Increases to Science in Sport plc's (LON:SIS) CEO Compensation Might Cool off for now

Performance at Science in Sport plc (LON:SIS) has been reasonably good and CEO Steve Moon has done a decent job of steering the company in the right direction. 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 24 June 2021. However, some shareholders may still be hesitant of being overly generous with CEO compensation.

Check out our latest analysis for Science in Sport

How Does Total Compensation For Steve Moon Compare With Other Companies In The Industry?

At the time of writing, our data shows that Science in Sport plc has a market capitalization of UK£108m, and reported total annual CEO compensation of UK£793k for the year to December 2020. That's a notable increase of 12% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at UK£274k.

On comparing similar companies from the same industry with market caps ranging from UK£72m to UK£287m, we found that the median CEO total compensation was UK£555k. This suggests that Steve Moon is paid more than the median for the industry. Moreover, Steve Moon also holds UK£749k worth of Science in Sport stock directly under their own name.

Component	2020	2019	Proportion (2020)
Salary	UK£274k	UK£286k	35%
Other	UK£519k	UK£420k	65%
Total Compensation	UK£793k	UK£706k	100%

On an industry level, around 39% of total compensation represents salary and 61% is other remuneration. Science in Sport sets aside a smaller share of compensation for salary, in comparison to the overall industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

Science in Sport plc's Growth

Science in Sport plc's earnings per share (EPS) grew 36% per year over the last three years. Revenue was pretty flat on last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's always a tough situation when revenues are not growing, but ultimately profits are more important. 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 Science in Sport plc Been A Good Investment?

Science in Sport plc has not done too badly by shareholders, with a total return of 2.5%, over three years. It would be nice to see that metric improve in the future. As a result, investors in the company might be reluctant about agreeing to increase CEO pay in the future, before seeing an improvement on their returns.

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. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are already being paid higher than the industry.

CEO compensation is an important area to keep your eyes on, but we've also need to pay attention to other attributes of the company. We did our research and identified 2 warning signs (and 1 which makes us a bit uncomfortable) in Science in Sport we think you should know about.

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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