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Does Orient Green Power Company Limited's (NSE:GREENPOWER) CEO Pay Compare Well With Peers?
In 2013 Venkatachalam Ayyar was appointed CEO of Orient Green Power Company Limited (NSE:GREENPOWER). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Next, we'll consider growth that the business demonstrates. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for Orient Green Power
How Does Venkatachalam Ayyar's Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Orient Green Power Company Limited has a market cap of ₹4.8b, and is paying total annual CEO compensation of ₹7m. That's less than last year. We examined a group of similar sized companies, with market capitalizations of below ₹14.8b. The median CEO compensation in that group is ₹2m.
Thus we can conclude that Venkatachalam Ayyar receives more in total compensation than the median of a group of companies in the same market, and of similar size to Orient Green Power Company Limited. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.
Is Orient Green Power Company Limited Growing?
Over the last three years Orient Green Power Company Limited has grown its earnings per share (EPS) by an average of 74% per year. Its revenue is down -21% over last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. Revenue growth is a real positive for growth, but ultimately profits are more important.
We don't have analyst forecasts, but you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Orient Green Power Company Limited Been A Good Investment?
Since shareholders would have lost about 46% over three years, some Orient Green Power Company Limited shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
We the total CEO remuneration paid by Orient Green Power Company Limited, and compared it to remuneration at a group of similar sized companies. Our data suggests that it pays above the median CEO pay within that group.
However we must not forget that the EPS growth has been very strong over three years. On the other hand returns to investors over the same period have probably disappointed many. Considering the per share profit growth, but keeping in mind the weak returns, we'd need more time to form a view on CEO compensation. Shareholders may want to check for free if Orient Green Power Company Limited insiders are buying or selling shares.
Or you might prefer this data-rich interactive visualization of historic revenue and earnings.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
Simply Wall St analyst Simply Wall St and Simply Wall St have no position in any of the companies mentioned. This article 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.
About NSEI:GREENPOWER
Orient Green Power
An independent renewable energy company, owns, develops, and operates a portfolio of wind energy projects in India and Europe.
Adequate balance sheet low.