In This Article:
Rameshkumar Poddar is the CEO of Siyaram Silk Mills Limited (NSE:SIYSIL). First, this article will compare CEO compensation with compensation at similar sized companies. 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. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for Siyaram Silk Mills
How Does Rameshkumar Poddar's Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Siyaram Silk Mills Limited has a market cap of ₹12b, and is paying total annual CEO compensation of ₹50m. (This figure is for the year to March 2019). That's below the compensation, last year. We think total compensation is more important but we note that the CEO salary is lower, at ₹23m. When we examined a selection of companies with market caps ranging from ₹6.9b to ₹28b, we found the median CEO total compensation was ₹19m.
As you can see, Rameshkumar Poddar is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Siyaram Silk Mills Limited is paying too much. 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 Siyaram Silk Mills has changed over time.
Is Siyaram Silk Mills Limited Growing?
Siyaram Silk Mills Limited has increased its earnings per share (EPS) by an average of 9.9% a year, over the last three years (using a line of best fit). It achieved revenue growth of 4.9% over the last year.
I'm not particularly impressed by the revenue growth, but I'm happy with the modest EPS growth. So there are some positives here, but not enough to earn high praise. You might want to check this free visual report on analyst forecasts for future earnings.
Has Siyaram Silk Mills Limited Been A Good Investment?
With a total shareholder return of 25% over three years, Siyaram Silk Mills Limited shareholders would, in general, be reasonably content. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.
In Summary...
We compared the total CEO remuneration paid by Siyaram Silk Mills 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.
We generally prefer to see stronger EPS growth, and we're not particularly impressed with the total shareholder return, over the last three years. Considering this, we wouldn't want to see any big pay rises, although we'd stop short of calling the CEO compensation unfair. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Siyaram Silk Mills.