In This Article:
Jan Kjerpeseth became the CEO of Sparebanken Vest (OB:SVEG) in 2013. 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 process should give us an idea about how appropriately the CEO is paid.
Check out our latest analysis for Sparebanken Vest
How Does Jan Kjerpeseth's Compensation Compare With Similar Sized Companies?
Our data indicates that Sparebanken Vest is worth kr3.3b, and total annual CEO compensation was reported as kr6.5m for the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at kr4.2m. We looked at a group of companies with market capitalizations from kr1.8b to kr7.2b, and the median CEO total compensation was kr4.1m.
It would therefore appear that Sparebanken Vest pays Jan Kjerpeseth more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn't mean the remuneration 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, below, how CEO compensation at Sparebanken Vest has changed over time.
Is Sparebanken Vest Growing?
On average over the last three years, Sparebanken Vest has grown earnings per share (EPS) by 1.1% each year (using a line of best fit). In the last year, its revenue is up 11%.
This revenue growth could really point to a brighter future. And the modest growth in earnings per share isn't bad, either. So while we'd stop just short of calling this a top performer, but we think it is well worth watching. You might want to check this free visual report on analyst forecasts for future earnings.
Has Sparebanken Vest Been A Good Investment?
Boasting a total shareholder return of 71% over three years, Sparebanken Vest has done well by shareholders. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
In Summary...
We compared total CEO remuneration at Sparebanken Vest with the amount paid at companies with a similar market capitalization. We found that it pays well over the median amount paid in the benchmark group.
Over the last three years returns to investors have been great, though we might have liked stronger business growth. Considering this fine result for investors, we daresay the CEO compensation might be apt. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Sparebanken Vest.