Increases to CEO Compensation Might Be Put On Hold For Now at AMJ Land Holdings Limited (NSE:AMJLAND)

Key Insights

• AMJ Land Holdings will host its Annual General Meeting on 6th of September
• Salary of ₹12.8m is part of CEO Surendra Bansal's total remuneration
• The overall pay is 605% above the industry average
• Over the past three years, AMJ Land Holdings' EPS grew by 50% and over the past three years, the total shareholder return was 65%

Under the guidance of CEO Surendra Bansal, AMJ Land Holdings Limited (NSE:AMJLAND) 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 6th of September. However, some shareholders may still want to keep CEO compensation within reason.

See our latest analysis for AMJ Land Holdings

How Does Total Compensation For Surendra Bansal Compare With Other Companies In The Industry?

Our data indicates that AMJ Land Holdings Limited has a market capitalization of ₹2.3b, and total annual CEO compensation was reported as ₹13m for the year to March 2024. This means that the compensation hasn't changed much from last year. In particular, the salary of ₹12.8m, makes up a huge portion of the total compensation being paid to the CEO.

For comparison, other companies in the Indian Real Estate industry with market capitalizations below ₹17b, reported a median total CEO compensation of ₹1.8m. This suggests that Surendra Bansal is paid more than the median for the industry.

Component	2024	2023	Proportion (2024)
Salary	₹13m	₹13m	98%
Other	₹256k	₹225k	2%
Total Compensation	₹13m	₹13m	100%

Talking in terms of the industry, salary represents all of total compensation among the companies we analyzed, while other remuneration is, interestingly, completely ignored. Investors will find it interesting that AMJ Land Holdings pays the bulk of its rewards through a traditional salary, instead of non-salary benefits. 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 AMJ Land Holdings Limited's Growth Numbers

Over the past three years, AMJ Land Holdings Limited has seen its earnings per share (EPS) grow by 50% per year. In the last year, its revenue is up 92%.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. 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 AMJ Land Holdings Limited Been A Good Investment?

Most shareholders would probably be pleased with AMJ Land Holdings Limited for providing a total return of 65% 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.

In Summary...

AMJ Land Holdings pays its CEO a majority of compensation through a salary. 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 AMJ Land Holdings that investors should look into moving forward.

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.