In 2014 Charles Høstlund was appointed CEO of Norway Royal Salmon AS (OB:NRS). 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. Third, we’ll reflect on the total return to shareholders over three years, as a second measure of business performance. This method should give us information to assess how appropriately the company pays the CEO.
Check out our latest analysis for Norway Royal Salmon
How Does Charles Høstlund’s Compensation Compare With Similar Sized Companies?
According to our data, Norway Royal Salmon AS has a market capitalization of øre8.3b, and pays its CEO total annual compensation worth øre20m. That’s a notable increase of 36% on last year. We examined companies with market caps from øre3.4b to øre14b, and discovered that the median CEO compensation of that group was øre5.6m.
Thus we can conclude that Charles Høstlund receives more in total compensation than the median of a group of companies in the same market, and of similar size to Norway Royal Salmon AS. 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 Norway Royal Salmon, below.
Is Norway Royal Salmon AS Growing?
Norway Royal Salmon AS has increased its earnings per share (EPS) by an average of 8.5% a year, over the last three years Its revenue is down -3.2% over last year.
I would prefer it if there was revenue growth, but I’m happy with the EPS growth. It’s hard to reach a conclusion about business performance right now. This may be one to watch.
You might want to check this free visual report on analyst forecasts for future earnings.
Has Norway Royal Salmon AS Been A Good Investment?
Most shareholders would probably be pleased with Norway Royal Salmon AS for providing a total return of 184% over three years. So they may not be at all concerned if the CEO is paid more than is normal for companies around the same size.
In Summary…
We compared the total CEO remuneration paid by Norway Royal Salmon AS, 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.
Over the last three years returns to investors have been great, though we might have liked stronger business growth. As a result of the juicy return to investors, the CEO remuneration may well be quite reasonable.