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The CEO of Bank of Tianjin Co., Ltd. (HKG:1578) is Liguo Sun. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we'll consider growth that the business demonstrates. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for Bank of Tianjin

How Does Liguo Sun's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Bank of Tianjin Co., Ltd. has a market cap of HK$29b, and is paying total annual CEO compensation of CN¥525k. (This is based on the year to December 2017). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CN¥319k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of CN¥13b to CN¥43b. The median total CEO compensation was CN¥2.4m.

Most shareholders would consider it a positive that Liguo Sun takes less total compensation than the CEOs of most similar size companies, leaving more for shareholders. Though positive, it's important we delve into the performance of the actual business.

The graphic below shows how CEO compensation at Bank of Tianjin has changed from year to year.

Is Bank of Tianjin Co., Ltd. Growing?

Over the last three years Bank of Tianjin Co., Ltd. has shrunk its earnings per share by an average of 15% per year (measured with a line of best fit). In the last year, its revenue is up 7.2%.

Sadly for shareholders, earnings per share are actually down, over three years. The modest increase in revenue in the last year isn't enough to make me overlook the disappointing change in earnings per share. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Bank of Tianjin Co., Ltd. Been A Good Investment?

With a three year total loss of 28%, Bank of Tianjin Co., Ltd. would certainly have some dissatisfied shareholders. So shareholders would probably think the company shouldn't be too generous with CEO compensation.

In Summary...

Bank of Tianjin Co., Ltd. is currently paying its CEO below what is normal for companies of its size.