Most Shareholders Will Probably Find That The CEO Compensation For Jardine Cycle & Carriage Limited (SGX:C07) Is Reasonable

In this article:

Key Insights

  • Jardine Cycle & Carriage will host its Annual General Meeting on 29th of April

  • CEO Ben Birks' total compensation includes salary of US$581.2k

  • The total compensation is similar to the average for the industry

  • Jardine Cycle & Carriage's total shareholder return over the past three years was 31% while its EPS grew by 31% over the past three years

Under the guidance of CEO Ben Birks, Jardine Cycle & Carriage Limited (SGX:C07) 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 29th of April. Based on our analysis of the data below, we think CEO compensation seems reasonable for now.

Check out our latest analysis for Jardine Cycle & Carriage

Comparing Jardine Cycle & Carriage Limited's CEO Compensation With The Industry

According to our data, Jardine Cycle & Carriage Limited has a market capitalization of S$11b, and paid its CEO total annual compensation worth US$3.2m over the year to December 2023. That's mostly flat as compared to the prior year's compensation. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$581k.

For comparison, other companies in the Singapore Industrials industry with market capitalizations ranging between S$5.5b and S$16b had a median total CEO compensation of US$3.2m. From this we gather that Ben Birks is paid around the median for CEOs in the industry. Furthermore, Ben Birks directly owns S$1.5m worth of shares in the company.

Component

2023

2022

Proportion (2023)

Salary

US$581k

US$544k

18%

Other

US$2.6m

US$2.6m

82%

Total Compensation

US$3.2m

US$3.2m

100%

Speaking on an industry level, nearly 57% of total compensation represents salary, while the remainder of 43% is other remuneration. Jardine Cycle & Carriage 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.

ceo-compensation
ceo-compensation

Jardine Cycle & Carriage Limited's Growth

Jardine Cycle & Carriage Limited has seen its earnings per share (EPS) increase by 31% a year over the past three years. It achieved revenue growth of 3.1% over the last year.

Shareholders would be glad to know that the company has improved itself over the last few years. It's also good to see modest revenue growth, suggesting the underlying business is healthy. 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 Jardine Cycle & Carriage Limited Been A Good Investment?

Jardine Cycle & Carriage Limited has served shareholders reasonably well, with a total return of 31% over three years. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.

To Conclude...

Seeing that the company has put up a decent performance, only a few shareholders, if any at all, might have questions about the CEO pay in the upcoming AGM. However, we still think that any proposed increase in CEO compensation will be examined closely to make sure the compensation is appropriate and linked to performance.

We can learn a lot about a company by studying its CEO compensation trends, along with looking at other aspects of the business. We identified 2 warning signs for Jardine Cycle & Carriage (1 can't be ignored!) that you should be aware of before investing here.

Switching gears from Jardine Cycle & Carriage, 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.

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