Why We Think Fino Payments Bank Limited's (NSE:FINOPB) CEO Compensation Is Not Excessive At All

Key Insights

• Fino Payments Bank will host its Annual General Meeting on 29th of August
• CEO Rishi Gupta's total compensation includes salary of ₹12.1m
• The overall pay is comparable to the industry average
• Fino Payments Bank's EPS grew by 19% over the past three years while total shareholder return over the past three years was 5.5%

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CEO Rishi Gupta has done a decent job of delivering relatively good performance at Fino Payments Bank Limited (NSE:FINOPB) recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 29th of August. Here is our take on why we think the CEO compensation looks appropriate.

View our latest analysis for Fino Payments Bank

Comparing Fino Payments Bank Limited's CEO Compensation With The Industry

At the time of writing, our data shows that Fino Payments Bank Limited has a market capitalization of ₹22b, and reported total annual CEO compensation of ₹53m for the year to March 2025. Notably, that's an increase of 12% over the year before. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at ₹12m.

In comparison with other companies in the Indian Banks industry with market capitalizations ranging from ₹8.8b to ₹35b, the reported median CEO total compensation was ₹43m. So it looks like Fino Payments Bank compensates Rishi Gupta in line with the median for the industry.

Speaking on an industry level, nearly 66% of total compensation represents salary, while the remainder of 34% is other remuneration. Fino Payments Bank sets aside a smaller share of compensation for salary, in comparison to the overall 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 Fino Payments Bank Limited's Growth Numbers

Fino Payments Bank Limited's earnings per share (EPS) grew 19% per year over the last three years. Its revenue is up 19% over the last year.

Shareholders would be glad to know that the company has improved itself over the last few years. It's a real positive to see this sort of revenue growth in a single year. That suggests a healthy and growing business. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Fino Payments Bank Limited Been A Good Investment?

With a total shareholder return of 5.5% over three years, Fino Payments Bank Limited has done okay by shareholders, but there's always room for improvement. Accordingly, a proposal to increase CEO remuneration without seeing an improvement in shareholder returns might not be met favorably by most shareholders.

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. In saying that, any proposed increase to CEO compensation will still be assessed on how reasonable it is based on performance and industry benchmarks.

So you may want to check if insiders are buying Fino Payments Bank shares with their own money (free access).

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.