Key Insights
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Steinhoff International Holdings will host its Annual General Meeting on 22nd of March
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Salary of €1.34m is part of CEO Louis du Preez's total remuneration
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The total compensation is 1,959% higher than the average for the industry
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Steinhoff International Holdings' three-year loss to shareholders was 67% while its EPS grew by 16% over the past three years
In the past three years, the share price of Steinhoff International Holdings N.V. (JSE:SNH) has struggled to grow and now shareholders are sitting on a loss. What is concerning is that despite positive EPS growth, the share price has not tracked the trend in fundamentals. Shareholders may want to question the board on the future direction of the company at the upcoming AGM on 22nd of March. They could also influence management through voting on resolutions such as executive remuneration. Here's our take on why we think shareholders may want to be cautious of approving a raise for the CEO at the moment.
View our latest analysis for Steinhoff International Holdings
How Does Total Compensation For Louis du Preez Compare With Other Companies In The Industry?
Our data indicates that Steinhoff International Holdings N.V. has a market capitalization of R1.2b, and total annual CEO compensation was reported as €3.5m for the year to September 2022. That's a notable decrease of 8.4% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at €1.3m.
On comparing similar-sized companies in the South Africa Multiline Retail industry with market capitalizations below R3.7b, we found that the median total CEO compensation was €172k. Accordingly, our analysis reveals that Steinhoff International Holdings N.V. pays Louis du Preez north of the industry median.
| Component | 2022 | 2021 | Proportion (2022) |
| Salary | €1.3m | €1.3m | 38% |
| Other | €2.2m | €2.6m | 62% |
| Total Compensation | €3.5m | €3.9m | 100% |
Talking in terms of the industry, salary represented approximately 42% of total compensation out of all the companies we analyzed, while other remuneration made up 58% of the pie. It's interesting to note that Steinhoff International Holdings allocates a smaller portion of compensation to salary in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.
Steinhoff International Holdings N.V.'s Growth
Over the past three years, Steinhoff International Holdings N.V. has seen its earnings per share (EPS) grow by 16% per year. Its revenue is up 12% over the last year.