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David Hanna became the CEO of Atlanticus Holdings Corporation (NASDAQ:ATLC) in 1996, and we think it's a good time to look at the executive's compensation against the backdrop of overall company performance. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Atlanticus Holdings.
Check out our latest analysis for Atlanticus Holdings
Comparing Atlanticus Holdings Corporation's CEO Compensation With the industry
At the time of writing, our data shows that Atlanticus Holdings Corporation has a market capitalization of US$129m, and reported total annual CEO compensation of US$1.8m for the year to December 2019. Notably, that's an increase of 63% over the year before. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$600k.
In comparison with other companies in the industry with market capitalizations under US$200m, the reported median total CEO compensation was US$1.1m. Accordingly, our analysis reveals that Atlanticus Holdings Corporation pays David Hanna north of the industry median. Furthermore, David Hanna directly owns US$36m worth of shares in the company, implying that they are deeply invested in the company's success.
| Component | 2019 | 2018 | Proportion (2019) |
| Salary | US$600k | US$600k | 33% |
| Other | US$1.2m | US$497k | 67% |
| Total Compensation | US$1.8m | US$1.1m | 100% |
On an industry level, around 17% of total compensation represents salary and 83% is other remuneration. It's interesting to note that Atlanticus Holdings pays out a greater portion of remuneration through salary, compared to the industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.
A Look at Atlanticus Holdings Corporation's Growth Numbers
Atlanticus Holdings Corporation has seen its earnings per share (EPS) increase by 97% a year over the past three years. Its revenue is up 157% over the last year.
Shareholders would be glad to know that the company has improved itself over the last few years. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Atlanticus Holdings Corporation Been A Good Investment?
Boasting a total shareholder return of 253% over three years, Atlanticus Holdings Corporation has done well by shareholders. 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.