How Much is Pharmagest Interactive SA's (EPA:PHA) CEO Getting Paid?
Dominique Pautrat became the CEO of Pharmagest Interactive SA (EPA:PHA) in 2010. First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. The aim of all this is to consider the appropriateness of CEO pay levels.
See our latest analysis for Pharmagest Interactive
How Does Dominique Pautrat's Compensation Compare With Similar Sized Companies?
Our data indicates that Pharmagest Interactive SA is worth €916m, and total annual CEO compensation was reported as €267k for the year to December 2018. We think total compensation is more important but we note that the CEO salary is lower, at €166k. We looked at a group of companies with market capitalizations from €369m to €1.5b, and the median CEO total compensation was €625k.
A first glance this seems like a real positive for shareholders, since Dominique Pautrat 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, below, how CEO compensation at Pharmagest Interactive has changed over time.
Is Pharmagest Interactive SA Growing?
Over the last three years Pharmagest Interactive SA has grown its earnings per share (EPS) by an average of 11% per year (using a line of best fit). Its revenue is up 11% over last year.
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. It could be important to check this free visual depiction of what analysts expect for the future.
Has Pharmagest Interactive SA Been A Good Investment?
Boasting a total shareholder return of 80% over three years, Pharmagest Interactive SA 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.
In Summary...
It appears that Pharmagest Interactive SA remunerates its CEO below most similar sized companies.
Many would consider this to indicate that the pay is modest since the business is growing. The strong history of shareholder returns might even have some thinking that Dominique Pautrat deserves a raise! Most shareholders like to see a modestly paid CEO combined with strong performance by the company. But it is even better if company insiders are also buying shares with their own money. So you may want to check if insiders are buying Pharmagest Interactive shares with their own money (free access).
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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