We Think Some Shareholders May Hesitate To Increase Nesco Limited's (NSE:NESCO) CEO Compensation

Key Insights

• Nesco's Annual General Meeting to take place on 30th of July
• CEO Krishna Patel's total compensation includes salary of ₹14.4m
• Total compensation is 850% above industry average
• Nesco's total shareholder return over the past three years was 128% while its EPS grew by 26% over the past three years

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CEO Krishna Patel has done a decent job of delivering relatively good performance at Nesco Limited (NSE:NESCO) recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 30th of July. However, some shareholders will still be cautious of paying the CEO excessively.

View our latest analysis for Nesco

How Does Total Compensation For Krishna Patel Compare With Other Companies In The Industry?

According to our data, Nesco Limited has a market capitalization of ₹90b, and paid its CEO total annual compensation worth ₹238m over the year to March 2025. That's just a smallish increase of 7.0% on last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at ₹14m.

On comparing similar companies from the Indian Real Estate industry with market caps ranging from ₹35b to ₹138b, we found that the median CEO total compensation was ₹25m. This suggests that Krishna Patel is paid more than the median for the industry. What's more, Krishna Patel holds ₹7.2b worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

On an industry level, it's fascinating to see that all of total compensation represents salary and non-salary benefits do not factor into the equation at all. In Nesco's case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

A Look at Nesco Limited's Growth Numbers

Over the past three years, Nesco Limited has seen its earnings per share (EPS) grow by 26% per year. Its revenue is up 7.6% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Nesco Limited Been A Good Investment?

Most shareholders would probably be pleased with Nesco Limited for providing a total return of 128% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar 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. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are already being paid higher than the industry.

We can learn a lot about a company by studying its CEO compensation trends, along with looking at other aspects of the business. In our study, we found 2 warning signs for Nesco you should be aware of, and 1 of them is potentially serious.

Switching gears from Nesco, 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.