Why We Think Shareholders May Be Considering Bumping Up Technology One Limited's (ASX:TNE) CEO Compensation

Key Insights

• Technology One's Annual General Meeting to take place on 18th of February
• Total pay for CEO Ed Chung includes AU$839.9k salary
• Total compensation is 37% below industry average
• Over the past three years, Technology One's EPS grew by 15% and over the past three years, the total shareholder return was 65%

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The impressive results at Technology One Limited (ASX:TNE) recently will be great news for shareholders. At the upcoming AGM on 18th of February, they will get a chance to hear the board review the company results, discuss future strategy and cast their vote on any resolutions such as executive remuneration. Here we will show why we think CEO compensation is appropriate and discuss the case for a pay rise.

View our latest analysis for Technology One

Comparing Technology One Limited's CEO Compensation With The Industry

Our data indicates that Technology One Limited has a market capitalization of AU$7.5b, and total annual CEO compensation was reported as AU$4.5m for the year to September 2025. We note that's an increase of 24% above last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at AU$840k.

On comparing similar companies from the Australian Software industry with market caps ranging from AU$5.7b to AU$17b, we found that the median CEO total compensation was AU$7.1m. In other words, Technology One pays its CEO lower than the industry median. Furthermore, Ed Chung directly owns AU$16m worth of shares in the company, implying that they are deeply invested in the company's success.

Talking in terms of the industry, salary represented approximately 64% of total compensation out of all the companies we analyzed, while other remuneration made up 36% of the pie. In Technology One's case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

Technology One Limited's Growth

Technology One Limited's earnings per share (EPS) grew 15% per year over the last three years. It achieved revenue growth of 18% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's a real positive to see this sort of revenue growth in a single year. That suggests a healthy and growing business. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Technology One Limited Been A Good Investment?

Boasting a total shareholder return of 65% over three years, Technology One Limited has done well by shareholders. 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.

In Summary...

The company's solid performance might have made most shareholders happy, possibly making CEO remuneration the least of the matters to be discussed in the AGM. In fact, strategic decisions that could impact the future of the business might be a far more interesting topic for investors as it would help them set their longer-term expectations.

CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Technology One (free visualization of insider trades).

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.