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Yihong Zhao is the CEO of Besunyen Holdings Company Limited (HKG:926). 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. The aim of all this is to consider the appropriateness of CEO pay levels.
Check out our latest analysis for Besunyen Holdings
How Does Yihong Zhao's Compensation Compare With Similar Sized Companies?
Our data indicates that Besunyen Holdings Company Limited is worth HK$566m, and total annual CEO compensation is CN¥3.4m. (This number is for the twelve months until December 2018). We note that's an increase of 16% above last year. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CN¥2.7m. We examined a group of similar sized companies, with market capitalizations of below CN¥1.4b. The median CEO total compensation in that group is CN¥1.5m.
As you can see, Yihong Zhao is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Besunyen Holdings Company Limited is paying too much. 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 Besunyen Holdings, below.
Is Besunyen Holdings Company Limited Growing?
On average over the last three years, Besunyen Holdings Company Limited has shrunk earnings per share by 91% each year (measured with a line of best fit). It saw its revenue drop -30% over the last year.
Unfortunately, earnings per share have trended lower over the last three years. And the fact that revenue is down year on year arguably paints an ugly picture. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. Although we don't have analyst forecasts, you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Besunyen Holdings Company Limited Been A Good Investment?
Given the total loss of 53% over three years, many shareholders in Besunyen Holdings Company Limited are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.