In This Article:
In 2004 William Ma was appointed CEO of Kerry Logistics Network Limited (HKG:636). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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. The aim of all this is to consider the appropriateness of CEO pay levels.
Check out our latest analysis for Kerry Logistics Network
How Does William Ma’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Kerry Logistics Network Limited has a market cap of HK$19b, and is paying total annual CEO compensation of HK$23m. (This figure is for the year to 2017). We think total compensation is more important but we note that the CEO salary is lower, at HK$5.5m. When we examined a selection of companies with market caps ranging from HK$16b to HK$50b, we found the median CEO compensation was HK$3.9m.
Thus we can conclude that William Ma receives more in total compensation than the median of a group of companies in the same market, and of similar size to Kerry Logistics Network Limited. However, this doesn’t necessarily mean the pay is too high. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.
You can see a visual representation of the CEO compensation at Kerry Logistics Network, below.
Is Kerry Logistics Network Limited Growing?
Kerry Logistics Network Limited has increased its earnings per share (EPS) by an average of 8.7% a year, over the last three years Its revenue is up 27% over last year.
It’s hard to interpret the strong revenue growth as anything other than a positive. Combined with modest EPS growth, we get a good impression of the company. So while I’d stop short of saying growth is absolutely outstanding, there are definitely some clear positives!
You might want to check this free visual report on analyst forecasts for future earnings.
Has Kerry Logistics Network Limited Been A Good Investment?
Kerry Logistics Network Limited has not done too badly by shareholders, with a total return of 7.4%, over three years. But they probably wouldn’t be so happy as to think the CEO should be paid more than is normal, for companies around this size.
In Summary…
We compared the total CEO remuneration paid by Kerry Logistics Network Limited, and compared it to remuneration at a group of similar sized companies. Our data suggests that it pays above the median CEO pay within that group.