In This Article:
Wensheng Yang has been the CEO of Qinhuangdao Port Co., Ltd. (HKG:3369) since 2017. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we'll consider growth that the business demonstrates. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
See our latest analysis for Qinhuangdao Port
How Does Wensheng Yang's Compensation Compare With Similar Sized Companies?
Our data indicates that Qinhuangdao Port Co., Ltd. is worth HK$18b, and total annual CEO compensation was reported as CN¥897k for the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at CN¥798k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of CN¥7.1b to CN¥23b. The median total CEO compensation was CN¥3.9m.
A first glance this seems like a real positive for shareholders, since Wensheng Yang is paid less than the average total compensation paid by similar sized companies. However, before we heap on the praise, we should delve deeper to understand business performance.
You can see a visual representation of the CEO compensation at Qinhuangdao Port, below.
Is Qinhuangdao Port Co., Ltd. Growing?
On average over the last three years, Qinhuangdao Port Co., Ltd. has grown earnings per share (EPS) by 11% each year (using a line of best fit). Its revenue is down 5.5% over last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. While it would be good to see revenue growth, profits matter more in the end. You might want to check this free visual report on analyst forecasts for future earnings.
Has Qinhuangdao Port Co., Ltd. Been A Good Investment?
Given the total loss of 16% over three years, many shareholders in Qinhuangdao Port Co., Ltd. are probably rather dissatisfied, to say the least. This suggests it would be unwise for the company to pay the CEO too generously.
In Summary...
It appears that Qinhuangdao Port Co., Ltd. remunerates its CEO below most similar sized companies.
Many would consider this to indicate that the pay is modest since the business is growing. Despite some positives, it is likely that shareholders wanted better returns, given the performance over the last three years. So while we would not say that Wensheng Yang is generously paid, it would be good to see an improvement in business performance before too an increase in pay. This sort of circumstance certainly justifies further research, because the investment returns might still come in the future. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Qinhuangdao Port (free visualization of insider trades).