We Think Shareholders May Want To Consider A Review Of Jacquet Metals SA's (EPA:JCQ) CEO Compensation Package

Key Insights

• Jacquet Metals' Annual General Meeting to take place on 28th of June
• Salary of €650.0k is part of CEO Eric Jacquet's total remuneration
• The total compensation is 39% higher than the average for the industry
• Jacquet Metals' EPS declined by 27% over the past three years while total shareholder loss over the past three years was 10%

Jacquet Metals SA (EPA:JCQ) has not performed well recently and CEO Eric Jacquet will probably need to up their game. Shareholders can take the chance to hold the board and management accountable for the unsatisfactory performance at the next AGM on 28th of June. It would also be an opportunity for shareholders to influence management through voting on company resolutions such as executive remuneration, which could impact the firm significantly. From our analysis, we think CEO compensation may need a review in light of the recent performance.

See our latest analysis for Jacquet Metals

How Does Total Compensation For Eric Jacquet Compare With Other Companies In The Industry?

According to our data, Jacquet Metals SA has a market capitalization of €342m, and paid its CEO total annual compensation worth €1.1m over the year to December 2023. That's a notable decrease of 34% on last year. We note that the salary of €650.0k makes up a sizeable portion of the total compensation received by the CEO.

In comparison with other companies in the French Trade Distributors industry with market capitalizations ranging from €187m to €748m, the reported median CEO total compensation was €790k. Hence, we can conclude that Eric Jacquet is remunerated higher than the industry median. Moreover, Eric Jacquet also holds €150m worth of Jacquet Metals stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Component	2023	2022	Proportion (2023)
Salary	€650k	€650k	59%
Other	€445k	€1.0m	41%
Total Compensation	€1.1m	€1.7m	100%

On an industry level, roughly 60% of total compensation represents salary and 40% is other remuneration. Although there is a difference in how total compensation is set, Jacquet Metals more or less reflects the market in terms of setting the salary. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

A Look at Jacquet Metals SA's Growth Numbers

Over the last three years, Jacquet Metals SA has shrunk its earnings per share by 27% per year. It saw its revenue drop 21% over the last year.

Overall this is not a very positive result for shareholders. And the impression is worse when you consider revenue is down year-on-year. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Jacquet Metals SA Been A Good Investment?

Given the total shareholder loss of 10% over three years, many shareholders in Jacquet Metals SA are probably rather dissatisfied, to say the least. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Along with the business performing poorly, shareholders have suffered with poor share price returns on their investments, suggesting that there's little to no chance of them being in favor of a CEO pay raise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.

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 Jacquet Metals that investors should look into moving forward.

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.

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