Some Shareholders May find It Hard To Increase Tanla Platforms Limited's (NSE:TANLA) CEO Compensation This Year

Key Insights

• Tanla Platforms will host its Annual General Meeting on 25th of July
• CEO Dasari Uday Reddy's total compensation includes salary of ₹25.3m
• Total compensation is similar to the industry average
• Tanla Platforms' EPS grew by 17% over the past three years while total shareholder return over the past three years was 4.1%

Under the guidance of CEO Dasari Uday Reddy, Tanla Platforms Limited (NSE:TANLA) has performed reasonably well recently. This is something shareholders will keep in mind as they cast their votes on company resolutions such as executive remuneration in the upcoming AGM on 25th of July. Based on our analysis of the data below, we think CEO compensation seems reasonable for now.

View our latest analysis for Tanla Platforms

How Does Total Compensation For Dasari Uday Reddy Compare With Other Companies In The Industry?

At the time of writing, our data shows that Tanla Platforms Limited has a market capitalization of ₹134b, and reported total annual CEO compensation of ₹27m for the year to March 2024. This was the same amount the CEO received in the prior year. Notably, the salary which is ₹25.3m, represents most of the total compensation being paid.

In comparison with other companies in the Indian Software industry with market capitalizations ranging from ₹84b to ₹268b, the reported median CEO total compensation was ₹28m. From this we gather that Dasari Uday Reddy is paid around the median for CEOs in the industry. Furthermore, Dasari Uday Reddy directly owns ₹50b worth of shares in the company, implying that they are deeply invested in the company's success.

Component	2024	2023	Proportion (2024)
Salary	₹25m	₹25m	95%
Other	₹1.3m	₹1.3m	5%
Total Compensation	₹27m	₹27m	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. Tanla Platforms pays a high salary, concentrating more on this aspect of compensation in comparison to non-salary pay. 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 Tanla Platforms Limited's Growth Numbers

Tanla Platforms Limited's earnings per share (EPS) grew 17% per year over the last three years. In the last year, its revenue is up 17%.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. 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 Tanla Platforms Limited Been A Good Investment?

Tanla Platforms Limited has generated a total shareholder return of 4.1% over three years, so most shareholders wouldn't be too disappointed. Although, there's always room to improve. In light of that, investors might probably want to see an improvement on their returns before they feel generous about increasing the CEO remuneration.

In Summary...

Dasari Uday receives almost all of their compensation through a salary. Seeing that the company has put up a decent performance, only a few shareholders, if any at all, might have questions about the CEO pay in the upcoming AGM. However, we still think that any proposed increase in CEO compensation will be examined closely to make sure the compensation is appropriate and linked to performance.

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 Tanla Platforms that investors should think about before committing capital to this stock.

Switching gears from Tanla Platforms, 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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