Most Shareholders Will Probably Agree With Dätwyler Holding AG's (VTX:DAE) CEO Compensation

Performance at Dätwyler Holding AG (VTX:DAE) has been reasonably good and CEO Dirk Lambrecht has done a decent job of steering the company in the right direction. This is something shareholders will keep in mind as they cast their votes on company resolutions such as executive remuneration in the upcoming AGM on 16 March 2022. Based on our analysis of the data below, we think CEO compensation seems reasonable for now.

Check out our latest analysis for Dätwyler Holding

Comparing Dätwyler Holding AG's CEO Compensation With the industry

Our data indicates that Dätwyler Holding AG has a market capitalization of CHF5.1b, and total annual CEO compensation was reported as CHF2.6m for the year to December 2021. That's a fairly small increase of 6.7% over the previous year. While we always look at total compensation first, our analysis shows that the salary component is less, at CHF655k.

For comparison, other companies in the same industry with market capitalizations ranging between CHF3.7b and CHF11b had a median total CEO compensation of CHF2.3m. From this we gather that Dirk Lambrecht is paid around the median for CEOs in the industry. What's more, Dirk Lambrecht holds CHF2.2m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Component	2021	2020	Proportion (2021)
Salary	CHF655k	CHF655k	25%
Other	CHF2.0m	CHF1.8m	75%
Total Compensation	CHF2.6m	CHF2.5m	100%

Talking in terms of the industry, salary represented approximately 40% of total compensation out of all the companies we analyzed, while other remuneration made up 60% of the pie. Dätwyler Holding pays a modest slice of remuneration through salary, as compared to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

Dätwyler Holding AG's Growth

Earnings per share at Dätwyler Holding AG are much the same as they were three years ago, albeit with slightly higher. Its revenue is up 15% over the last year.

We think the revenue growth is good. And, while modest, the EPS growth is noticeable. So while performance isn't amazing, we think it really does seem quite respectable. 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 Dätwyler Holding AG Been A Good Investment?

Boasting a total shareholder return of 123% over three years, Dätwyler 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...

Given that the company's overall performance has been reasonable, the CEO remuneration policy might not be shareholders' central point of focus in the upcoming AGM. Despite the pleasing results, we still think that any proposed increases to CEO compensation will be examined based on a case by case basis and linked to performance outcomes.

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 1 warning sign for Dätwyler Holding 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.