In This Article:
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Manish Surana is the CEO of Surana Solar Limited (NSE:SURANASOL). First, this article will compare CEO compensation with compensation at similar sized companies. 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.
View our latest analysis for Surana Solar
How Does Manish Surana's Compensation Compare With Similar Sized Companies?
Our data indicates that Surana Solar Limited is worth ₹349m, and total annual CEO compensation is ₹6.3m. (This is based on the year to March 2018). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at ₹4.2m. We examined a group of similar sized companies, with market capitalizations of below ₹14b. The median CEO total compensation in that group is ₹1.3m.
Thus we can conclude that Manish Surana receives more in total compensation than the median of a group of companies in the same market, and of similar size to Surana Solar Limited. However, this doesn't necessarily mean the pay is too high. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.
You can see, below, how CEO compensation at Surana Solar has changed over time.
Is Surana Solar Limited Growing?
Over the last three years Surana Solar Limited has shrunk its earnings per share by an average of 32% per year (measured with a line of best fit). In the last year, its revenue is down -11%.
Few shareholders would be pleased to read that earnings per share are lower over three years. And the fact that revenue is down year on year arguably paints an ugly picture. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. We don't have analyst forecasts, but you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Surana Solar Limited Been A Good Investment?
With a three year total loss of 67%, Surana Solar Limited would certainly have some dissatisfied shareholders. This suggests it would be unwise for the company to pay the CEO too generously.
In Summary...
We compared the total CEO remuneration paid by Surana Solar 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.