Shareholders May Be More Conservative With Tien Wah Press Holdings Berhad's (KLSE:TIENWAH) CEO Compensation For Now
Key Insights
- Tien Wah Press Holdings Berhad's Annual General Meeting to take place on 27th of May
- Salary of RM1.62m is part of CEO George Lee's total remuneration
- Total compensation is 197% above industry average
- Tien Wah Press Holdings Berhad's EPS grew by 31% over the past three years while total shareholder return over the past three years was 0.4%
Performance at Tien Wah Press Holdings Berhad (KLSE:TIENWAH) has been reasonably good and CEO George Lee has done a decent job of steering the company in the right direction. 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 27th of May. However, some shareholders may still want to keep CEO compensation within reason.
View our latest analysis for Tien Wah Press Holdings Berhad
Comparing Tien Wah Press Holdings Berhad's CEO Compensation With The Industry
According to our data, Tien Wah Press Holdings Berhad has a market capitalization of RM123m, and paid its CEO total annual compensation worth RM2.0m over the year to December 2024. Notably, that's an increase of 14% over the year before. In particular, the salary of RM1.62m, makes up a huge portion of the total compensation being paid to the CEO.
In comparison with other companies in the Malaysia Commercial Services industry with market capitalizations under RM859m, the reported median total CEO compensation was RM675k. Hence, we can conclude that George Lee is remunerated higher than the industry median.
| Component | 2024 | 2023 | Proportion (2024) |
| Salary | RM1.6m | RM1.6m | 81% |
| Other | RM385k | RM157k | 19% |
| Total Compensation | RM2.0m | RM1.8m | 100% |
Talking in terms of the industry, salary represented approximately 83% of total compensation out of all the companies we analyzed, while other remuneration made up 17% of the pie. Although there is a difference in how total compensation is set, Tien Wah Press Holdings Berhad more or less reflects the market in terms of setting the salary. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.
Tien Wah Press Holdings Berhad's Growth
Over the past three years, Tien Wah Press Holdings Berhad has seen its earnings per share (EPS) grow by 31% per year. Its revenue is up 2.4% over the last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Tien Wah Press Holdings Berhad Been A Good Investment?
Tien Wah Press Holdings Berhad has not done too badly by shareholders, with a total return of 0.4%, over three years. It would be nice to see that metric improve in the future. 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...
Given that the company's overall performance has been reasonable, the CEO remuneration policy might not be shareholders' central point of focus in the upcoming AGM. However, any decision to raise CEO pay might be met with some objections from the shareholders given that the CEO is already paid higher than the industry average.
While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. We did our research and spotted 3 warning signs for Tien Wah Press Holdings Berhad that investors should look into moving forward.
Switching gears from Tien Wah Press Holdings Berhad, 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.