In This Article:
Thomas Beregi became the CEO of Credit Corp Group Limited (ASX:CCP) in 2008. 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. 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 Credit Corp Group
How Does Thomas Beregi’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Credit Corp Group Limited has a market cap of AU$923m, and is paying total annual CEO compensation of AU$2m. That’s less than last year. We examined companies with market caps from AU$556m to AU$2.2b, and discovered that the median CEO compensation of that group was AU$2m.
It would therefore appear that Credit Corp Group Limited pays Thomas Beregi 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.
You can see, below, how CEO compensation at Credit Corp Group has changed over time.
Is Credit Corp Group Limited Growing?
Over the last three years Credit Corp Group Limited has grown its earnings per share (EPS) by an average of 17% per year. It achieved revenue growth of 12% over the last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It’s also good to see decent revenue growth in the last year, suggesting the business is healthy and growing.
You might want to check this free visual report on analyst forecasts for future earnings.
Has Credit Corp Group Limited Been A Good Investment?
Most shareholders would probably be pleased with Credit Corp Group Limited for providing a total return of 147% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
In Summary…
We compared the total CEO remuneration paid by Credit Corp Group Limited, and compared it to remuneration at a group of similar sized companies. We found that it pays well over the median amount paid in the benchmark group.
Importantly, though, the company has impressed with its earnings per share growth, over three years. On top of that, in the same period, returns to shareholders have been great. As a result of this good performance, the CEO remuneration may well be quite reasonable. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Credit Corp Group Limited (free visualization of insider trades).