Shareholders May Be More Conservative With Kafrit Industries (1993) Ltd's (TLV:KAFR) CEO Compensation For Now
Key Insights
- Kafrit Industries (1993) will host its Annual General Meeting on 17th of July
- CEO Daniel Singer's total compensation includes salary of ₪1.44m
- The overall pay is 534% above the industry average
- Kafrit Industries (1993)'s total shareholder return over the past three years was 26% while its EPS grew by 1.2% over the past three years
Under the guidance of CEO Daniel Singer, Kafrit Industries (1993) Ltd (TLV:KAFR) has performed reasonably well recently. As shareholders go into the upcoming AGM on 17th of July, CEO compensation will probably not be their focus, but rather the steps management will take to continue the growth momentum. However, some shareholders may still want to keep CEO compensation within reason.
See our latest analysis for Kafrit Industries (1993)
Comparing Kafrit Industries (1993) Ltd's CEO Compensation With The Industry
According to our data, Kafrit Industries (1993) Ltd has a market capitalization of ₪710m, and paid its CEO total annual compensation worth ₪2.9m over the year to December 2024. We note that's an increase of 17% above last year. Notably, the salary which is ₪1.44m, represents a considerable chunk of the total compensation being paid.
For comparison, other companies in the Israel Chemicals industry with market capitalizations ranging between ₪331m and ₪1.3b had a median total CEO compensation of ₪450k. Hence, we can conclude that Daniel Singer is remunerated higher than the industry median. What's more, Daniel Singer holds ₪1.1m worth of shares in the company in their own name.
Component | 2024 | 2023 | Proportion (2024) |
Salary | ₪1.4m | ₪1.3m | 50% |
Other | ₪1.4m | ₪1.1m | 50% |
Total Compensation | ₪2.9m | ₪2.4m | 100% |
Speaking on an industry level, nearly 66% of total compensation represents salary, while the remainder of 34% is other remuneration. In Kafrit Industries (1993)'s case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.
A Look at Kafrit Industries (1993) Ltd's Growth Numbers
Kafrit Industries (1993) Ltd has seen its earnings per share (EPS) increase by 1.2% a year over the past three years. In the last year, its revenue is up 15%.
We think the revenue growth is good. And the modest growth in EPS isn't bad, either. So while we'd stop just short of calling this a top performer, but we think it is well worth watching. 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 Kafrit Industries (1993) Ltd Been A Good Investment?
Kafrit Industries (1993) Ltd has generated a total shareholder return of 26% over three years, so most shareholders would be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
In Summary...
The company's decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, any decision to raise CEO pay might be met with some objections from the shareholders given that the CEO is already paid higher than the industry average.
While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. That's why we did some digging and identified 2 warning signs for Kafrit Industries (1993) that investors should think about before committing capital to this stock.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity 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.
About TASE:KAFR
Kafrit Industries (1993)
Offers customized masterbatches and compounds in Israel, China, Germany, Canada, and internationally.
Solid track record with adequate balance sheet and pays a dividend.
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