It's Unlikely That Miller Industries, Inc.'s (NYSE:MLR) CEO Will See A Huge Pay Rise This Year

Key Insights

• Miller Industries' Annual General Meeting to take place on 23rd of May
• CEO William Miller's total compensation includes salary of US$795.6k
• Total compensation is 70% above industry average
• Miller Industries' EPS grew by 53% over the past three years while total shareholder return over the past three years was 104%

Our free stock report includes 1 warning sign investors should be aware of before investing in Miller Industries. Read for free now.

CEO William Miller has done a decent job of delivering relatively good performance at Miller Industries, Inc. (NYSE:MLR) recently. 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 23rd of May. However, some shareholders may still be hesitant of being overly generous with CEO compensation.

Check out our latest analysis for Miller Industries

Comparing Miller Industries, Inc.'s CEO Compensation With The Industry

At the time of writing, our data shows that Miller Industries, Inc. has a market capitalization of US$526m, and reported total annual CEO compensation of US$5.5m for the year to December 2024. We note that's an increase of 81% above last year. We think total compensation is more important but our data shows that the CEO salary is lower, at US$796k.

On examining similar-sized companies in the American Machinery industry with market capitalizations between US$200m and US$800m, we discovered that the median CEO total compensation of that group was US$3.2m. This suggests that William Miller is paid more than the median for the industry. Furthermore, William Miller directly owns US$1.8m worth of shares in the company.

Speaking on an industry level, nearly 15% of total compensation represents salary, while the remainder of 85% is other remuneration. Our data reveals that Miller Industries allocates salary more or less in line with the wider market. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

Miller Industries, Inc.'s Growth

Miller Industries, Inc.'s earnings per share (EPS) grew 53% per year over the last three years. In the last year, its revenue is down 7.2%.

This demonstrates that the company has been improving recently and is good news for the shareholders. While it would be good to see revenue growth, profits matter more in the end. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Miller Industries, Inc. Been A Good Investment?

Most shareholders would probably be pleased with Miller Industries, Inc. for providing a total return of 104% over three years. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.

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. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are already being paid higher than the industry.

CEO compensation is a crucial aspect to keep your eyes on but investors also need to keep their eyes open for other issues related to business performance. That's why we did some digging and identified 1 warning sign for Miller Industries that investors should think about before committing capital to this stock.

Switching gears from Miller Industries, 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.