In This Article:
Adam Boyd is the CEO of Volt Power Group Limited (ASX:VPR). 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. The aim of all this is to consider the appropriateness of CEO pay levels.
See our latest analysis for Volt Power Group
How Does Adam Boyd's Compensation Compare With Similar Sized Companies?
At the time of writing, our data says that Volt Power Group Limited has a market cap of AU$9.0m, and reported total annual CEO compensation of AU$448k for the year to December 2018. We think total compensation is more important but we note that the CEO salary is lower, at AU$360k. We examined a group of similar sized companies, with market capitalizations of below AU$290m. The median CEO total compensation in that group is AU$380k.
So Adam Boyd is paid around the average of the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.
You can see a visual representation of the CEO compensation at Volt Power Group, below.
Is Volt Power Group Limited Growing?
On average over the last three years, Volt Power Group Limited has grown earnings per share (EPS) by 84% each year (using a line of best fit). In the last year, its revenue is up 26%.
This demonstrates that the company has been improving recently. A good result. The combination of strong revenue growth with medium-term earnings per share improvement certainly points to the kind of growth I like to see. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Volt Power Group Limited Been A Good Investment?
Since shareholders would have lost about 98% over three years, some Volt Power Group Limited shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
Adam Boyd is paid around what is normal the leaders of comparable size companies.
We'd say the company can boast of its EPS growth, but we cannot say the same about the lacklustre shareholder returns (over the last three years). We'd be surprised if shareholders want to see a pay rise for the CEO, but we'd stop short of calling their pay too generous. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Volt Power Group (free visualization of insider trades).