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The CEO of Wanguo International Mining Group Limited (HKG:3939) is Mingqing Gao. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.
Check out our latest analysis for Wanguo International Mining Group
How Does Mingqing Gao's Compensation Compare With Similar Sized Companies?
At the time of writing, our data says that Wanguo International Mining Group Limited has a market cap of HK$1.0b, and reported total annual CEO compensation of CN¥1.0m for the year to December 2018. It is worth noting that the CEO compensation consists almost entirely of the salary, worth CN¥1.0m. We looked at a group of companies with market capitalizations under CN¥1.4b, and the median CEO total compensation was CN¥1.6m.
A first glance this seems like a real positive for shareholders, since Mingqing Gao is paid less than the average total compensation paid by similar sized companies. While this is a good thing, you'll need to understand the business better before you can form an opinion.
You can see a visual representation of the CEO compensation at Wanguo International Mining Group, below.
Is Wanguo International Mining Group Limited Growing?
On average over the last three years, Wanguo International Mining Group Limited has grown earnings per share (EPS) by 31% each year (using a line of best fit). It saw its revenue drop 15% over the last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. The lack of revenue growth isn't ideal, but it is the bottom line that counts most in business. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Wanguo International Mining Group Limited Been A Good Investment?
Given the total loss of 29% over three years, many shareholders in Wanguo International Mining Group Limited are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
It appears that Wanguo International Mining Group Limited remunerates its CEO below most similar sized companies.
Considering the underlying business is growing earnings, this would suggest the pay is modest. Few would deny that the total shareholder return over the last three years could have been a lot better. So while we would not say that Mingqing Gao is generously paid, it would be good to see an improvement in business performance before too an increase in pay. In this case we may want to look deeper into the company. There are some real positives and we could see improved returns in the longer term. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Wanguo International Mining Group (free visualization of insider trades).