Yahoo Finance We Think Shareholders Will Probably Be Generous With Burckhardt Compression Holding AG's (VTX:BCHN) CEO Compensation
Key Insights
Burckhardt Compression Holding's Annual General Meeting to take place on 7th of July
Salary of CHF438.0k is part of CEO Fabrice Billard's total remuneration
The total compensation is similar to the average for the industry
Over the past three years, Burckhardt Compression Holding's EPS grew by 27% and over the past three years, the total shareholder return was 64%
It would be hard to discount the role that CEO Fabrice Billard has played in delivering the impressive results at Burckhardt Compression Holding AG (VTX:BCHN) recently. Coming up to the next AGM on 7th of July, shareholders would be keeping this in mind. It is likely that the focus will be on company strategy going forward as shareholders hear from the board and cast their votes on resolutions such as executive remuneration and other matters. Here is our take on why we think CEO compensation is not extravagant.
Check out our latest analysis for Burckhardt Compression Holding
How Does Total Compensation For Fabrice Billard Compare With Other Companies In The Industry?
At the time of writing, our data shows that Burckhardt Compression Holding AG has a market capitalization of CHF2.0b, and reported total annual CEO compensation of CHF1.0m for the year to March 2024. We note that's an increase of 9.3% above last year. We think total compensation is more important but our data shows that the CEO salary is lower, at CHF438k.
On examining similar-sized companies in the Swiss Machinery industry with market capitalizations between CHF898m and CHF2.9b, we discovered that the median CEO total compensation of that group was CHF1.3m. This suggests that Burckhardt Compression Holding remunerates its CEO largely in line with the industry average. What's more, Fabrice Billard holds CHF1.1m worth of shares in the company in their own name.
Component | 2024 | 2023 | Proportion (2024) |
Salary | CHF438k | CHF400k | 42% |
Other | CHF607k | CHF556k | 58% |
Total Compensation | CHF1.0m | CHF956k | 100% |
On an industry level, roughly 42% of total compensation represents salary and 58% is other remuneration. Our data reveals that Burckhardt Compression Holding allocates salary more or less in line with the wider market. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.
Burckhardt Compression Holding AG's Growth
Over the past three years, Burckhardt Compression Holding AG has seen its earnings per share (EPS) grow by 27% per year. It achieved revenue growth of 18% over the last year.
This demonstrates that the company has been improving recently and is good news for the shareholders. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.
Has Burckhardt Compression Holding AG Been A Good Investment?
Most shareholders would probably be pleased with Burckhardt Compression Holding AG for providing a total return of 64% over three years. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
To Conclude...
Given the company's decent performance, the CEO remuneration policy might not be shareholders' central point of focus in the AGM. However, investors will get the chance to engage on key strategic initiatives and future growth opportunities for the company and set their longer-term expectations.
CEO compensation is an important area to keep your eyes on, but we've also need to pay attention to other attributes of the company. We did our research and identified 2 warning signs (and 1 which shouldn't be ignored) in Burckhardt Compression Holding we think you should know about.
Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
