Barbeque-Nation Hospitality Limited's (NSE:BARBEQUE) CEO Might Not Expect Shareholders To Be So Generous This Year

Key Insights

• Barbeque-Nation Hospitality will host its Annual General Meeting on 4th of September
• Salary of ₹17.8m is part of CEO Rahul Agrawal's total remuneration
• The total compensation is 506% higher than the average for the industry
• Barbeque-Nation Hospitality's EPS declined by 100% over the past three years while total shareholder loss over the past three years was 77%

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The results at Barbeque-Nation Hospitality Limited (NSE:BARBEQUE) have been quite disappointing recently and CEO Rahul Agrawal bears some responsibility for this. At the upcoming AGM on 4th of September, shareholders can hear from the board including their plans for turning around performance. It would also be an opportunity for shareholders to influence management through voting on company resolutions such as executive remuneration, which could impact the firm significantly. The data we present below explains why we think CEO compensation is not consistent with recent performance.

Check out our latest analysis for Barbeque-Nation Hospitality

How Does Total Compensation For Rahul Agrawal Compare With Other Companies In The Industry?

Our data indicates that Barbeque-Nation Hospitality Limited has a market capitalization of ₹10b, and total annual CEO compensation was reported as ₹28m for the year to March 2025. Notably, that's an increase of 19% over the year before. Notably, the salary which is ₹17.8m, represents most of the total compensation being paid.

For comparison, other companies in the Indian Hospitality industry with market capitalizations below ₹18b, reported a median total CEO compensation of ₹4.6m. Accordingly, our analysis reveals that Barbeque-Nation Hospitality Limited pays Rahul Agrawal north of the industry median. What's more, Rahul Agrawal holds ₹31m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Speaking on an industry level, nearly 95% of total compensation represents salary, while the remainder of 5% is other remuneration. It's interesting to note that Barbeque-Nation Hospitality allocates a smaller portion of compensation to salary in comparison to the broader industry. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.

A Look at Barbeque-Nation Hospitality Limited's Growth Numbers

Over the last three years, Barbeque-Nation Hospitality Limited has shrunk its earnings per share by 100% per year. Revenue was pretty flat on last year.

The decline in EPS is a bit concerning. And the flat revenue hardly impresses. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. 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 Barbeque-Nation Hospitality Limited Been A Good Investment?

The return of -77% over three years would not have pleased Barbeque-Nation Hospitality Limited shareholders. So shareholders would probably want the company to be less generous with CEO compensation.

In Summary...

Not only have shareholders not seen a favorable return on their investment, but the business hasn't performed well either. Few shareholders would be willing to award the CEO with a pay raise. At the upcoming AGM, management will get a chance to explain how they plan to get the business back on track and address the concerns from investors.

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 Barbeque-Nation Hospitality that you should be aware of before investing.

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.