Shareholders Will Probably Hold Off On Increasing Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft's (VIE:SBO) CEO Compensation For The Time Being

Key Insights

• Schoeller-Bleckmann Oilfield Equipment to hold its Annual General Meeting on 24th of April
• Total pay for CEO Klaus Mader includes €701.0k salary
• The total compensation is 144% higher than the average for the industry
• Schoeller-Bleckmann Oilfield Equipment's three-year loss to shareholders was 34% while its EPS grew by 29% over the past three years

We've discovered 2 warning signs about Schoeller-Bleckmann Oilfield Equipment. View them for free.

The underwhelming share price performance of Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft (VIE:SBO) in the past three years would have disappointed many shareholders. Despite positive EPS growth in the past few years, the share price hasn't tracked the fundamental performance of the company. These are some of the concerns that shareholders may want to bring up at the next AGM held on 24th of April. They could also try to influence management and firm direction through voting on resolutions such as executive remuneration and other company matters. We discuss below why we think shareholders should be cautious of approving a raise for the CEO at the moment.

See our latest analysis for Schoeller-Bleckmann Oilfield Equipment

How Does Total Compensation For Klaus Mader Compare With Other Companies In The Industry?

At the time of writing, our data shows that Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft has a market capitalization of €478m, and reported total annual CEO compensation of €1.8m for the year to December 2024. We note that's an increase of 41% above last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at €701k.

On comparing similar companies from the Austria Energy Services industry with market caps ranging from €176m to €703m, we found that the median CEO total compensation was €718k. Hence, we can conclude that Klaus Mader is remunerated higher than the industry median.

Component	2024	2023	Proportion (2024)
Salary	€701k	€519k	40%
Other	€1.1m	€721k	60%
Total Compensation	€1.8m	€1.2m	100%

Talking in terms of the industry, salary represented approximately 65% of total compensation out of all the companies we analyzed, while other remuneration made up 35% of the pie. Schoeller-Bleckmann Oilfield Equipment sets aside a smaller share of compensation for salary, in comparison to the overall industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft's Growth

Over the past three years, Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft has seen its earnings per share (EPS) grow by 29% per year. Its revenue is down 4.3% over the previous year.

Shareholders would be glad to know that the company has improved itself over the last few years. While it would be good to see revenue growth, profits matter more in the end. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft Been A Good Investment?

With a total shareholder return of -34% over three years, Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft shareholders would by and large be disappointed. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Despite the growth in its earnings, the share price decline in the past three years is certainly concerning. The fact that the stock price hasn't grown along with earnings may indicate that other issues may be affecting that stock. Shareholders would be keen to know what's holding the stock back when earnings have grown. These concerns should be addressed at the upcoming AGM, where shareholders can question the board and evaluate if their judgement and decision making is still in line with their expectations.

CEO compensation is a crucial aspect to keep your eyes on but investors also need to keep their eyes open for other issues related to business performance. We've identified 2 warning signs for Schoeller-Bleckmann Oilfield Equipment that investors should be aware of in a dynamic business environment.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

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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.