International Seaways, Inc.'s (NYSE:INSW) CEO Looks Due For A Compensation Raise

Key Insights

• International Seaways' Annual General Meeting to take place on 12th of June
• Salary of US$749.0k is part of CEO Lois Zabrocky's total remuneration
• Total compensation is 31% below industry average
• International Seaways' total shareholder return over the past three years was 316% while its EPS grew by 101% over the past three years

The solid performance at International Seaways, Inc. (NYSE:INSW) has been impressive and shareholders will probably be pleased to know that CEO Lois Zabrocky has delivered. This would be kept in mind at the upcoming AGM on 12th of June which will be a chance for them to hear the board review the financial results, discuss future company strategy and vote on resolutions such as executive remuneration and other matters. We think the CEO has done a pretty decent job and probably deserves a well-earned pay rise.

Check out our latest analysis for International Seaways

Comparing International Seaways, Inc.'s CEO Compensation With The Industry

Our data indicates that International Seaways, Inc. has a market capitalization of US$3.1b, and total annual CEO compensation was reported as US$4.3m for the year to December 2023. We note that's a decrease of 21% compared to last year. We think total compensation is more important but our data shows that the CEO salary is lower, at US$749k.

In comparison with other companies in the American Oil and Gas industry with market capitalizations ranging from US$2.0b to US$6.4b, the reported median CEO total compensation was US$6.2m. In other words, International Seaways pays its CEO lower than the industry median. What's more, Lois Zabrocky holds US$10m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Component	2023	2022	Proportion (2023)
Salary	US$749k	US$696k	18%
Other	US$3.5m	US$4.7m	82%
Total Compensation	US$4.3m	US$5.4m	100%

On an industry level, around 14% of total compensation represents salary and 86% is other remuneration. International Seaways pays out 18% of remuneration in the form of a salary, significantly higher than the industry average. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.

A Look at International Seaways, Inc.'s Growth Numbers

International Seaways, Inc.'s earnings per share (EPS) grew 101% per year over the last three years. In the last year, its revenue changed by just 0.8%.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. 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 International Seaways, Inc. Been A Good Investment?

Most shareholders would probably be pleased with International Seaways, Inc. for providing a total return of 316% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

In Summary...

The company's solid performance might have made most shareholders happy, possibly making CEO remuneration the least of the matters to be discussed in 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. That's why we did our research, and identified 3 warning signs for International Seaways (of which 1 makes us a bit uncomfortable!) that you should know about in order to have a holistic understanding of the stock.

Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.

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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.