Here's Why It's Unlikely That Bossard Holding AG's (VTX:BOSN) CEO Will See A Pay Rise This Year

Key Insights

• Bossard Holding to hold its Annual General Meeting on 11th of April
• CEO Daniel Bossard's total compensation includes salary of CHF518.8k
• The overall pay is comparable to the industry average
• Over the past three years, Bossard Holding's EPS fell by 9.2% and over the past three years, the total loss to shareholders 8.5%

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Shareholders will probably not be too impressed with the underwhelming results at Bossard Holding AG (VTX:BOSN) recently. Shareholders can take the chance to hold the board and management accountable for the unsatisfactory performance at the next AGM on 11th of April. This will be also be a chance where they can challenge the board on company direction and vote on resolutions such as executive remuneration. From our analysis, we think CEO compensation may need a review in light of the recent performance.

View our latest analysis for Bossard Holding

Comparing Bossard Holding AG's CEO Compensation With The Industry

Our data indicates that Bossard Holding AG has a market capitalization of CHF1.4b, and total annual CEO compensation was reported as CHF1.1m for the year to December 2024. This means that the compensation hasn't changed much from last year. We think total compensation is more important but our data shows that the CEO salary is lower, at CHF519k.

In comparison with other companies in the Switzerland Trade Distributors industry with market capitalizations ranging from CHF862m to CHF2.8b, the reported median CEO total compensation was CHF978k. So it looks like Bossard Holding compensates Daniel Bossard in line with the median for the industry. What's more, Daniel Bossard holds CHF1.6m worth of shares in the company in their own name.

Component	2024	2023	Proportion (2024)
Salary	CHF519k	CHF510k	49%
Other	CHF544k	CHF577k	51%
Total Compensation	CHF1.1m	CHF1.1m	100%

On an industry level, around 62% of total compensation represents salary and 38% is other remuneration. In Bossard Holding's case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

A Look at Bossard Holding AG's Growth Numbers

Bossard Holding AG has reduced its earnings per share by 9.2% a year over the last three years. In the last year, its revenue is down 7.7%.

Few shareholders would be pleased to read that EPS have declined. This is compounded by the fact revenue is actually down on last year. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.

Has Bossard Holding AG Been A Good Investment?

Given the total shareholder loss of 8.5% over three years, many shareholders in Bossard Holding AG are probably rather dissatisfied, to say the least. Therefore, it might be upsetting for shareholders if the CEO were paid generously.

In Summary...

Given that shareholders haven't seen any positive returns on their investment, not to mention the lack of earnings growth, this may suggest that few of them would be willing to award the CEO with a pay rise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.

While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. That's why we did some digging and identified 2 warning signs for Bossard Holding that investors should think about before committing capital to this stock.

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.