In This Article:
In 2016 Yueou Wang was appointed CEO of Automated Systems Holdings Limited (HKG:771). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally – as a second measure of performance – we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
Check out our latest analysis for Automated Systems Holdings
How Does Yueou Wang’s Compensation Compare With Similar Sized Companies?
According to our data, Automated Systems Holdings Limited has a market capitalization of HK$854m, and pays its CEO total annual compensation worth HK$6.5m. (This is based on the year to December 2017). We think total compensation is more important but we note that the CEO salary is lower, at HK$2.4m. We looked at a group of companies with market capitalizations under HK$1.6b, and the median CEO compensation was HK$1.5m.
It would therefore appear that Automated Systems Holdings Limited pays Yueou Wang more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn’t mean the remuneration is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.
You can see a visual representation of the CEO compensation at Automated Systems Holdings, below.
Is Automated Systems Holdings Limited Growing?
Automated Systems Holdings Limited has increased its earnings per share (EPS) by an average of 40% a year, over the last three years (using a line of best fit). It achieved revenue growth of 25% over the last year.
This demonstrates that the company has been improving recently. A good result. Most shareholders would be pleased to see strong revenue growth combined with EPS growth. This combo suggests a fast growing business. 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 Automated Systems Holdings Limited Been A Good Investment?
Automated Systems Holdings Limited has generated a total shareholder return of 13% over three years, so most shareholders would be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
In Summary…
We compared the total CEO remuneration paid by Automated Systems Holdings Limited, and compared it to remuneration at a group of similar sized companies. Our data suggests that it pays above the median CEO pay within that group.