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Rajeshkumar Doraiswamy is the CEO of Salzer Electronics Limited (NSE:SALZER). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.

Check out our latest analysis for Salzer Electronics

How Does Rajeshkumar Doraiswamy's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Salzer Electronics Limited has a market cap of ₹1.9b, and is paying total annual CEO compensation of ₹6.3m. (This figure is for the year to March 2018). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at ₹3.8m. We examined a group of similar sized companies, with market capitalizations of below ₹14b. The median CEO total compensation in that group is ₹1.2m.

It would therefore appear that Salzer Electronics Limited pays Rajeshkumar Doraiswamy more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn't mean the remuneration is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.

You can see a visual representation of the CEO compensation at Salzer Electronics, below.

Is Salzer Electronics Limited Growing?

Salzer Electronics Limited has increased its earnings per share (EPS) by an average of 1.2% a year, over the last three years (using a line of best fit). It achieved revenue growth of 25% over the last year.

I would argue that the modest growth in revenue is a notable positive. And the modest growth in earnings per share isn't bad, either. So while we'd stop just short of calling this a top performer, but we think it is well worth watching. Although we don't have analyst forecasts, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Salzer Electronics Limited Been A Good Investment?

With a three year total loss of 36%, Salzer Electronics Limited would certainly have some dissatisfied shareholders. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

We compared the total CEO remuneration paid by Salzer Electronics Limited, and compared it to remuneration at a group of similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.