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In 2006 Naveen Sawhney was appointed CEO of Cords Cable Industries Limited (NSE:CORDSCABLE). First, this article will compare CEO compensation with compensation at similar sized companies. 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. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for Cords Cable Industries
How Does Naveen Sawhney's Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Cords Cable Industries Limited has a market cap of ₹688m, and is paying total annual CEO compensation of ₹9.5m. (This is based on the year to March 2018). It is worth noting that the CEO compensation consists almost entirely of the salary, worth ₹9.5m. We examined a group of similar sized companies, with market capitalizations of below ₹14b. The median CEO total compensation in that group is ₹1.3m.
It would therefore appear that Cords Cable Industries Limited pays Naveen Sawhney 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 get a better idea of how generous the pay is by looking at the performance of the underlying business.
You can see a visual representation of the CEO compensation at Cords Cable Industries, below.
Is Cords Cable Industries Limited Growing?
On average over the last three years, Cords Cable Industries Limited has grown earnings per share (EPS) by 27% each year (using a line of best fit). In the last year, its revenue is up 14%.
This shows that the company has improved itself over the last few years. Good news for shareholders. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. We don't have analyst forecasts, but shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Cords Cable Industries Limited Been A Good Investment?
Since shareholders would have lost about 5.7% over three years, some Cords Cable Industries Limited shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
We compared total CEO remuneration at Cords Cable Industries Limited with the amount paid at companies with a similar market capitalization. As discussed above, we discovered that the company pays more than the median of that group.