Shareholders Will Probably Not Have Any Issues With Dolat Algotech Limited's (NSE:DOLATALGO) CEO Compensation
Key Insights
- Dolat Algotech to hold its Annual General Meeting on 30th of September
- CEO Pankaj Shah's total compensation includes salary of ₹6.00m
- The total compensation is similar to the average for the industry
- Dolat Algotech's total shareholder return over the past three years was 20% while its EPS grew by 4.4% over the past three years
Performance at Dolat Algotech Limited (NSE:DOLATALGO) has been reasonably good and CEO Pankaj 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 30th of September. Here is our take on why we think the CEO compensation looks appropriate.
See our latest analysis for Dolat Algotech
How Does Total Compensation For Pankaj Shah Compare With Other Companies In The Industry?
According to our data, Dolat Algotech Limited has a market capitalization of ₹15b, and paid its CEO total annual compensation worth ₹6.0m over the year to March 2025. This was the same as last year. It is worth noting that the CEO compensation consists entirely of the salary, worth ₹6.0m.
In comparison with other companies in the Indian Capital Markets industry with market capitalizations ranging from ₹8.9b to ₹35b, the reported median CEO total compensation was ₹4.8m. So it looks like Dolat Algotech compensates Pankaj Shah in line with the median for the industry. Furthermore, Pankaj Shah directly owns ₹382m worth of shares in the company, implying that they are deeply invested in the company's success.
| Component | 2025 | 2024 | Proportion (2025) |
| Salary | ₹6.0m | ₹6.0m | 100% |
| Other | - | - | - |
| Total Compensation | ₹6.0m | ₹6.0m | 100% |
On an industry level, it's fascinating to see that all of total compensation represents salary and non-salary benefits do not factor into the equation at all. Speaking on a company level, Dolat Algotech prefers to tread along a traditional path, disbursing all compensation through a salary. If salary is the major component in total compensation, it suggests that the CEO receives a higher fixed proportion of the total compensation, regardless of performance.
A Look at Dolat Algotech Limited's Growth Numbers
Dolat Algotech Limited's earnings per share (EPS) grew 4.4% per year over the last three years. In the last year, its revenue is down 1.3%.
We would prefer it if there was revenue growth, but the modest EPS growth gives us some relief. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Dolat Algotech Limited Been A Good Investment?
Dolat Algotech Limited has generated a total shareholder return of 20% over three years, so most shareholders would be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
To Conclude...
Dolat Algotech rewards its CEO solely through a salary, ignoring non-salary benefits completely. 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, we still think that any proposed increase in CEO compensation will be examined closely to make sure the compensation is appropriate and linked to performance.
While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. We've identified 1 warning sign for Dolat Algotech that investors should be aware of in a dynamic business environment.
Important note: Dolat Algotech 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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