The CEO of Best of the Best PLC (LON:BOTB) is Will Hindmarch. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
See our latest analysis for Best of the Best
How Does Will Hindmarch's Compensation Compare With Similar Sized Companies?
Our data indicates that Best of the Best PLC is worth UK£77m, and total annual CEO compensation was reported as UK£248k for the year to April 2019. We think total compensation is more important but we note that the CEO salary is lower, at UK£150k. We examined a group of similar sized companies, with market capitalizations of below UK£157m. The median CEO total compensation in that group is UK£265k.
Pay mix tells us a lot about how a company functions versus the wider industry, and it's no different in the case of Best of the Best. Talking in terms of the sector, salary represented approximately 60% of total compensation out of all the companies we analysed, while other remuneration made up 40% of the pie. So it seems like there isn't a significant difference between Best of the Best and the broader market, in terms of salary allocation in the overall compensation package.
So Will Hindmarch is paid around the average of the companies we looked at. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context. You can see a visual representation of the CEO compensation at Best of the Best, below.
Is Best of the Best PLC Growing?
Over the last three years Best of the Best PLC has seen earnings per share (EPS) move in a positive direction by an average of 36% per year (using a line of best fit). It achieved revenue growth of 5.2% over the last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's also good to see modest revenue growth, suggesting the underlying business is healthy. It could be important to check this free visual depiction of what analysts expect for the future.
Has Best of the Best PLC Been A Good Investment?
Boasting a total shareholder return of 144% over three years, Best of the Best PLC has done well by shareholders. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.
In Summary...
Remuneration for Will Hindmarch is close enough to the median pay for a CEO of a similar sized company .
The company is growing earnings per share and total shareholder returns have been pleasing. Indeed, many might consider the pay rather modest, given the solid company performance! Looking into other areas, we've picked out 3 warning signs for Best of the Best that investors should think about before committing capital to this stock.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
Love or hate this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.
This article by Simply Wall St is general in nature. 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. Thank you for reading.