The Phoenix Mills Limited's (NSE:PHOENIXLTD) CEO Looks Like They Deserve Their Pay Packet

Key Insights

• Phoenix Mills to hold its Annual General Meeting on 13th of September
• CEO Shishir Shrivastava's total compensation includes salary of ₹32.4m
• The overall pay is comparable to the industry average
• Phoenix Mills' total shareholder return over the past three years was 316% while its EPS grew by 147% over the past three years

It would be hard to discount the role that CEO Shishir Shrivastava has played in delivering the impressive results at The Phoenix Mills Limited (NSE:PHOENIXLTD) recently. Coming up to the next AGM on 13th of September, shareholders would be keeping this in mind. The focus will probably be on the future company strategy as shareholders cast their votes on resolutions such as executive remuneration and other matters. We think the CEO has done a pretty decent job and we discuss why the CEO compensation is appropriate.

View our latest analysis for Phoenix Mills

How Does Total Compensation For Shishir Shrivastava Compare With Other Companies In The Industry?

At the time of writing, our data shows that The Phoenix Mills Limited has a market capitalization of ₹646b, and reported total annual CEO compensation of ₹82m for the year to March 2024. Notably, that's a decrease of 16% over the year before. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at ₹32m.

On comparing similar companies from the Indian Real Estate industry with market caps ranging from ₹336b to ₹1.0t, we found that the median CEO total compensation was ₹88m. This suggests that Phoenix Mills remunerates its CEO largely in line with the industry average.

Component	2024	2023	Proportion (2024)
Salary	₹32m	₹31m	40%
Other	₹50m	₹67m	60%
Total Compensation	₹82m	₹98m	100%

On an industry level, roughly 99% of total compensation represents salary and 0.5074122% is other remuneration. In Phoenix Mills' case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

The Phoenix Mills Limited's Growth

The Phoenix Mills Limited's earnings per share (EPS) grew 147% per year over the last three years. It achieved revenue growth of 42% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. The combination of strong revenue growth with medium-term EPS improvement certainly points to the kind of growth we like to see. 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 The Phoenix Mills Limited Been A Good Investment?

Most shareholders would probably be pleased with The Phoenix Mills Limited for providing a total return of 316% over three years. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.

To Conclude...

Given the company's decent performance, the CEO remuneration policy might not be shareholders' central point of focus in the AGM. However, investors will get the chance to engage on key strategic initiatives and future growth opportunities for the company and set their longer-term expectations.

CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Phoenix Mills (free visualization of insider trades).

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.