We Take A Look At Why Samvardhana Motherson International Limited's (NSE:MOTHERSON) CEO Has Earned Their Pay Packet

Key Insights

• Samvardhana Motherson International's Annual General Meeting to take place on 28th of August
• Total pay for CEO Pankaj Mital includes ₹37.8m salary
• Total compensation is similar to the industry average
• Samvardhana Motherson International's total shareholder return over the past three years was 79% while its EPS grew by 84% over the past three years

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It would be hard to discount the role that CEO Pankaj Mital has played in delivering the impressive results at Samvardhana Motherson International Limited (NSE:MOTHERSON) recently. Shareholders will have this at the front of their minds in the upcoming AGM on 28th of August. The focus will probably be on the future company strategy as shareholders cast their votes on resolutions such as executive remuneration and other matters. We think the CEO has done a pretty decent job and we discuss why the CEO compensation is appropriate.

View our latest analysis for Samvardhana Motherson International

Comparing Samvardhana Motherson International Limited's CEO Compensation With The Industry

At the time of writing, our data shows that Samvardhana Motherson International Limited has a market capitalization of ₹1.0t, and reported total annual CEO compensation of ₹49m for the year to March 2025. Notably, that's an increase of 14% over the year before. Notably, the salary which is ₹37.8m, represents most of the total compensation being paid.

In comparison with other companies in the Indian Auto Components industry with market capitalizations over ₹698b, the reported median total CEO compensation was ₹62m. So it looks like Samvardhana Motherson International compensates Pankaj Mital in line with the median for the industry. What's more, Pankaj Mital holds ₹117m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Component	2025	2024	Proportion (2025)
Salary	₹38m	₹30m	77%
Other	₹12m	₹13m	23%
Total Compensation	₹49m	₹43m	100%

Speaking on an industry level, nearly 78% of total compensation represents salary, while the remainder of 22% is other remuneration. Although there is a difference in how total compensation is set, Samvardhana Motherson International more or less reflects the market in terms of setting the salary. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.

Samvardhana Motherson International Limited's Growth

Samvardhana Motherson International Limited's earnings per share (EPS) grew 84% per year over the last three years. It achieved revenue growth of 10% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Samvardhana Motherson International Limited Been A Good Investment?

We think that the total shareholder return of 79%, over three years, would leave most Samvardhana Motherson International Limited shareholders smiling. 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...

The company's solid performance might have made most shareholders happy, possibly making CEO remuneration the least of the matters to be discussed in the AGM. In fact, strategic decisions that could impact the future of the business might be a far more interesting topic for investors as it would help them set their longer-term expectations.

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 Samvardhana Motherson International that investors should be aware of in a dynamic business environment.

Switching gears from Samvardhana Motherson International, 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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