important to check this free visual depiction of what analysts expect for the future.
Has Satin Creditcare Network Limited Been A Good Investment?
With a three year total loss of 40%, Satin Creditcare Network Limited would certainly have some dissatisfied shareholders. So shareholders would probably think the company shouldn’t be too generous with CEO compensation.
In Summary…
We compared total CEO remuneration at Satin Creditcare Network Limited with the amount paid at companies with a similar market capitalization. We found that it pays well over the median amount paid in the benchmark group.
The growth in the business has been uninspiring, but the shareholder returns have arguably been worse, over the last three years. Considering this, we have the opinion that the CEO pay is more on the generous side, than the modest side.