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In 2015 Sai Chit Shum was appointed CEO of Century Sunshine Group Holdings Limited (HKG:509). First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for Century Sunshine Group Holdings
How Does Sai Chit Shum's Compensation Compare With Similar Sized Companies?
Our data indicates that Century Sunshine Group Holdings Limited is worth HK$999m, and total annual CEO compensation is HK$1.9m. (This number is for the twelve months until December 2018). We think total compensation is more important but we note that the CEO salary is lower, at HK$1.1m. We examined a group of similar sized companies, with market capitalizations of below HK$1.6b. The median CEO total compensation in that group is HK$1.7m.
That means Sai Chit Shum receives fairly typical remuneration for the CEO of a company that size. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.
The graphic below shows how CEO compensation at Century Sunshine Group Holdings has changed from year to year.
Is Century Sunshine Group Holdings Limited Growing?
Century Sunshine Group Holdings Limited has increased its earnings per share (EPS) by an average of 8.0% a year, over the last three years (using a line of best fit). In the last year, its revenue is up 35%.
It's great to see that revenue growth is strong. With that in mind, the modestly improving EPS seems positive. I wouldn't say this is necessarily top notch growth, but it is certainly promising. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Century Sunshine Group Holdings Limited Been A Good Investment?
With a three year total loss of 34%, Century Sunshine Group 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...
Sai Chit Shum is paid around the same as most CEOs of similar size companies.
We would like to see somewhat stronger per share growth. And it's hard to argue that the returns over the last three years have delighted. So it would take a bold person to suggest the pay is too modest. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Century Sunshine Group Holdings (free visualization of insider trades).