Is HRL Holdings Limited’s (ASX:HRL) CEO Paid At A Competitive Rate?

Steven Dabelstein has been the CEO of HRL Holdings Limited (ASX:HRL) since 2015. 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. This process should give us an idea about how appropriately the CEO is paid.

Check out our latest analysis for HRL Holdings

How Does Steven Dabelstein’s Compensation Compare With Similar Sized Companies?

Our data indicates that HRL Holdings Limited is worth AU$48m, and total annual CEO compensation is AU$282k. (This is based on the year to 2018). That’s less than last year. While we always look at total compensation first, we note that the salary component is less, at AU$237k. We looked at a group of companies with market capitalizations under AU$282m, and the median CEO compensation was AU$368k.

So Steven Dabelstein receives a similar amount to the median CEO pay, amongst 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 HRL Holdings, below.

ASX:HRL CEO Compensation December 25th 18
ASX:HRL CEO Compensation December 25th 18

Is HRL Holdings Limited Growing?

HRL Holdings Limited has increased its earnings per share (EPS) by an average of 107% a year, over the last three years In the last year, its revenue is up 100%.

This shows that the company has improved itself over the last few years. Good news for shareholders. The combination of strong revenue growth with medium-term earnings per share improvement certainly points to the kind of growth I like to see.

It could be important to check this free visual depiction of what analysts expect for the future.

Has HRL Holdings Limited Been A Good Investment?

Most shareholders would probably be pleased with HRL Holdings Limited for providing a total return of 41% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

In Summary…

Remuneration for Steven Dabelstein is close enough to the median pay for a CEO of a similar sized company .

The company is growing earnings per share and total shareholder returns have been pleasing. Although the pay is a normal amount, some shareholders probably consider it fair or modest, given the good performance of the stock. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at HRL Holdings.