What Can We Learn About Mayur Uniquoters' (NSE:MAYURUNIQ) CEO Compensation?

The CEO of Mayur Uniquoters Limited (NSE:MAYURUNIQ) is Suresh Poddar, and this article examines the executive's compensation against the backdrop of overall company performance. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Mayur Uniquoters.

View our latest analysis for Mayur Uniquoters

How Does Total Compensation For Suresh Poddar Compare With Other Companies In The Industry?

According to our data, Mayur Uniquoters Limited has a market capitalization of ₹20b, and paid its CEO total annual compensation worth ₹21m over the year to March 2020. That is, the compensation was roughly the same as last year. Notably, the salary which is ₹18.3m, represents most of the total compensation being paid.

On examining similar-sized companies in the industry with market capitalizations between ₹7.3b and ₹29b, we discovered that the median CEO total compensation of that group was ₹19m. So it looks like Mayur Uniquoters compensates Suresh Poddar in line with the median for the industry. What's more, Suresh Poddar holds ₹9.1b worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Talking in terms of the industry, salary represented approximately 89% of total compensation out of all the companies we analyzed, while other remuneration made up 11% of the pie. There isn't a significant difference between Mayur Uniquoters and the broader market, in terms of salary allocation in the overall compensation package. 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.

Mayur Uniquoters Limited's Growth

Mayur Uniquoters Limited has reduced its earnings per share by 6.0% a year over the last three years. Its revenue is down 11% over the previous year.

The decline in EPS is a bit concerning. And the fact that revenue is down year on year arguably paints an ugly picture. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.

Has Mayur Uniquoters Limited Been A Good Investment?

Since shareholders would have lost about 5.8% over three years, some Mayur Uniquoters Limited investors would surely be feeling negative emotions. So shareholders would probably want the company to be lessto generous with CEO compensation.

To Conclude...

As we noted earlier, Mayur Uniquoters pays its CEO in line with similar-sized companies belonging to the same industry. Meanwhile, EPS growth and shareholder returns have been in the red for the last three years. Considering overall performance, shareholders will likely hold off support for a raise until results improve.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. That's why we did some digging and identified 2 warning signs for Mayur Uniquoters 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.

If you decide to trade Mayur Uniquoters, use the lowest-cost* platform that is rated #1 Overall by Barron’s, Interactive Brokers. Trade stocks, options, futures, forex, bonds and funds on 135 markets, all from a single integrated account. Promoted

This article by Simply Wall St is general in nature. 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.
^*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.