Shareholders Will Probably Hold Off On Increasing Bowler Metcalf Limited's (JSE:BCF) CEO Compensation For The Time Being

Key Insights

• Bowler Metcalf's Annual General Meeting to take place on 4th of November
• Salary of R4.31m is part of CEO Friedel Sass's total remuneration
• The total compensation is 208% higher than the average for the industry
• Bowler Metcalf's EPS grew by 15% over the past three years while total shareholder return over the past three years was 68%

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Under the guidance of CEO Friedel Sass, Bowler Metcalf Limited (JSE:BCF) has performed reasonably well recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 4th of November. However, some shareholders will still be cautious of paying the CEO excessively.

View our latest analysis for Bowler Metcalf

How Does Total Compensation For Friedel Sass Compare With Other Companies In The Industry?

At the time of writing, our data shows that Bowler Metcalf Limited has a market capitalization of R879m, and reported total annual CEO compensation of R5.4m for the year to June 2025. That's a notable increase of 13% on last year. In particular, the salary of R4.31m, makes up a huge portion of the total compensation being paid to the CEO.

On comparing similar-sized companies in the South Africa Chemicals industry with market capitalizations below R3.4b, we found that the median total CEO compensation was R1.7m. This suggests that Friedel Sass is paid more than the median for the industry. Moreover, Friedel Sass also holds R252m worth of Bowler Metcalf stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Speaking on an industry level, nearly 64% of total compensation represents salary, while the remainder of 36% is other remuneration. It's interesting to note that Bowler Metcalf 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.

Bowler Metcalf Limited's Growth

Over the past three years, Bowler Metcalf Limited has seen its earnings per share (EPS) grow by 15% per year. Its revenue is up 9.9% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's also good to see modest revenue growth, suggesting the underlying business is healthy. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Bowler Metcalf Limited Been A Good Investment?

We think that the total shareholder return of 68%, over three years, would leave most Bowler Metcalf Limited shareholders smiling. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its 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.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. That's why we did some digging and identified 1 warning sign for Bowler Metcalf that investors should think about before committing capital to this stock.

Important note: Bowler Metcalf 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.