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Clement Mak became the CEO of CCT Fortis Holdings Limited (HKG:138) in 1994. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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 CCT Fortis Holdings
How Does Clement Mak's Compensation Compare With Similar Sized Companies?
At the time of writing our data says that CCT Fortis Holdings Limited has a market cap of HK$585m, and is paying total annual CEO compensation of HK$10m. (This figure is for the year to December 2018). That's actually a decrease on the year before. We think total compensation is more important but we note that the CEO salary is lower, at HK$9.0m. We examined a group of similar sized companies, with market capitalizations of below HK$1.6b. The median CEO total compensation in that group is HK$1.7m.
As you can see, Clement Mak is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean CCT Fortis Holdings 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.
The graphic below shows how CEO compensation at CCT Fortis Holdings has changed from year to year.
Is CCT Fortis Holdings Limited Growing?
On average over the last three years, CCT Fortis Holdings Limited has shrunk earnings per share by 57% each year (measured with a line of best fit). In the last year, its revenue is up 57%.
The reduction in earnings per share, over three years, is arguably concerning. But in contrast the revenue growth is strong, suggesting future potential for earnings growth. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has CCT Fortis Holdings Limited Been A Good Investment?
Given the total loss of 15% over three years, many shareholders in CCT Fortis Holdings Limited are probably rather dissatisfied, to say the least. So shareholders would probably think the company shouldn't be too generous with CEO compensation.