Stock Analysis

Boyaa Interactive International Limited's (HKG:434) CEO Looks Due For A Compensation Raise

SEHK:434
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Key Insights

  • Boyaa Interactive International will host its Annual General Meeting on 19th of April
  • Total pay for CEO Ying Tao includes CN¥496.0k salary
  • The overall pay is 68% below the industry average
  • Over the past three years, Boyaa Interactive International's EPS grew by 111% and over the past three years, the total shareholder return was 268%

The impressive results at Boyaa Interactive International Limited (HKG:434) recently will be great news for shareholders. This would be kept in mind at the upcoming AGM on 19th of April which will be a chance for them to hear the board review the financial results, discuss future company strategy and vote on resolutions such as executive remuneration and other matters. Here we will show why we think CEO compensation is appropriate and discuss the case for a pay rise.

View our latest analysis for Boyaa Interactive International

How Does Total Compensation For Ying Tao Compare With Other Companies In The Industry?

At the time of writing, our data shows that Boyaa Interactive International Limited has a market capitalization of HK$1.5b, and reported total annual CEO compensation of CN¥520k for the year to December 2023. Notably, that's a decrease of 16% over the year before. In particular, the salary of CN¥496.0k, makes up a huge portion of the total compensation being paid to the CEO.

For comparison, other companies in the Hong Kong Entertainment industry with market capitalizations ranging between HK$784m and HK$3.1b had a median total CEO compensation of CN¥1.6m. In other words, Boyaa Interactive International pays its CEO lower than the industry median.

Component20232022Proportion (2023)
Salary CN¥496k CN¥604k 95%
Other CN¥24k CN¥16k 5%
Total CompensationCN¥520k CN¥620k100%

On an industry level, roughly 91% of total compensation represents salary and 9% is other remuneration. Investors will find it interesting that Boyaa Interactive International pays the bulk of its rewards through a traditional salary, instead of non-salary benefits. 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.

ceo-compensation
SEHK:434 CEO Compensation April 12th 2024

A Look at Boyaa Interactive International Limited's Growth Numbers

Boyaa Interactive International Limited's earnings per share (EPS) grew 111% per year over the last three years. Its revenue is up 5.1% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Boyaa Interactive International Limited Been A Good Investment?

Boasting a total shareholder return of 268% over three years, Boyaa Interactive International Limited 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...

Ying receives almost all of their compensation through a salary. Given the company's decent performance, the CEO remuneration policy might not be shareholders' central point of focus in the AGM. However, investors will get the chance to engage on key strategic initiatives and future growth opportunities for the company and set their longer-term expectations.

We can learn a lot about a company by studying its CEO compensation trends, along with looking at other aspects of the business. That's why we did our research, and identified 3 warning signs for Boyaa Interactive International (of which 2 are potentially serious!) that you should know about in order to have a holistic understanding of the stock.

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.

Valuation is complex, but we're helping make it simple.

Find out whether Boyaa Interactive International is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.

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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.