Shareholders May Not Be So Generous With Glenveagh Properties PLC's (ISE:GVR) CEO Compensation And Here's Why

Key Insights

• Glenveagh Properties to hold its Annual General Meeting on 22nd of May
• CEO Stephen Garvey's total compensation includes salary of €618.0k
• The total compensation is 174% higher than the average for the industry
• Over the past three years, Glenveagh Properties' EPS grew by 59% and over the past three years, the total shareholder return was 79%

We've discovered 1 warning sign about Glenveagh Properties. View them for free.

Performance at Glenveagh Properties PLC (ISE:GVR) has been reasonably good and CEO Stephen Garvey has done a decent job of steering the company in the right direction. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 22nd of May. However, some shareholders will still be cautious of paying the CEO excessively.

Check out our latest analysis for Glenveagh Properties

How Does Total Compensation For Stephen Garvey Compare With Other Companies In The Industry?

Our data indicates that Glenveagh Properties PLC has a market capitalization of €904m, and total annual CEO compensation was reported as €2.7m for the year to December 2024. That's a notable increase of 80% on last year. While we always look at total compensation first, our analysis shows that the salary component is less, at €618k.

For comparison, other companies in the Ireland Consumer Durables industry with market capitalizations ranging between €358m and €1.4b had a median total CEO compensation of €993k. Accordingly, our analysis reveals that Glenveagh Properties PLC pays Stephen Garvey north of the industry median. Moreover, Stephen Garvey also holds €17m worth of Glenveagh Properties stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Component	2024	2023	Proportion (2024)
Salary	€618k	€600k	23%
Other	€2.1m	€910k	77%
Total Compensation	€2.7m	€1.5m	100%

Talking in terms of the industry, salary represented approximately 59% of total compensation out of all the companies we analyzed, while other remuneration made up 41% of the pie. It's interesting to note that Glenveagh Properties allocates a smaller portion of compensation to salary in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

A Look at Glenveagh Properties PLC's Growth Numbers

Over the past three years, Glenveagh Properties PLC has seen its earnings per share (EPS) grow by 59% per year. Its revenue is up 43% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. The combination of strong revenue growth with medium-term EPS improvement certainly points to the kind of growth we like to see. 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 Glenveagh Properties PLC Been A Good Investment?

Boasting a total shareholder return of 79% over three years, Glenveagh Properties PLC 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.

To Conclude...

Seeing that the company has put up a decent performance, only a few shareholders, if any at all, might have questions about the CEO pay in the upcoming AGM. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are 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've identified 1 warning sign for Glenveagh Properties that investors should be aware of in a dynamic business environment.

Important note: Glenveagh Properties 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.