It's Unlikely That Dhani Services Limited's (NSE:DHANI) CEO Will See A Huge Pay Rise This Year

Key Insights

• Dhani Services to hold its Annual General Meeting on 23rd of September
• CEO Divyesh Kumar Shah's total compensation includes salary of ₹37.8m
• Total compensation is 501% above industry average
• Over the past three years, Dhani Services' EPS grew by 63% and over the past three years, the total shareholder return was 17%

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Performance at Dhani Services Limited (NSE:DHANI) has been reasonably good and CEO Divyesh Kumar Shah has done a decent job of steering the company in the right direction. 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 September. However, some shareholders will still be cautious of paying the CEO excessively.

See our latest analysis for Dhani Services

Comparing Dhani Services Limited's CEO Compensation With The Industry

Our data indicates that Dhani Services Limited has a market capitalization of ₹39b, and total annual CEO compensation was reported as ₹43m for the year to March 2025. That's a notable increase of 25% on last year. We note that the salary portion, which stands at ₹37.8m constitutes the majority of total compensation received by the CEO.

For comparison, other companies in the Indian Capital Markets industry with market capitalizations ranging between ₹18b and ₹70b had a median total CEO compensation of ₹7.2m. Hence, we can conclude that Divyesh Kumar Shah is remunerated higher than the industry median. Furthermore, Divyesh Kumar Shah directly owns ₹687m worth of shares in the company, implying that they are deeply invested in the company's success.

Speaking on an industry level, all of total compensation represents salary, while non-salary remuneration is completely ignored. Dhani Services sets aside a smaller share of compensation for salary, in comparison to the overall 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 Dhani Services Limited's Growth Numbers

Dhani Services Limited's earnings per share (EPS) grew 63% per year over the last three years. In the last year, its revenue is up 112%.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. Most shareholders would be pleased to see strong revenue growth combined with EPS growth. This combo suggests a fast growing business. 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 Dhani Services Limited Been A Good Investment?

With a total shareholder return of 17% over three years, Dhani Services 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.

In Summary...

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.

So you may want to check if insiders are buying Dhani Services shares with their own money (free access).

Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.

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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.