Shareholders May Not Be So Generous With Irish Continental Group plc's (LON:ICGC) CEO Compensation And Here's Why

Key Insights

• Irish Continental Group's Annual General Meeting to take place on 8th of May
• Salary of €736.0k is part of CEO Eamonn Rothwell's total remuneration
• The total compensation is 350% higher than the average for the industry
• Irish Continental Group's EPS grew by 43% over the past three years while total shareholder return over the past three years was 52%

Our free stock report includes 1 warning sign investors should be aware of before investing in Irish Continental Group. Read for free now.

Under the guidance of CEO Eamonn Rothwell, Irish Continental Group plc (LON:ICGC) has performed reasonably well recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 8th of May. However, some shareholders will still be cautious of paying the CEO excessively.

See our latest analysis for Irish Continental Group

How Does Total Compensation For Eamonn Rothwell Compare With Other Companies In The Industry?

At the time of writing, our data shows that Irish Continental Group plc has a market capitalization of UK£753m, and reported total annual CEO compensation of €4.5m for the year to December 2024. That's a notable increase of 42% on last year. While we always look at total compensation first, our analysis shows that the salary component is less, at €736k.

On examining similar-sized companies in the the United Kingdom Shipping industry with market capitalizations between UK£300m and UK£1.2b, we discovered that the median CEO total compensation of that group was €993k. Hence, we can conclude that Eamonn Rothwell is remunerated higher than the industry median. Furthermore, Eamonn Rothwell directly owns UK£231m worth of shares in the company, implying that they are deeply invested in the company's success.

Component	2024	2023	Proportion (2024)
Salary	€736k	€718k	16%
Other	€3.7m	€2.4m	84%
Total Compensation	€4.5m	€3.1m	100%

On an industry level, around 48% of total compensation represents salary and 52% is other remuneration. Irish Continental Group pays a modest slice of remuneration through salary, as compared to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

Irish Continental Group plc's Growth

Irish Continental Group plc's earnings per share (EPS) grew 43% per year over the last three years. Its revenue is up 5.6% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. 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 Irish Continental Group plc Been A Good Investment?

Boasting a total shareholder return of 52% over three years, Irish Continental Group plc 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 decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, if the board proposes to increase the compensation, some shareholders might have questions given that the CEO is already being paid higher than the industry.

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 1 warning sign for Irish Continental Group that investors should look into moving forward.

Important note: Irish Continental Group 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.

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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.