Is Antipa Minerals Limited’s (ASX:AZY) CEO Overpaid Relative To Its Peers?

In 2011 Roger Mason was appointed CEO of Antipa Minerals Limited (ASX:AZY). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we’ll consider growth that the business demonstrates. Third, we’ll reflect on the total return to shareholders over three years, as a second measure of business performance. This method should give us information to assess how appropriately the company pays the CEO.

See our latest analysis for Antipa Minerals

How Does Roger Mason’s Compensation Compare With Similar Sized Companies?

According to our data, Antipa Minerals Limited has a market capitalization of AU$52m, and pays its CEO total annual compensation worth AU$395k. (This is based on the year to 2018). That’s actually a decrease on the year before. We think total compensation is more important but we note that the CEO salary is lower, at AU$300k. We took a group of companies with market capitalizations below AU$275m, and calculated the median CEO compensation to be AU$362k.

That means Roger Mason receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn’t tell us a great deal, it becomes more relevant when considered against the business performance. Take a look at Antipa Minerals’s growth trajectory by checking out this more detailed historical graph of earnings, revenue and cash flow.

You can see, below, how CEO compensation at Antipa Minerals has changed over time.

ASX:AZY CEO Compensation December 6th 18
ASX:AZY CEO Compensation December 6th 18

Is Antipa Minerals Limited Growing?

Over the last three years Antipa Minerals Limited has grown its earnings per share (EPS) by an average of 23% per year. In the last year, its revenue is down -80%.

This shows that the company has improved itself over the last few years. Good news for shareholders. The lack of revenue growth isn’t ideal, but it is the bottom line that counts most in business.

Has Antipa Minerals Limited Been A Good Investment?

Boasting a total shareholder return of 164% over three years, Antipa Minerals Limited has done well by shareholders. So they may not be at all concerned if the CEO is paid more than is normal for companies around the same size.

In Summary…

Remuneration for Roger Mason is close enough to the median pay for a CEO of a similar sized company .

Shareholders would surely be happy to see that shareholder returns have been great, and the earnings per share are up. Indeed, many might consider the pay rather modest, given the solid company performance! Whatever your view on compensation, you might want to check if insiders are buying or selling Antipa Minerals shares (free trial).

If you want to buy a stock that is better than Antipa Minerals, this free list of high return, low debt companies is a great place to look.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.