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Wen Chuan Zhou has been the CEO of Meilleure Health International Industry Group Limited (HKG:2327) since 2013. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we’ll consider growth that the business demonstrates. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.
How Does Wen Chuan Zhou’s Compensation Compare With Similar Sized Companies?
Our data indicates that Meilleure Health International Industry Group Limited is worth HK$2.8b, and total annual CEO compensation is HK$540k. (This is based on the year to December 2018). Notably, the salary of HK$540k is the vast majority of the CEO compensation. We examined companies with market caps from HK$1.6b to HK$6.2b, and discovered that the median CEO total compensation of that group was HK$2.3m.
Most shareholders would consider it a positive that Wen Chuan Zhou takes less total compensation than the CEOs of most similar size companies, leaving more for shareholders. While this is a good thing, you’ll need to understand the business better before you can form an opinion.
You can see a visual representation of the CEO compensation at Meilleure Health International Industry Group, below.
Is Meilleure Health International Industry Group Limited Growing?
Meilleure Health International Industry Group Limited has increased its earnings per share (EPS) by an average of 36% a year, over the last three years (using a line of best fit). It achieved revenue growth of 236% over the last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. Most shareholders would be pleased to see strong revenue growth combined with EPS growth. This combo suggests a fast growing business.
Has Meilleure Health International Industry Group Limited Been A Good Investment?
Most shareholders would probably be pleased with Meilleure Health International Industry Group Limited for providing a total return of 116% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
Meilleure Health International Industry Group Limited is currently paying its CEO below what is normal for companies of its size. Considering the underlying business is growing earnings, this would suggest the pay is modest. The pleasing shareholder returns are the cherry on top; you might even consider that Wen Chuan Zhou deserves a raise!
It’s not often we see shareholders do so well, and yet the CEO is paid modestly. It would be even more positive if company insiders are buying shares. Shareholders may want to check for free if Meilleure Health International Industry Group insiders are buying or selling shares.
Important note: Meilleure Health International Industry Group may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at email@example.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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.