The CEO Of Page Industries Limited (NSE:PAGEIND) Might See A Pay Rise On The Horizon

Key Insights

• Page Industries to hold its Annual General Meeting on 8th of August
• Total pay for CEO V. Ganesh includes ₹17.2m salary
• Total compensation is 54% below industry average
• Page Industries' EPS grew by 19% over the past three years while total shareholder return over the past three years was 32%

Shareholders will be pleased by the robust performance of Page Industries Limited (NSE:PAGEIND) recently and this will be kept in mind in the upcoming AGM on 8th of August. They will probably be more interested in hearing the board discuss future initiatives to further improve the business as they vote on resolutions such as executive remuneration. In our analysis below, we discuss why we think the CEO compensation looks acceptable and the case for a raise.

View our latest analysis for Page Industries

Comparing Page Industries Limited's CEO Compensation With The Industry

Our data indicates that Page Industries Limited has a market capitalization of ₹469b, and total annual CEO compensation was reported as ₹46m for the year to March 2024. That's just a smallish increase of 4.2% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at ₹17m.

In comparison with other companies in the Indian Luxury industry with market capitalizations ranging from ₹335b to ₹1.0t, the reported median CEO total compensation was ₹101m. In other words, Page Industries pays its CEO lower than the industry median.

Component	2024	2023	Proportion (2024)
Salary	₹17m	₹15m	37%
Other	₹29m	₹30m	63%
Total Compensation	₹46m	₹44m	100%

On an industry level, roughly 99% of total compensation represents salary and 0.97228232% is other remuneration. It's interesting to note that Page Industries allocates a smaller portion of compensation to salary in comparison to the broader 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 Page Industries Limited's Growth Numbers

Over the past three years, Page Industries Limited has seen its earnings per share (EPS) grow by 19% per year. In the last year, its revenue is down 2.8%.

Shareholders would be glad to know that the company has improved itself over the last few years. The lack of revenue growth isn't ideal, but it is the bottom line that counts most in business. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.

Has Page Industries Limited Been A Good Investment?

Page Industries Limited has generated a total shareholder return of 32% over three years, so most shareholders would be reasonably content. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.

In Summary...

Overall, the company hasn't done too poorly performance-wise, but we would like to see some improvement. If it manages to keep up the current streak, CEO remuneration could well be one of shareholders' least concerns. Rather, investors would more likely want to engage on discussions related to key strategic initiatives and future growth opportunities for the company and set their longer-term expectations.

While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. We did our research and spotted 2 warning signs for Page Industries that investors should look into moving forward.

Important note: Page Industries 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com