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

Key Insights

• Kalyani Steels to hold its Annual General Meeting on 22nd of August
• CEO Ravindra Goyal's total compensation includes salary of ₹92.7m
• The overall pay is 853% above the industry average
• Kalyani Steels' total shareholder return over the past three years was 206% while its EPS grew by 10% over the past three years

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Under the guidance of CEO Ravindra Goyal, Kalyani Steels Limited (NSE:KSL) has performed reasonably well recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 22nd of August. However, some shareholders will still be cautious of paying the CEO excessively.

See our latest analysis for Kalyani Steels

Comparing Kalyani Steels Limited's CEO Compensation With The Industry

According to our data, Kalyani Steels Limited has a market capitalization of ₹38b, and paid its CEO total annual compensation worth ₹153m over the year to March 2025. That's a notable increase of 11% on last year. We note that the salary portion, which stands at ₹92.7m constitutes the majority of total compensation received by the CEO.

In comparison with other companies in the Indian Metals and Mining industry with market capitalizations ranging from ₹17b to ₹70b, the reported median CEO total compensation was ₹16m. Hence, we can conclude that Ravindra Goyal is remunerated higher than the industry median.

Talking in terms of the industry, salary represented approximately 100% of total compensation out of all the companies we analyzed, while other remuneration made up 0.10262769% of the pie. In Kalyani Steels' case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader 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 Kalyani Steels Limited's Growth Numbers

Kalyani Steels Limited has seen its earnings per share (EPS) increase by 10% a year over the past three years. In the last year, its revenue is up 2.0%.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. 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 Kalyani Steels Limited Been A Good Investment?

We think that the total shareholder return of 206%, over three years, would leave most Kalyani Steels Limited shareholders smiling. 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.

In Summary...

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, 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.

Whatever your view on compensation, you might want to check if insiders are buying or selling Kalyani Steels shares (free trial).

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.