The CEO of Duketon Mining Limited (ASX:DKM) is Stuart Fogarty, and this article examines the executive's compensation against the backdrop of overall company performance. This analysis will also evaluate the appropriateness of CEO compensation when taking into account the earnings and shareholder returns of the company.

See our latest analysis for Duketon Mining

How Does Total Compensation For Stuart Fogarty Compare With Other Companies In The Industry?

Our data indicates that Duketon Mining Limited has a market capitalization of AU$27m, and total annual CEO compensation was reported as AU$349k for the year to June 2020. Notably, that's a decrease of 10% over the year before. In particular, the salary of AU$245.2k, makes up a huge portion of the total compensation being paid to the CEO.

For comparison, other companies in the industry with market capitalizations below AU$279m, reported a median total CEO compensation of AU$303k. This suggests that Duketon Mining remunerates its CEO largely in line with the industry average. Furthermore, Stuart Fogarty directly owns AU$124k worth of shares in the company.

On an industry level, around 68% of total compensation represents salary and 32% is other remuneration. There isn't a significant difference between Duketon Mining and the broader market, in terms of salary allocation in the overall compensation package. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

Duketon Mining Limited's Growth

Duketon Mining Limited's earnings per share (EPS) grew 112% per year over the last three years. It achieved revenue growth of 127% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Duketon Mining Limited Been A Good Investment?

We think that the total shareholder return of 73%, over three years, would leave most Duketon Mining 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.