The CEO of Shreyas Shipping and Logistics Limited (NSE:SHREYAS) is Vivek Singh. First, this article will compare CEO compensation with compensation at similar sized companies. Then we'll look at a snap shot of the business growth. 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 Shreyas Shipping and Logistics
How Does Vivek Singh's Compensation Compare With Similar Sized Companies?
Our data indicates that Shreyas Shipping and Logistics Limited is worth ₹1.9b, and total annual CEO compensation was reported as ₹11m for the year to March 2019. Notably, that's an increase of 48% over the year before. Notably, the salary of ₹10m is the vast majority of the CEO compensation. We examined a group of similar sized companies, with market capitalizations of below ₹14b. The median CEO total compensation in that group is ₹2.4m.
It would therefore appear that Shreyas Shipping and Logistics Limited pays Vivek Singh 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. We can better assess whether the pay is overly generous by looking into the underlying business performance.
The graphic below shows how CEO compensation at Shreyas Shipping and Logistics has changed from year to year.
Is Shreyas Shipping and Logistics Limited Growing?
On average over the last three years, Shreyas Shipping and Logistics Limited has shrunk earnings per share by 9.6% each year (measured with a line of best fit). Its revenue is up 9.8% over last year.
Few shareholders would be pleased to read that earnings per share are lower over three years. The fairly low revenue growth fails to impress given that the earnings per share is down. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. Although we don't have analyst forecasts shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Shreyas Shipping and Logistics Limited Been A Good Investment?
Since shareholders would have lost about 72% over three years, some Shreyas Shipping and Logistics Limited shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
We examined the amount Shreyas Shipping and Logistics Limited pays its CEO, and compared it to the amount paid by similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.