It Looks Like Dish TV India Limited's (NSE:DISHTV) CEO May Expect Their Salary To Be Put Under The Microscope
The results at Dish TV India Limited (NSE:DISHTV) have been quite disappointing recently and CEO Anil Dua bears some responsibility for this. Shareholders will be interested in what the board will have to say about turning performance around at the next AGM on 26 September 2022. It would also be an opportunity for shareholders to influence management through voting on company resolutions such as executive remuneration, which could impact the firm significantly. The data we present below explains why we think CEO compensation is not consistent with recent performance.
View our latest analysis for Dish TV India
Comparing Dish TV India Limited's CEO Compensation With The Industry
At the time of writing, our data shows that Dish TV India Limited has a market capitalization of ₹31b, and reported total annual CEO compensation of ₹45m for the year to March 2022. That's mostly flat as compared to the prior year's compensation. In particular, the salary of ₹40.9m, makes up a huge portion of the total compensation being paid to the CEO.
In comparison with other companies in the industry with market capitalizations ranging from ₹16b to ₹64b, the reported median CEO total compensation was ₹39m. From this we gather that Anil Dua is paid around the median for CEOs in the industry.
Component | 2022 | 2021 | Proportion (2022) |
Salary | ₹41m | ₹35m | 91% |
Other | ₹3.9m | ₹8.7m | 9% |
Total Compensation | ₹45m | ₹44m | 100% |
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 0.2491% of the pie. Dish TV India is largely mirroring the industry average when it comes to the share a salary enjoys in overall compensation. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.
A Look at Dish TV India Limited's Growth Numbers
Over the last three years, Dish TV India Limited has shrunk its earnings per share by 4.8% per year. It saw its revenue drop 15% over the last year.
The decline in EPS is a bit concerning. This is compounded by the fact revenue is actually down on last year. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..
Has Dish TV India Limited Been A Good Investment?
Given the total shareholder loss of 18% over three years, many shareholders in Dish TV India Limited are probably rather dissatisfied, to say the least. This suggests it would be unwise for the company to pay the CEO too generously.
In Summary...
Not only have shareholders not seen a favorable return on their investment, but the business hasn't performed well either. Few shareholders would be willing to award the CEO with a pay raise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.
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 1 warning sign for Dish TV India that you should be aware of before investing.
Switching gears from Dish TV India, 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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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.
About NSEI:DISHTV
Dish TV India
Provides direct to home (DTH) and teleport services in India.
Moderate growth potential and slightly overvalued.