Shareholders Will Probably Hold Off On Increasing ICRA Limited's (NSE:ICRA) CEO Compensation For The Time Being

Key Insights

• ICRA will host its Annual General Meeting on 31st of July
• CEO Ramnath Krishnan's total compensation includes salary of ₹12.7m
• The overall pay is 42% above the industry average
• ICRA's total shareholder return over the past three years was 80% while its EPS grew by 15% over the past three years

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CEO Ramnath Krishnan has done a decent job of delivering relatively good performance at ICRA Limited (NSE:ICRA) recently. This is something shareholders will keep in mind as they cast their votes on company resolutions such as executive remuneration in the upcoming AGM on 31st of July. However, some shareholders may still want to keep CEO compensation within reason.

View our latest analysis for ICRA

How Does Total Compensation For Ramnath Krishnan Compare With Other Companies In The Industry?

Our data indicates that ICRA Limited has a market capitalization of ₹65b, and total annual CEO compensation was reported as ₹60m for the year to March 2025. We note that's a small decrease of 5.4% on last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at ₹13m.

In comparison with other companies in the Indian Capital Markets industry with market capitalizations ranging from ₹35b to ₹138b, the reported median CEO total compensation was ₹42m. This suggests that Ramnath Krishnan is paid more than the median for the industry.

Speaking on an industry level, all of total compensation represents salary, while non-salary remuneration is completely ignored. It's interesting to note that ICRA allocates a smaller portion of compensation to salary in comparison to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

ICRA Limited's Growth

ICRA Limited's earnings per share (EPS) grew 15% per year over the last three years. It achieved revenue growth of 12% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has ICRA Limited Been A Good Investment?

Most shareholders would probably be pleased with ICRA Limited for providing a total return of 80% over three years. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.

To Conclude...

The company's decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, if the board proposes to increase the compensation, some shareholders might have questions given that the CEO is already being paid higher than the industry.

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. We did our research and spotted 2 warning signs for ICRA that investors should look into moving forward.

Switching gears from ICRA, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.

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