Shareholders Will Probably Hold Off On Increasing Delhivery Limited's (NSE:DELHIVERY) CEO Compensation For The Time Being

Key Insights

• Delhivery's Annual General Meeting to take place on 3rd of September
• Salary of ₹15.0m is part of CEO Sahil Barua's total remuneration
• Total compensation is 725% above industry average
• Over the past three years, Delhivery's EPS grew by 103% and over the past three years, the total loss to shareholders 16%

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The underwhelming share price performance of Delhivery Limited (NSE:DELHIVERY) in the past three years would have disappointed many shareholders. However, what is unusual is that EPS growth has been positive, suggesting that the share price has diverged from fundamentals. Shareholders may want to question the board on the future direction of the company at the upcoming AGM on 3rd of September. They could also influence management through voting on resolutions such as executive remuneration. We think shareholders might be reluctant to increase compensation for the CEO at the moment, according to our analysis below.

See our latest analysis for Delhivery

How Does Total Compensation For Sahil Barua Compare With Other Companies In The Industry?

Our data indicates that Delhivery Limited has a market capitalization of ₹357b, and total annual CEO compensation was reported as ₹300m for the year to March 2025. Notably, that's an increase of 73% over the year before. We think total compensation is more important but our data shows that the CEO salary is lower, at ₹15m.

On comparing similar companies from the Indian Logistics industry with market caps ranging from ₹175b to ₹561b, we found that the median CEO total compensation was ₹36m. Accordingly, our analysis reveals that Delhivery Limited pays Sahil Barua north of the industry median. Furthermore, Sahil Barua directly owns ₹6.2b worth of shares in the company, implying that they are deeply invested in the company's success.

Talking in terms of the industry, salary represented approximately 93% of total compensation out of all the companies we analyzed, while other remuneration made up 7% of the pie. Investors may find it interesting that Delhivery paid a marginal salary to Sahil Barua, over the past year, focusing on non-salary compensation instead. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

Delhivery Limited's Growth

Delhivery Limited's earnings per share (EPS) grew 103% per year over the last three years. In the last year, its revenue is up 8.0%.

Shareholders would be glad to know that the company has improved itself over the last few years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.

Has Delhivery Limited Been A Good Investment?

With a three year total loss of 16% for the shareholders, Delhivery Limited would certainly have some dissatisfied shareholders. So shareholders would probably want the company to be less generous with CEO compensation.

To Conclude...

Delhivery prefers rewarding its CEO through non-salary benefits. The fact that shareholders are sitting on a loss on the value of their shares in the past few years is certainly disconcerting. A huge lag in share price growth when earnings have grown may indicate there could be other issues that are affecting the company at the moment that the market is focused on. Shareholders would probably be keen to find out what are the other factors could be weighing down the stock. The upcoming AGM will be a chance for shareholders to question the board on key matters, such as CEO remuneration or any other issues they might have and revisit their investment thesis with regards to the company.

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

Switching gears from Delhivery, 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.