We Think The Compensation For Oryzon Genomics S.A.'s (BME:ORY) CEO Looks About Right

Key Insights

• Oryzon Genomics to hold its Annual General Meeting on 26th of June
• CEO Carlos Manuel Arjol's total compensation includes salary of US$336.7k
• Total compensation is similar to the industry average
• Oryzon Genomics' EPS grew by 13% over the past three years while total shareholder return over the past three years was 11%

This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality.

CEO Carlos Manuel Arjol has done a decent job of delivering relatively good performance at Oryzon Genomics S.A. (BME:ORY) recently. 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 26th of June. Here is our take on why we think the CEO compensation looks appropriate.

See our latest analysis for Oryzon Genomics

How Does Total Compensation For Carlos Manuel Arjol Compare With Other Companies In The Industry?

Our data indicates that Oryzon Genomics S.A. has a market capitalization of €212m, and total annual CEO compensation was reported as US$494k for the year to December 2024. This means that the compensation hasn't changed much from last year. We note that the salary portion, which stands at US$336.7k constitutes the majority of total compensation received by the CEO.

For comparison, other companies in the Spain Biotechs industry with market capitalizations ranging between €87m and €348m had a median total CEO compensation of US$619k. This suggests that Oryzon Genomics remunerates its CEO largely in line with the industry average. Moreover, Carlos Manuel Arjol also holds €8.0m worth of Oryzon Genomics stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Speaking on an industry level, nearly 60% of total compensation represents salary, while the remainder of 40% is other remuneration. It's interesting to note that Oryzon Genomics pays out a greater portion of remuneration through salary, compared to the 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.

Oryzon Genomics S.A.'s Growth

Oryzon Genomics S.A.'s earnings per share (EPS) grew 13% per year over the last three years. Its revenue is down 48% over the previous year.

Shareholders would be glad to know that the company has improved itself over the last few years. It's always a tough situation when revenues are not growing, but ultimately profits are more important. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Oryzon Genomics S.A. Been A Good Investment?

With a total shareholder return of 11% over three years, Oryzon Genomics S.A. shareholders would, in general, be reasonably content. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.

To Conclude...

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. 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.

CEO pay is simply one of the many factors that need to be considered while examining business performance. We identified 2 warning signs for Oryzon Genomics (1 is potentially serious!) that you should be aware of before investing here.

Switching gears from Oryzon Genomics, 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.

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.