Shareholders Will Probably Hold Off On Increasing Uniinfo Telecom Services Limited's (NSE:UNIINFO) CEO Compensation For The Time Being

Key Insights

• Uniinfo Telecom Services' Annual General Meeting to take place on 27th of September
• Salary of ₹6.00m is part of CEO Kishore Kumar Bhuradia's total remuneration
• The overall pay is 100% above the industry average
• Uniinfo Telecom Services' total shareholder return over the past three years was 56% while its EPS grew by 109% over the past three years

Under the guidance of CEO Kishore Kumar Bhuradia, Uniinfo Telecom Services Limited (NSE:UNIINFO) has performed reasonably well recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 27th of September. However, some shareholders may still want to keep CEO compensation within reason.

View our latest analysis for Uniinfo Telecom Services

Comparing Uniinfo Telecom Services Limited's CEO Compensation With The Industry

At the time of writing, our data shows that Uniinfo Telecom Services Limited has a market capitalization of ₹414m, and reported total annual CEO compensation of ₹6.0m for the year to March 2024. This was the same as last year. It is worth noting that the CEO compensation consists entirely of the salary, worth ₹6.0m.

On comparing similar-sized companies in the Indian Construction industry with market capitalizations below ₹17b, we found that the median total CEO compensation was ₹3.0m. Accordingly, our analysis reveals that Uniinfo Telecom Services Limited pays Kishore Kumar Bhuradia north of the industry median. Furthermore, Kishore Kumar Bhuradia directly owns ₹179m worth of shares in the company, implying that they are deeply invested in the company's success.

Component	2024	2023	Proportion (2024)
Salary	₹6.0m	₹6.0m	100%
Other	-	-	-
Total Compensation	₹6.0m	₹6.0m	100%

Talking in terms of the industry, salary represented approximately 98% of total compensation out of all the companies we analyzed, while other remuneration made up 2% of the pie. Speaking on a company level, Uniinfo Telecom Services prefers to tread along a traditional path, disbursing all compensation through a salary. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.

A Look at Uniinfo Telecom Services Limited's Growth Numbers

Uniinfo Telecom Services Limited's earnings per share (EPS) grew 109% per year over the last three years. In the last year, its revenue is up 14%.

Shareholders would be glad to know that the company has improved itself over the last few years. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Uniinfo Telecom Services Limited Been A Good Investment?

We think that the total shareholder return of 56%, over three years, would leave most Uniinfo Telecom Services 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.

In Summary...

Uniinfo Telecom Services pays CEO compensation exclusively through a salary, with non-salary compensation completely ignored. 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. 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 Uniinfo Telecom Services that investors should think about before committing capital to this stock.

Important note: Uniinfo Telecom Services 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.