We Think Shareholders Will Probably Be Generous With Bossard Holding AG's (VTX:BOSN) CEO Compensation

Key Insights

• Bossard Holding will host its Annual General Meeting on 17th of April
• CEO Daniel Bossard's total compensation includes salary of CHF485.5k
• The overall pay is comparable to the industry average
• Over the past three years, Bossard Holding's EPS grew by 11% and over the past three years, the total shareholder return was 100%

It would be hard to discount the role that CEO Daniel Bossard has played in delivering the impressive results at Bossard Holding AG (VTX:BOSN) recently. Coming up to the next AGM on 17th of April, shareholders would be keeping this in mind. This would also be a chance for them to hear the board review the financial results, discuss future company strategy and vote on any resolutions such as executive remuneration. We think the CEO has done a pretty decent job and we discuss why the CEO compensation is appropriate.

View our latest analysis for Bossard Holding

Comparing Bossard Holding AG's CEO Compensation With The Industry

According to our data, Bossard Holding AG has a market capitalization of CHF1.7b, and paid its CEO total annual compensation worth CHF1.1m over the year to December 2022. That's a notable increase of 8.3% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at CHF485k.

In comparison with other companies in the Switzerland Trade Distributors industry with market capitalizations ranging from CHF905m to CHF2.9b, the reported median CEO total compensation was CHF1.1m. This suggests that Bossard Holding remunerates its CEO largely in line with the industry average. Furthermore, Daniel Bossard directly owns CHF1.6m worth of shares in the company, implying that they are deeply invested in the company's success.

Component	2022	2021	Proportion (2022)
Salary	CHF485k	CHF452k	44%
Other	CHF629k	CHF577k	56%
Total Compensation	CHF1.1m	CHF1.0m	100%

On an industry level, around 53% of total compensation represents salary and 47% is other remuneration. Bossard Holding sets aside a smaller share of compensation for salary, in comparison to the overall industry. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.

A Look at Bossard Holding AG's Growth Numbers

Bossard Holding AG has seen its earnings per share (EPS) increase by 11% a year over the past three years. In the last year, its revenue is up 16%.

This demonstrates that the company has been improving recently and is good news for the shareholders. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.

Has Bossard Holding AG Been A Good Investment?

Boasting a total shareholder return of 100% over three years, Bossard Holding AG has done well by shareholders. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

To Conclude...

Seeing that the company has put in a relatively good performance, the CEO remuneration policy may not be the focus at the AGM. However, investors will get the chance to engage on key strategic initiatives and future growth opportunities for the company and set their longer-term expectations.

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. In our study, we found 3 warning signs for Bossard Holding you should be aware of, and 2 of them are potentially serious.

Switching gears from Bossard Holding, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.

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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.