Our Take On UMP Healthcare Holdings Limited’s (HKG:722) CEO Salary

In This Article:

In 2015 Yiu Kwong Sun was appointed CEO of UMP Healthcare Holdings Limited (HKG:722). First, this article will compare CEO compensation with compensation at similar sized companies. Next, we’ll consider growth that the business demonstrates. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. The aim of all this is to consider the appropriateness of CEO pay levels.

View our latest analysis for UMP Healthcare Holdings

How Does Yiu Kwong Sun’s Compensation Compare With Similar Sized Companies?

At the time of writing our data says that UMP Healthcare Holdings Limited has a market cap of HK$1.3b, and is paying total annual CEO compensation of HK$8.1m. (This number is for the twelve months until 2018). We note that’s an increase of 11% above last year. We think total compensation is more important but we note that the CEO salary is lower, at HK$7.4m. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of HK$783m to HK$3.1b. The median total CEO compensation was HK$2.1m.

Thus we can conclude that Yiu Kwong Sun receives more in total compensation than the median of a group of companies in the same market, and of similar size to UMP Healthcare Holdings Limited. However, this doesn’t necessarily mean the pay is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.

You can see, below, how CEO compensation at UMP Healthcare Holdings has changed over time.

SEHK:722 CEO Compensation December 23rd 18
SEHK:722 CEO Compensation December 23rd 18

Is UMP Healthcare Holdings Limited Growing?

Over the last three years UMP Healthcare Holdings Limited has grown its earnings per share (EPS) by an average of 12% per year. It achieved revenue growth of 14% over the last year.

This shows that the company has improved itself over the last few years. Good news for shareholders. It’s also good to see decent revenue growth in the last year, suggesting the business is healthy and growing.

Although we don’t have analyst forecasts, you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has UMP Healthcare Holdings Limited Been A Good Investment?

With a total shareholder return of 27% over three years, UMP Healthcare Holdings Limited shareholders would, in general, be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary…

We examined the amount UMP Healthcare Holdings Limited pays its CEO, and compared it to the amount paid by similar sized companies. Our data suggests that it pays above the median CEO pay within that group.