Yahoo Finance Should You Worry About Mirvac Group’s (ASX:MGR) CEO Salary Level?
Susan Lloyd-Hurwitz became the CEO of Mirvac Group (ASX:MGR) in 2012. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Then we’ll look at a snap shot of the business growth. 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.
View our latest analysis for Mirvac Group
How Does Susan Lloyd-Hurwitz’s Compensation Compare With Similar Sized Companies?
According to our data, Mirvac Group has a market capitalization of AU$8.1b, and pays its CEO total annual compensation worth AU$5.1m. (This number is for the twelve months until 2018). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at AU$1.5m. When we examined a selection of companies with market caps ranging from AU$5.6b to AU$17b, we found the median CEO compensation was AU$4.2m.
So Susan Lloyd-Hurwitz is paid around the average of the companies we looked at. While this data point isn’t particularly informative alone, it gains more meaning when considered with business performance.
You can see a visual representation of the CEO compensation at Mirvac Group, below.
Is Mirvac Group Growing?
On average over the last three years, Mirvac Group has grown earnings per share (EPS) by 16% each year (using a line of best fit). Its revenue is down -5.0% over last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. The lack of revenue growth isn’t ideal, but it is the bottom line that counts most in business.
Shareholders might be interested in this free visualization of analyst forecasts. .
Has Mirvac Group Been A Good Investment?
Boasting a total shareholder return of 37% over three years, Mirvac Group has done well by shareholders. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
In Summary…
Susan Lloyd-Hurwitz is paid around the same as most CEOs of similar size companies.
The company is growing earnings per share and total shareholder returns have been pleasing. Indeed, many might consider the pay rather modest, given the solid company performance! CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Mirvac Group (free visualization of insider trades).
Of course, the past can be informative so you might be interested in considering this analytical visualization showing the company history of earnings and revenue.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
