eMedia Holdings Limited's (JSE:EMH) CEO Might Not Expect Shareholders To Be So Generous This Year
Key Insights
- eMedia Holdings' Annual General Meeting to take place on 29th of August
- CEO Mahomed Khalik Sherrif's total compensation includes salary of R7.43m
- Total compensation is 389% above industry average
- Over the past three years, eMedia Holdings' EPS fell by 9.8% and over the past three years, the total loss to shareholders 6.0%
Shareholders will probably not be too impressed with the underwhelming results at eMedia Holdings Limited (JSE:EMH) recently. At the upcoming AGM on 29th of August, shareholders can hear from the board including their plans for turning around performance. This will be also be a chance where they can challenge the board on company direction and vote on resolutions such as executive remuneration. From our analysis, we think CEO compensation may need a review in light of the recent performance.
View our latest analysis for eMedia Holdings
How Does Total Compensation For Mahomed Khalik Sherrif Compare With Other Companies In The Industry?
According to our data, eMedia Holdings Limited has a market capitalization of R1.1b, and paid its CEO total annual compensation worth R20m over the year to March 2025. This means that the compensation hasn't changed much from last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at R7.4m.
On comparing similar-sized companies in the South Africa Media industry with market capitalizations below R3.5b, we found that the median total CEO compensation was R4.0m. This suggests that Mahomed Khalik Sherrif is paid more than the median for the industry. What's more, Mahomed Khalik Sherrif holds R15m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.
| Component | 2025 | 2024 | Proportion (2025) |
| Salary | R7.4m | R7.0m | 38% |
| Other | R12m | R13m | 62% |
| Total Compensation | R20m | R20m | 100% |
On an industry level, roughly 74% of total compensation represents salary and 26% is other remuneration. eMedia Holdings sets aside a smaller share of compensation for salary, in comparison to the overall 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 eMedia Holdings Limited's Growth Numbers
eMedia Holdings Limited has reduced its earnings per share by 9.8% a year over the last three years. In the last year, its revenue is up 3.2%.
The decline in EPS is a bit concerning. The fairly low revenue growth fails to impress given that the EPS is down. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has eMedia Holdings Limited Been A Good Investment?
With a three year total loss of 6.0% for the shareholders, eMedia Holdings Limited would certainly have some dissatisfied shareholders. This suggests it would be unwise for the company to pay the CEO too generously.
In Summary...
Not only have shareholders not seen a favorable return on their investment, but the business hasn't performed well either. Few shareholders would be willing to award the CEO with a pay raise. At the upcoming AGM, management will get a chance to explain how they plan to get the business back on track and address the concerns from investors.
While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. That's why we did some digging and identified 3 warning signs for eMedia Holdings that investors should think about before committing capital to this stock.
Switching gears from eMedia Holdings, 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.
Valuation is complex, but we're here to simplify it.
Discover if eMedia Holdings might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Access Free AnalysisHave 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.