It's Unlikely That Route1 Inc.'s (CVE:ROI) CEO Will See A Huge Pay Rise This Year

Key Insights

• Route1 to hold its Annual General Meeting on 4th of December
• Salary of CA$474.4k is part of CEO Tony Busseri's total remuneration
• The overall pay is 81% above the industry average
• Over the past three years, Route1's EPS grew by 29% and over the past three years, the total shareholder return was 25%

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CEO Tony Busseri has done a decent job of delivering relatively good performance at Route1 Inc. (CVE:ROI) recently. As shareholders go into the upcoming AGM on 4th of December, CEO compensation will probably not be their focus, but rather the steps management will take to continue the growth momentum. However, some shareholders may still want to keep CEO compensation within reason.

See our latest analysis for Route1

How Does Total Compensation For Tony Busseri Compare With Other Companies In The Industry?

Our data indicates that Route1 Inc. has a market capitalization of CA$3.2m, and total annual CEO compensation was reported as CA$474k for the year to December 2024. That's a notable increase of 8.5% on last year. It is worth noting that the CEO compensation consists entirely of the salary, worth CA$474k.

For comparison, other companies in the Canadian Software industry with market capitalizations below CA$281m, reported a median total CEO compensation of CA$262k. Hence, we can conclude that Tony Busseri is remunerated higher than the industry median. Moreover, Tony Busseri also holds CA$100k worth of Route1 stock directly under their own name.

On an industry level, around 83% of total compensation represents salary and 17% is other remuneration. At the company level, Route1 pays Tony Busseri solely through a salary, preferring to go down a conventional route. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.

A Look at Route1 Inc.'s Growth Numbers

Route1 Inc. has seen its earnings per share (EPS) increase by 29% a year over the past three years. Its revenue is down 17% 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. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Route1 Inc. Been A Good Investment?

With a total shareholder return of 25% over three years, Route1 Inc. shareholders would, in general, be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.

In Summary...

Route1 pays CEO compensation exclusively through a salary, with non-salary compensation completely ignored. Seeing that the company has put up a decent performance, only a few shareholders, if any at all, might have questions about the CEO pay in the upcoming AGM. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are already being paid higher than the industry.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. That's why we did some digging and identified 4 warning signs for Route1 that investors should think about before committing capital to this stock.

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.