Holland Colours N.V.'s (AMS:HOLCO) CEO Might Not Expect Shareholders To Be So Generous This Year

Key Insights

• Holland Colours to hold its Annual General Meeting on 10th of July
• Salary of €333.0k is part of CEO Coen Vinke's total remuneration
• The overall pay is 114% above the industry average
• Over the past three years, Holland Colours' EPS fell by 17% and over the past three years, the total loss to shareholders 21%

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Shareholders will probably not be too impressed with the underwhelming results at Holland Colours N.V. (AMS:HOLCO) recently. Shareholders will be interested in what the board will have to say about turning performance around at the next AGM on 10th of July. This will be also be a chance where they can challenge the board on company direction and vote on resolutions such as executive remuneration. We present the case why we think CEO compensation is out of sync with company performance.

Check out our latest analysis for Holland Colours

How Does Total Compensation For Coen Vinke Compare With Other Companies In The Industry?

According to our data, Holland Colours N.V. has a market capitalization of €97m, and paid its CEO total annual compensation worth €529k over the year to March 2025. That's a notable increase of 21% on last year. In particular, the salary of €333.0k, makes up a huge portion of the total compensation being paid to the CEO.

On comparing similar-sized companies in the the Netherlands Chemicals industry with market capitalizations below €169m, we found that the median total CEO compensation was €247k. Accordingly, our analysis reveals that Holland Colours N.V. pays Coen Vinke north of the industry median.

On an industry level, roughly 32% of total compensation represents salary and 68% is other remuneration. Holland Colours is paying a higher share of its remuneration through a salary in comparison to the overall industry. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

Holland Colours N.V.'s Growth

Over the last three years, Holland Colours N.V. has shrunk its earnings per share by 17% per year. Its revenue is up 8.8% over the last year.

Few shareholders would be pleased to read that EPS have declined. And the modest revenue growth over 12 months isn't much comfort against the reduced EPS. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. 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 Holland Colours N.V. Been A Good Investment?

Since shareholders would have lost about 21% over three years, some Holland Colours N.V. investors would surely be feeling negative emotions. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Not only have shareholders not seen a favorable return on their investment, but the business hasn't performed well either. Few shareholders would be willing to award the CEO with a pay raise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.

CEO compensation can have a massive impact on performance, but it's just one element. That's why we did some digging and identified 2 warning signs for Holland Colours that you should be aware of before investing.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

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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.