It Looks Like Shareholders Would Probably Approve Deutsche Bank Aktiengesellschaft's (ETR:DBK) CEO Compensation Package

Key Insights

• Deutsche Bank's Annual General Meeting to take place on 22nd of May
• Salary of €3.75m is part of CEO Christian Sewing's total remuneration
• The overall pay is comparable to the industry average
• Deutsche Bank's EPS grew by 20% over the past three years while total shareholder return over the past three years was 184%

Our free stock report includes 2 warning signs investors should be aware of before investing in Deutsche Bank. Read for free now.

It would be hard to discount the role that CEO Christian Sewing has played in delivering the impressive results at Deutsche Bank Aktiengesellschaft (ETR:DBK) recently. Shareholders will have this at the front of their minds in the upcoming AGM on 22nd of May. It is likely that the focus will be on company strategy going forward as shareholders hear from the board and cast their votes on resolutions such as executive remuneration and other matters. We think the CEO has done a pretty decent job and we discuss why the CEO compensation is appropriate.

View our latest analysis for Deutsche Bank

How Does Total Compensation For Christian Sewing Compare With Other Companies In The Industry?

At the time of writing, our data shows that Deutsche Bank Aktiengesellschaft has a market capitalization of €48b, and reported total annual CEO compensation of €4.9m for the year to December 2024. That's mostly flat as compared to the prior year's compensation. In particular, the salary of €3.75m, makes up a huge portion of the total compensation being paid to the CEO.

In comparison with other companies in the German Capital Markets industry with market capitalizations over €7.2b, the reported median total CEO compensation was €4.9m. So it looks like Deutsche Bank compensates Christian Sewing in line with the median for the industry. Furthermore, Christian Sewing directly owns €5.5m worth of shares in the company.

Component	2024	2023	Proportion (2024)
Salary	€3.8m	€3.6m	77%
Other	€1.1m	€1.4m	23%
Total Compensation	€4.9m	€5.0m	100%

Talking in terms of the industry, salary represented approximately 62% of total compensation out of all the companies we analyzed, while other remuneration made up 38% of the pie. Deutsche Bank is paying a higher share of its remuneration through a salary in comparison to the overall industry. If salary is the major component in total compensation, it suggests that the CEO receives a higher fixed proportion of the total compensation, regardless of performance.

A Look at Deutsche Bank Aktiengesellschaft's Growth Numbers

Deutsche Bank Aktiengesellschaft has seen its earnings per share (EPS) increase by 20% a year over the past three years. It achieved revenue growth of 5.7% over the last year.

Shareholders would be glad to know that the company has improved itself over the last few years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. 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 Deutsche Bank Aktiengesellschaft Been A Good Investment?

Boasting a total shareholder return of 184% over three years, Deutsche Bank 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.

To Conclude...

The company's solid performance might have made most shareholders happy, possibly making CEO remuneration the least of the matters to be discussed in the AGM. Instead, investors might be more interested in discussions that would help manage their longer-term growth expectations such as company business strategies and future growth potential.

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 Deutsche Bank that investors should look into moving forward.

Important note: Deutsche Bank 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.