We Think Infoline Tec Group Berhad's (KLSE:INFOTEC) CEO Compensation Looks Fair

Key Insights

• Infoline Tec Group Berhad's Annual General Meeting to take place on 27th of August
• Salary of RM571.0k is part of CEO Wei Choo's total remuneration
• Total compensation is similar to the industry average
• Infoline Tec Group Berhad's total shareholder return over the past three years was 41% while its EPS grew by 27% over the past three years

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It would be hard to discount the role that CEO Wei Choo has played in delivering the impressive results at Infoline Tec Group Berhad (KLSE:INFOTEC) recently. The pleasing results would be something shareholders would keep in mind at the upcoming AGM on 27th of August. 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.

Check out our latest analysis for Infoline Tec Group Berhad

Comparing Infoline Tec Group Berhad's CEO Compensation With The Industry

At the time of writing, our data shows that Infoline Tec Group Berhad has a market capitalization of RM160m, and reported total annual CEO compensation of RM589k for the year to March 2025. We note that's an increase of 22% above last year. We note that the salary portion, which stands at RM571.0k constitutes the majority of total compensation received by the CEO.

For comparison, other companies in the Malaysian IT industry with market capitalizations below RM845m, reported a median total CEO compensation of RM506k. So it looks like Infoline Tec Group Berhad compensates Wei Choo in line with the median for the industry. What's more, Wei Choo holds RM68m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Speaking on an industry level, nearly 85% of total compensation represents salary, while the remainder of 15% is other remuneration. Infoline Tec Group Berhad has gone down a largely traditional route, paying Wei Choo a high salary, giving it preference over non-salary benefits. 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 Infoline Tec Group Berhad's Growth Numbers

Infoline Tec Group Berhad's earnings per share (EPS) grew 27% per year over the last three years. Its revenue is up 40% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. 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 Infoline Tec Group Berhad Been A Good Investment?

Boasting a total shareholder return of 41% over three years, Infoline Tec Group Berhad has done well by shareholders. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.

In Summary...

Wei receives almost all of their compensation through a salary. The company's solid performance might have made most shareholders happy, possibly making CEO remuneration the least of the matters to be discussed 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.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. We did our research and spotted 4 warning signs for Infoline Tec Group Berhad that investors should look into moving forward.

Switching gears from Infoline Tec Group 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.