We Discuss Whether Bank Polska Kasa Opieki S.A.'s (WSE:PEO) CEO Is Due For A Pay Rise

Key Insights

• Bank Polska Kasa Opieki to hold its Annual General Meeting on 16th of May
• Total pay for CEO Leszek Skiba includes zł1.25m salary
• Total compensation is 82% below industry average
• Bank Polska Kasa Opieki's EPS grew by 79% over the past three years while total shareholder return over the past three years was 159%

Shareholders will be pleased by the impressive results for Bank Polska Kasa Opieki S.A. (WSE:PEO) recently and CEO Leszek Skiba has played a key role. At the upcoming AGM on 16th of May, they will get a chance to hear the board review the company results, discuss future strategy and cast their vote on any resolutions such as executive remuneration. We think the CEO has done a pretty decent job and probably deserves a well-earned pay rise.

See our latest analysis for Bank Polska Kasa Opieki

How Does Total Compensation For Leszek Skiba Compare With Other Companies In The Industry?

Our data indicates that Bank Polska Kasa Opieki S.A. has a market capitalization of zł45b, and total annual CEO compensation was reported as zł2.1m for the year to December 2023. That's a fairly small increase of 8.0% over the previous year. In particular, the salary of zł1.25m, makes up a huge portion of the total compensation being paid to the CEO.

In comparison with other companies in the Polish Banks industry with market capitalizations over zł32b, the reported median total CEO compensation was zł11m. In other words, Bank Polska Kasa Opieki pays its CEO lower than the industry median.

Component	2023	2022	Proportion (2023)
Salary	zł1.3m	zł1.1m	61%
Other	zł799k	zł781k	39%
Total Compensation	zł2.1m	zł1.9m	100%

Talking in terms of the industry, salary represented approximately 63% of total compensation out of all the companies we analyzed, while other remuneration made up 37% of the pie. Although there is a difference in how total compensation is set, Bank Polska Kasa Opieki more or less reflects the market in terms of setting the salary. 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.

Bank Polska Kasa Opieki S.A.'s Growth

Bank Polska Kasa Opieki S.A. has seen its earnings per share (EPS) increase by 79% a year over the past three years. In the last year, its revenue is up 49%.

Shareholders would be glad to know that the company has improved itself over the last few years. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Bank Polska Kasa Opieki S.A. Been A Good Investment?

Boasting a total shareholder return of 159% over three years, Bank Polska Kasa Opieki S.A. has done well by shareholders. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

To Conclude...

Seeing that the company has put in a relatively good performance, the CEO remuneration policy may not be the focus at the AGM. In fact, strategic decisions that could impact the future of the business might be a far more interesting topic for investors as it would help them set their longer-term expectations.

It is always advisable to analyse CEO pay, along with performing a thorough analysis of the company's key performance areas. We did our research and identified 2 warning signs (and 1 which is a bit unpleasant) in Bank Polska Kasa Opieki we think you should know about.

Switching gears from Bank Polska Kasa Opieki, 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.