Here's Why Shareholders May Want To Be Cautious With Increasing Synergy Green Industries Limited's (NSE:SGIL) CEO Pay Packet
Key Insights
- Synergy Green Industries will host its Annual General Meeting on 23rd of September
- CEO Sachin Shirgaokar's total compensation includes salary of ₹20.2m
- Total compensation is 255% above industry average
- Synergy Green Industries' EPS grew by 77% over the past three years while total shareholder return over the past three years was 276%
Under the guidance of CEO Sachin Shirgaokar, Synergy Green Industries Limited (NSE:SGIL) has performed reasonably well recently. As shareholders go into the upcoming AGM on 23rd of September, CEO compensation will probably not be their focus, but rather the steps management will take to continue the growth momentum. However, some shareholders will still be cautious of paying the CEO excessively.
View our latest analysis for Synergy Green Industries
Comparing Synergy Green Industries Limited's CEO Compensation With The Industry
Our data indicates that Synergy Green Industries Limited has a market capitalization of ₹8.9b, and total annual CEO compensation was reported as ₹20m for the year to March 2025. That's a notable increase of 23% on last year. It is worth noting that the CEO compensation consists entirely of the salary, worth ₹20m.
For comparison, other companies in the Indian Machinery industry with market capitalizations below ₹18b, reported a median total CEO compensation of ₹5.7m. Hence, we can conclude that Sachin Shirgaokar is remunerated higher than the industry median. Moreover, Sachin Shirgaokar also holds ₹509m worth of Synergy Green Industries stock directly under their own name, which reveals to us that they have a significant personal stake in the company.
| Component | 2025 | 2024 | Proportion (2025) |
| Salary | ₹20m | ₹16m | 100% |
| Other | - | - | - |
| Total Compensation | ₹20m | ₹16m | 100% |
Talking in terms of the industry, salary represented approximately 97% of total compensation out of all the companies we analyzed, while other remuneration made up 3% of the pie. On a company level, Synergy Green Industries prefers to reward its CEO through a salary, opting not to pay Sachin Shirgaokar through non-salary benefits. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.
A Look at Synergy Green Industries Limited's Growth Numbers
Synergy Green Industries Limited has seen its earnings per share (EPS) increase by 77% a year over the past three years. Its revenue is up 14% 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. 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 Synergy Green Industries Limited Been A Good Investment?
Boasting a total shareholder return of 276% over three years, Synergy Green Industries Limited 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.
In Summary...
Synergy Green Industries rewards its CEO solely through a salary, ignoring non-salary benefits completely. 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.
CEO compensation is a crucial aspect to keep your eyes on but investors also need to keep their eyes open for other issues related to business performance. That's why we did some digging and identified 1 warning sign for Synergy Green Industries that investors should think about before committing capital to this stock.
Switching gears from Synergy Green Industries, 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.
Valuation is complex, but we're here to simplify it.
Discover if Synergy Green Industries might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.