Increases to Raubex Group Limited's (JSE:RBX) CEO Compensation Might Cool off for now

Key Insights

• Raubex Group to hold its Annual General Meeting on 25th of July
• Total pay for CEO Ntombi Msiza includes R6.22m salary
• The total compensation is 278% higher than the average for the industry
• Raubex Group's EPS grew by 25% over the past three years while total shareholder return over the past three years was 52%

We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.

Under the guidance of CEO Ntombi Msiza, Raubex Group Limited (JSE:RBX) has performed reasonably well 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 25th of July. However, some shareholders may still want to keep CEO compensation within reason.

See our latest analysis for Raubex Group

How Does Total Compensation For Ntombi Msiza Compare With Other Companies In The Industry?

According to our data, Raubex Group Limited has a market capitalization of R8.7b, and paid its CEO total annual compensation worth R19m over the year to February 2025. This was the same amount the CEO received in the prior year. While we always look at total compensation first, our analysis shows that the salary component is less, at R6.2m.

On comparing similar companies from the South Africa Construction industry with market caps ranging from R3.5b to R14b, we found that the median CEO total compensation was R5.1m. Hence, we can conclude that Ntombi Msiza is remunerated higher than the industry median. What's more, Ntombi Msiza holds R966k worth of shares in the company in their own name.

On an industry level, roughly 73% of total compensation represents salary and 27% is other remuneration. Raubex Group pays a modest slice of remuneration through salary, as compared to the broader industry. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.

A Look at Raubex Group Limited's Growth Numbers

Raubex Group Limited's earnings per share (EPS) grew 25% per year over the last three years. Its revenue is up 21% over the last year.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.

Has Raubex Group Limited Been A Good Investment?

We think that the total shareholder return of 52%, over three years, would leave most Raubex Group Limited shareholders smiling. 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 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, any decision to raise CEO pay might be met with some objections from the shareholders given that the CEO is already paid higher than the industry average.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. We've identified 1 warning sign for Raubex Group that investors should be aware of in a dynamic business environment.

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.

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.