In This Article:
Vern Wills is the CEO of Site Group International Limited (ASX:SIT). First, this article will compare CEO compensation with compensation at similar sized companies. Then we'll look at a snap shot of the business growth. 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.
Check out our latest analysis for Site Group International
How Does Vern Wills's Compensation Compare With Similar Sized Companies?
At the time of writing, our data says that Site Group International Limited has a market cap of AU$50m, and reported total annual CEO compensation of AU$444k for the year to June 2019. We think total compensation is more important but we note that the CEO salary is lower, at AU$400k. We examined a group of similar sized companies, with market capitalizations of below AU$301m. The median CEO total compensation in that group is AU$379k.
So Vern Wills receives a similar amount to the median CEO pay, amongst the companies we looked at. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.
The graphic below shows how CEO compensation at Site Group International has changed from year to year.
Is Site Group International Limited Growing?
Site Group International Limited has increased its earnings per share (EPS) by an average of 14% a year, over the last three years (using a line of best fit). In the last year, its revenue is up 2.0%.
This demonstrates that the company has been improving recently. A good result. 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 shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Site Group International Limited Been A Good Investment?
With a three year total loss of 36%, Site Group International Limited would certainly have some dissatisfied shareholders. So shareholders would probably think the company shouldn't be too generous with CEO compensation.
In Summary...
Vern Wills is paid around the same as most CEOs of similar size companies.
We think that the EPS growth is very pleasing, but we find the returns over the last three years to be lacking. 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. Shareholders may want to check for free if Site Group International insiders are buying or selling shares.