Some Shareholders May Object To A Pay Rise For Cyfrowy Polsat S.A.'s (WSE:CPS) CEO This Year

Key Insights

• Cyfrowy Polsat will host its Annual General Meeting on 20th of June
• CEO Miroslaw Blaszczyk's total compensation includes salary of zł1.00m
• The total compensation is 54% less than the average for the industry
• Cyfrowy Polsat's three-year loss to shareholders was 54% while its EPS was down 34% over the past three years

The underwhelming performance at Cyfrowy Polsat S.A. (WSE:CPS) recently has probably not pleased shareholders. At the upcoming AGM on 20th of June, shareholders may have the opportunity to influence management to turn the performance around by voting on resolutions such as executive remuneration and other matters. The data we gathered below shows that CEO compensation looks acceptable for now.

View our latest analysis for Cyfrowy Polsat

Comparing Cyfrowy Polsat S.A.'s CEO Compensation With The Industry

According to our data, Cyfrowy Polsat S.A. has a market capitalization of zł7.7b, and paid its CEO total annual compensation worth zł3.5m over the year to December 2023. This was the same as last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at zł1.0m.

On examining similar-sized companies in the Poland Media industry with market capitalizations between zł4.0b and zł13b, we discovered that the median CEO total compensation of that group was zł7.7m. That is to say, Miroslaw Blaszczyk is paid under the industry median.

Component	2023	2022	Proportion (2023)
Salary	zł1.0m	zł1.0m	29%
Other	zł2.5m	zł2.5m	71%
Total Compensation	zł3.5m	zł3.5m	100%

Talking in terms of the broader industry, salary and other compensation roughly make up 50% each, of the total compensation. It's interesting to note that Cyfrowy Polsat allocates a smaller portion of compensation to salary in comparison to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

Cyfrowy Polsat S.A.'s Growth

Over the last three years, Cyfrowy Polsat S.A. has shrunk its earnings per share by 34% per year. Its revenue is up 5.4% over the last year.

Few shareholders would be pleased to read that EPS have declined. The modest increase in revenue in the last year isn't enough to make us overlook the disappointing change in EPS. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.

Has Cyfrowy Polsat S.A. Been A Good Investment?

With a total shareholder return of -54% over three years, Cyfrowy Polsat S.A. shareholders would by and large be disappointed. So shareholders would probably want the company to be less generous with CEO compensation.

To Conclude...

Along with the business performing poorly, shareholders have suffered with poor share price returns on their investments, suggesting that there's little to no chance of them being in favor of a CEO pay raise. At the upcoming AGM, the board will get the chance to explain the steps it plans to take to improve business performance.

CEO compensation is an important area to keep your eyes on, but we've also need to pay attention to other attributes of the company. In our study, we found 3 warning signs for Cyfrowy Polsat you should be aware of, and 1 of them is a bit unpleasant.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.