Yahoo Finance Here's What We Think About MNF Group Limited's (ASX:MNF) CEO Pay
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In 2012 Rene Sugo was appointed CEO of MNF Group Limited (ASX:MNF). 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. This method should give us information to assess how appropriately the company pays the CEO.
View our latest analysis for MNF Group
How Does Rene Sugo's Compensation Compare With Similar Sized Companies?
Our data indicates that MNF Group Limited is worth AU$250m, and total annual CEO compensation is AU$684k. (This is based on the year to June 2018). We think total compensation is more important but we note that the CEO salary is lower, at AU$517k. When we examined a selection of companies with market caps ranging from AU$146m to AU$583m, we found the median CEO total compensation was AU$757k.
So Rene Sugo is paid around the average of the companies we looked at. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
The graphic below shows how CEO compensation at MNF Group has changed from year to year.
Is MNF Group Limited Growing?
Over the last three years MNF Group Limited has grown its earnings per share (EPS) by an average of 5.0% per year (using a line of best fit). It saw its revenue drop -6.8% over the last year.
I generally like to see a little revenue growth, but it is good to see EPS growth. These two metric are moving in different directions, so while it's hard to be confident judging performance, we think the stock is worth watching. Shareholders might be interested in this free visualization of analyst forecasts.
Has MNF Group Limited Been A Good Investment?
Since shareholders would have lost about 11% over three years, some MNF Group Limited shareholders would surely be feeling negative emotions. So shareholders would probably think the company shouldn't be too generous with CEO compensation.
In Summary...
Remuneration for Rene Sugo is close enough to the median pay for a CEO of a similar sized company .
We would like to see somewhat stronger per share growth. And it's hard to argue that the returns over the last three years have delighted. So many would argue that the CEO is certainly not underpaid. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling MNF Group (free visualization of insider trades).
Important note: MNF Group may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.
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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. Thank you for reading.
