Stock Analysis

Bijou Brigitte modische Accessoires Aktiengesellschaft's (ETR:BIJ) CEO Compensation Is Looking A Bit Stretched At The Moment

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XTRA:BIJ

Key Insights

  • Bijou Brigitte modische Accessoires to hold its Annual General Meeting on 27th of June
  • Total pay for CEO Roland Werner includes €550.0k salary
  • The overall pay is 450% above the industry average
  • Over the past three years, Bijou Brigitte modische Accessoires' EPS grew by 76% and over the past three years, the total shareholder return was 82%

Under the guidance of CEO Roland Werner, Bijou Brigitte modische Accessoires Aktiengesellschaft (ETR:BIJ) has performed reasonably well recently. As shareholders go into the upcoming AGM on 27th of June, 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.

View our latest analysis for Bijou Brigitte modische Accessoires

How Does Total Compensation For Roland Werner Compare With Other Companies In The Industry?

Our data indicates that Bijou Brigitte modische Accessoires Aktiengesellschaft has a market capitalization of €317m, and total annual CEO compensation was reported as €920k for the year to December 2023. We note that's a decrease of 9.6% compared to last year. We note that the salary of €550.0k makes up a sizeable portion of the total compensation received by the CEO.

In comparison with other companies in the Germany Luxury industry with market capitalizations ranging from €187m to €747m, the reported median CEO total compensation was €167k. Accordingly, our analysis reveals that Bijou Brigitte modische Accessoires Aktiengesellschaft pays Roland Werner north of the industry median.

Component20232022Proportion (2023)
Salary €550k €546k 60%
Other €370k €472k 40%
Total Compensation€920k €1.0m100%

On an industry level, roughly 62% of total compensation represents salary and 38% is other remuneration. Our data reveals that Bijou Brigitte modische Accessoires allocates salary more or less in line with the wider market. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

XTRA:BIJ CEO Compensation June 21st 2024

Bijou Brigitte modische Accessoires Aktiengesellschaft's Growth

Bijou Brigitte modische Accessoires Aktiengesellschaft has seen its earnings per share (EPS) increase by 76% a year over the past three years. Its revenue is up 7.0% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's also good to see modest revenue growth, suggesting the underlying business is healthy. 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 Bijou Brigitte modische Accessoires Aktiengesellschaft Been A Good Investment?

Boasting a total shareholder return of 82% over three years, Bijou Brigitte modische Accessoires Aktiengesellschaft 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.

In Summary...

The company's decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, any decision to raise CEO pay might be met with some objections from the shareholders given that the CEO is already paid higher than the industry average.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. We did our research and spotted 2 warning signs for Bijou Brigitte modische Accessoires that investors should look into moving forward.

Important note: Bijou Brigitte modische Accessoires 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.

Valuation is complex, but we're here to simplify it.

Discover if Bijou Brigitte modische Accessoires might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.