How Should Investors Feel About Venture Corporation Limited’s (SGX:V03) CEO Pay?

In This Article:

The CEO of Venture Corporation Limited (SGX:V03) is Ngit Wong. 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 method should give us information to assess how appropriately the company pays the CEO.

See our latest analysis for Venture

Want to participate in a research study? Help shape the future of investing tools and earn a $60 gift card!

How Does Ngit Wong’s Compensation Compare With Similar Sized Companies?

Our data indicates that Venture Corporation Limited is worth S$5.1b, and total annual CEO compensation is S$12m. (This number is for the twelve months until December 2017). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at S$1.3m. When we examined a selection of companies with market caps ranging from S$2.7b to S$8.6b, we found the median CEO total compensation was S$1.3m.

As you can see, Ngit Wong is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Venture Corporation Limited is paying too much. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.

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

SGX:V03 CEO Compensation, March 23rd 2019
SGX:V03 CEO Compensation, March 23rd 2019

Is Venture Corporation Limited Growing?

On average over the last three years, Venture Corporation Limited has grown earnings per share (EPS) by 37% each year (using a line of best fit). In the last year, its revenue is down -13%.

This shows that the company has improved itself over the last few years. Good news for shareholders. The lack of revenue growth isn’t ideal, but it is the bottom line that counts most in business. You might want to check this free visual report on analyst forecasts for future earnings.

Has Venture Corporation Limited Been A Good Investment?

I think that the total shareholder return of 149%, over three years, would leave most Venture Corporation Limited shareholders smiling. This strong performance might mean some shareholders don’t mind if the CEO were to be paid more than is normal for a company of its size.

In Summary…

We examined the amount Venture Corporation Limited pays its CEO, and compared it to the amount paid by similar sized companies. Our data suggests that it pays above the median CEO pay within that group.