A Look At Anton Oilfield Services Group's (HKG:3337) CEO Remuneration

Zhifeng Pi is the CEO of Anton Oilfield Services Group (HKG:3337), and in this article, we analyze the executive's compensation package with respect to the overall performance of the company. This analysis will also assess whether Anton Oilfield Services Group pays its CEO appropriately, considering recent earnings growth and total shareholder returns.

See our latest analysis for Anton Oilfield Services Group

Comparing Anton Oilfield Services Group's CEO Compensation With the industry

At the time of writing, our data shows that Anton Oilfield Services Group has a market capitalization of HK$1.3b, and reported total annual CEO compensation of CN¥2.0m for the year to December 2019. That's a notable decrease of 16% on last year. In particular, the salary of CN¥1.87m, makes up a huge portion of the total compensation being paid to the CEO.

On comparing similar companies from the same industry with market caps ranging from HK$775m to HK$3.1b, we found that the median CEO total compensation was CN¥2.0m. So it looks like Anton Oilfield Services Group compensates Zhifeng Pi in line with the median for the industry.

On an industry level, roughly 63% of total compensation represents salary and 37% is other remuneration. It's interesting to note that Anton Oilfield Services Group pays out a greater portion of remuneration through salary, compared to the industry. If salary is the major component in total compensation, it suggests that the CEO receives a higher fixed proportion of the total compensation, regardless of performance.

A Look at Anton Oilfield Services Group's Growth Numbers

Anton Oilfield Services Group has seen its earnings per share (EPS) increase by 45% a year over the past three years. In the last year, its revenue changed by just 0.8%.

This demonstrates that the company has been improving recently and is good news for the shareholders. While it would be good to see revenue growth, profits matter more in the end. 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 Anton Oilfield Services Group Been A Good Investment?

With a three year total loss of 49% for the shareholders, Anton Oilfield Services Group would certainly have some dissatisfied shareholders. Therefore, it might be upsetting for shareholders if the CEO were paid generously.

In Summary...

As we touched on above, Anton Oilfield Services Group is currently paying a compensation that's close to the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. Meanwhile, shareholder returns paint a sorry picture for the company, finishing in the red over the last three years. However, EPS growth is positive over the same time frame. Considering positive EPS growth, we'd say compensation is fair, but shareholders may be wary of a bump in pay before the company logs positive returns.

CEO pay is simply one of the many factors that need to be considered while examining business performance. We identified 3 warning signs for Anton Oilfield Services Group (1 is concerning!) that you should be aware of before investing here.

Switching gears from Anton Oilfield Services Group, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.

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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.
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