How Much Did Roularta Media Group's (EBR:ROU) CEO Pocket Last Year?

Xavier Bouckaert became the CEO of Roularta Media Group NV (EBR:ROU) in 2016, and we think it's a good time to look at the executive's compensation against the backdrop of overall company performance. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Roularta Media Group.

Check out our latest analysis for Roularta Media Group

Comparing Roularta Media Group NV's CEO Compensation With the industry

At the time of writing, our data shows that Roularta Media Group NV has a market capitalization of €160m, and reported total annual CEO compensation of €100k for the year to December 2019. That's mostly flat as compared to the prior year's compensation. It is worth noting that the CEO compensation consists entirely of the salary, worth €100k.

For comparison, other companies in the same industry with market capitalizations ranging between €84m and €338m had a median total CEO compensation of €861k. That is to say, Xavier Bouckaert is paid under the industry median.

Talking in terms of the industry, salary represented approximately 49% of total compensation out of all the companies we analyzed, while other remuneration made up 51% of the pie. Speaking on a company level, Roularta Media Group prefers to tread along a traditional path, disbursing all compensation through a salary. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

Roularta Media Group NV's Growth

Roularta Media Group NV has seen its earnings per share (EPS) increase by 69% a year over the past three years. Its revenue is down 10% over the previous year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's always a tough situation when revenues are not growing, but ultimately profits are more important. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Roularta Media Group NV Been A Good Investment?

Since shareholders would have lost about 6.9% over three years, some Roularta Media Group NV investors would surely be feeling negative emotions. So shareholders would probably want the company to be lessto generous with CEO compensation.

To Conclude...

Roularta Media Group pays CEO compensation exclusively through a salary, with non-salary compensation completely ignored. As previously discussed, Xavier is compensated less than what is normal for CEOs of companies of similar size, and which belong to the same industry. However we must not forget that the EPS growth has been very strong over three years. Considering EPS are on the up, we would say Xavier is compensated fairly. But we believe shareholders would want to see healthier returns before the CEO gets a raise.

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 identified 2 warning signs for Roularta Media Group (1 is concerning!) that you should be aware of before investing here.

Important note: Roularta Media Group is an exciting stock, but we understand investors may be looking for an unencumbered balance sheet and blockbuster returns. You might find something better in this list of interesting companies with high ROE and low debt.

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This article by Simply Wall St is general in nature. 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.
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