J. Nicholas Thompson became the CEO of Aukett Swanke Group Plc (LON:AUK) in 2005. First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This process should give us an idea about how appropriately the CEO is paid.
See our latest analysis for Aukett Swanke Group
How Does J. Nicholas Thompson's Compensation Compare With Similar Sized Companies?
According to our data, Aukett Swanke Group Plc has a market capitalization of UK£2.4m, and paid its CEO total annual compensation worth UK£222k over the year to September 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at UK£198k. We took a group of companies with market capitalizations below UK£155m, and calculated the median CEO total compensation to be UK£248k.
That means J. Nicholas Thompson receives fairly typical remuneration for the CEO of a company that size. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
The graphic below shows how CEO compensation at Aukett Swanke Group has changed from year to year.
Is Aukett Swanke Group Plc Growing?
Aukett Swanke Group Plc has reduced its earnings per share by an average of 116% a year, over the last three years (measured with a line of best fit). In the last year, its revenue is down 12%.
Unfortunately, earnings per share have trended lower over the last three years. And the impression is worse when you consider revenue is down year-on-year. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Although we don't have analyst forecasts you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Aukett Swanke Group Plc Been A Good Investment?
With a three year total loss of 64%, Aukett Swanke Group Plc would certainly have some dissatisfied shareholders. So shareholders would probably think the company shouldn't be too generous with CEO compensation.
In Summary...
Remuneration for J. Nicholas Thompson is close enough to the median pay for a CEO of a similar sized company .
The company isn't growing EPS, and shareholder returns have been disappointing. Suffice it to say, we don't think the CEO is underpaid! Shareholders may want to check for free if Aukett Swanke Group insiders are buying or selling shares.