Is Shirble Department Store Holdings (China) Limited (HKG:312) Excessively Paying Its CEO?

In This Article:

Ti Wei Yang has been the CEO of Shirble Department Store Holdings (China) Limited (HKG:312) since 2013. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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.

View our latest analysis for Shirble Department Store Holdings (China)

How Does Ti Wei Yang's Compensation Compare With Similar Sized Companies?

At the time of writing, our data says that Shirble Department Store Holdings (China) Limited has a market cap of HK$3.3b, and reported total annual CEO compensation of CN¥2.7m for the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CN¥2.2m. When we examined a selection of companies with market caps ranging from CN¥1.4b to CN¥5.7b, we found the median CEO total compensation was CN¥2.1m.

That means Ti Wei Yang receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

The graphic below shows how CEO compensation at Shirble Department Store Holdings (China) has changed from year to year.

SEHK:312 CEO Compensation, September 25th 2019
SEHK:312 CEO Compensation, September 25th 2019

Is Shirble Department Store Holdings (China) Limited Growing?

On average over the last three years, Shirble Department Store Holdings (China) Limited has grown earnings per share (EPS) by 21% each year (using a line of best fit). In the last year, its revenue is down 34%.

This demonstrates that the company has been improving recently. A good result. While it would be good to see revenue growth, profits matter more in the end. Although we don't have analyst forecasts you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Shirble Department Store Holdings (China) Limited Been A Good Investment?

I think that the total shareholder return of 162%, over three years, would leave most Shirble Department Store Holdings (China) Limited shareholders smiling. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.

In Summary...

Remuneration for Ti Wei Yang is close enough to the median pay for a CEO of a similar sized company .

Shareholders would surely be happy to see that shareholder returns have been great, and the earnings per share are up. So one could argue the CEO compensation is quite modest, if you consider company performance! Shareholders may want to check for free if Shirble Department Store Holdings (China) insiders are buying or selling shares.