Albert Wong is the CEO of Thiz Technology Group Limited (HKG:8119), 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 Thiz Technology Group pays its CEO appropriately, considering recent earnings growth and total shareholder returns.
Comparing Thiz Technology Group Limited's CEO Compensation With the industry
According to our data, Thiz Technology Group Limited has a market capitalization of HK$39m, and paid its CEO total annual compensation worth HK$1.0m over the year to March 2020. This means that the compensation hasn't changed much from last year. In particular, the salary of HK$1.03m, makes up a huge portion of the total compensation being paid to the CEO.
For comparison, other companies in the industry with market capitalizations below HK$1.6b, reported a median total CEO compensation of HK$1.1m. This suggests that Thiz Technology Group remunerates its CEO largely in line with the industry average.
On an industry level, around 82% of total compensation represents salary and 18% is other remuneration. Thiz Technology Group is focused on going down a more traditional approach and is paying a higher portion of compensation through salary, as compared to non-salary benefits. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.
A Look at Thiz Technology Group Limited's Growth Numbers
Thiz Technology Group Limited has reduced its earnings per share by 8.1% a year over the last three years. In the last year, its revenue is up 20%.
The decrease in EPS could be a concern for some investors. On the other hand, the strong revenue growth suggests the business is growing. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Thiz Technology Group Limited Been A Good Investment?
Given the total shareholder loss of 85% over three years, many shareholders in Thiz Technology Group Limited are probably rather dissatisfied, to say the least. So shareholders would probably want the company to be lessto generous with CEO compensation.
Albert receives almost all of their compensation through a salary. As we noted earlier, Thiz Technology Group pays its CEO in line with similar-sized companies belonging to the same industry. Still, the company is logging healthy revenue growth over the last year. Contrarily, shareholder returns are in the red over the same stretch. EPS growth is also negative, adding insult to injury. We'd say CEO compensation isn't unfair, but shareholders may be wary of a bump in pay before the company substantially improves overall performance.
CEO pay is simply one of the many factors that need to be considered while examining business performance. In our study, we found 3 warning signs for Thiz Technology Group you should be aware of, and 1 of them shouldn't be ignored.
Switching gears from Thiz Technology 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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