Shareholders Will Most Likely Find Qliro AB (publ)'s (STO:QLIRO) CEO Compensation Acceptable

Key Insights

• Qliro's Annual General Meeting to take place on 28th of May
• Salary of kr3.14m is part of CEO Christoffer Rutgersson's total remuneration
• The overall pay is comparable to the industry average
• Over the past three years, Qliro's EPS grew by 51% and over the past three years, the total shareholder return was 9.0%

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Performance at Qliro AB (publ) (STO:QLIRO) has been reasonably good and CEO Christoffer Rutgersson 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 28th of May. Based on our analysis of the data below, we think CEO compensation seems reasonable for now.

Check out our latest analysis for Qliro

Comparing Qliro AB (publ)'s CEO Compensation With The Industry

Our data indicates that Qliro AB (publ) has a market capitalization of kr421m, and total annual CEO compensation was reported as kr5.1m for the year to December 2024. We note that's an increase of 41% above last year. We note that the salary portion, which stands at kr3.14m constitutes the majority of total compensation received by the CEO.

For comparison, other companies in the Sweden Consumer Finance industry with market capitalizations below kr1.9b, reported a median total CEO compensation of kr5.1m. This suggests that Qliro remunerates its CEO largely in line with the industry average. Furthermore, Christoffer Rutgersson directly owns kr16m worth of shares in the company, implying that they are deeply invested in the company's success.

On an industry level, around 56% of total compensation represents salary and 44% is other remuneration. It's interesting to note that Qliro pays out a greater portion of remuneration through salary, compared to the industry. 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 Qliro AB (publ)'s Growth Numbers

Qliro AB (publ)'s earnings per share (EPS) grew 51% per year over the last three years. In the last year, its revenue is up 3.3%.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Qliro AB (publ) Been A Good Investment?

Qliro AB (publ) has generated a total shareholder return of 9.0% over three years, so most shareholders wouldn't be too disappointed. Although, there's always room to improve. As a result, investors in the company might be reluctant about agreeing to increase CEO pay in the future, before seeing an improvement on their returns.

To Conclude...

The company's decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, we still think that any proposed increase in CEO compensation will be examined closely to make sure the compensation is appropriate and linked to performance.

CEO compensation can have a massive impact on performance, but it's just one element. That's why we did some digging and identified 1 warning sign for Qliro that you should be aware of before investing.

Important note: Qliro is an exciting stock, but we understand investors may be looking for an unencumbered balance sheet and blockbuster returns. You might find something better in this list of interesting companies with high ROE 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.