It's Unlikely That Lagnam Spintex Limited's (NSE:LAGNAM) CEO Will See A Huge Pay Rise This Year

Key Insights

• Lagnam Spintex will host its Annual General Meeting on 23rd of July
• CEO Anand Mangal's total compensation includes salary of ₹5.33m
• The total compensation is 73% higher than the average for the industry
• Lagnam Spintex's EPS declined by 24% over the past three years while total shareholder return over the past three years was 30%

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CEO Anand Mangal has done a decent job of delivering relatively good performance at Lagnam Spintex Limited (NSE:LAGNAM) recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 23rd of July. However, some shareholders will still be cautious of paying the CEO excessively.

Check out our latest analysis for Lagnam Spintex

How Does Total Compensation For Anand Mangal Compare With Other Companies In The Industry?

Our data indicates that Lagnam Spintex Limited has a market capitalization of ₹1.8b, and total annual CEO compensation was reported as ₹6.2m for the year to March 2025. Notably, that's a decrease of 13% over the year before. Notably, the salary which is ₹5.33m, represents most of the total compensation being paid.

On comparing similar-sized companies in the Indian Luxury industry with market capitalizations below ₹17b, we found that the median total CEO compensation was ₹3.6m. Hence, we can conclude that Anand Mangal is remunerated higher than the industry median. Furthermore, Anand Mangal directly owns ₹230m worth of shares in the company, implying that they are deeply invested in the company's success.

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. It's interesting to note that Lagnam Spintex allocates a smaller portion of compensation to salary in comparison to the broader industry. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

A Look at Lagnam Spintex Limited's Growth Numbers

Over the last three years, Lagnam Spintex Limited has shrunk its earnings per share by 24% per year. Its revenue is up 38% over the last year.

Investors would be a bit wary of companies that have lower EPS On the other hand, the strong revenue growth suggests the business is growing. It's hard to reach a conclusion about business performance right now. This may be one to watch. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Lagnam Spintex Limited Been A Good Investment?

With a total shareholder return of 30% over three years, Lagnam Spintex Limited shareholders would, in general, be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.

To Conclude...

Some shareholders will be pleased by the relatively good results, however, the results could still be improved. We still think that some shareholders will be hesitant of increasing CEO pay until EPS growth improves, since they are already paid higher than the industry.

CEO compensation is an important area to keep your eyes on, but we've also need to pay attention to other attributes of the company. That's why we did our research, and identified 3 warning signs for Lagnam Spintex (of which 1 shouldn't be ignored!) that you should know about in order to have a holistic understanding of the stock.

Important note: Lagnam Spintex 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.