Yahoo Finance ATI Airtest Technologies Inc.'s (CVE:AAT) CEO Compensation Looks Acceptable To Us And Here's Why
Key Insights
ATI Airtest Technologies will host its Annual General Meeting on 20th of December
Total pay for CEO Ted Konyi includes CA$150.0k salary
Total compensation is 51% below industry average
Over the past three years, ATI Airtest Technologies' EPS grew by 77% and over the past three years, the total loss to shareholders 91%
The performance at ATI Airtest Technologies Inc. (CVE:AAT) has been rather lacklustre of late and shareholders may be wondering what CEO Ted Konyi is planning to do about this. They will get a chance to exercise their voting power to influence the future direction of the company in the next AGM on 20th of December. It has been shown that setting appropriate executive remuneration incentivises the management to act in the interests of shareholders. In our opinion, CEO compensation does not look excessive and we discuss why.
Check out our latest analysis for ATI Airtest Technologies
How Does Total Compensation For Ted Konyi Compare With Other Companies In The Industry?
According to our data, ATI Airtest Technologies Inc. has a market capitalization of CA$2.2m, and paid its CEO total annual compensation worth CA$150k over the year to December 2022. We note that's a small decrease of 5.7% on last year. Notably, the salary of CA$150k is the entirety of the CEO compensation.
For comparison, other companies in the Canadian Electronic industry with market capitalizations below CA$269m, reported a median total CEO compensation of CA$309k. Accordingly, ATI Airtest Technologies pays its CEO under the industry median.
Component | 2022 | 2021 | Proportion (2022) |
Salary | CA$150k | CA$159k | 100% |
Other | - | - | - |
Total Compensation | CA$150k | CA$159k | 100% |
On an industry level, roughly 73% of total compensation represents salary and 27% is other remuneration. Speaking on a company level, ATI Airtest Technologies prefers to tread along a traditional path, disbursing all compensation through a salary. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.
A Look at ATI Airtest Technologies Inc.'s Growth Numbers
ATI Airtest Technologies Inc.'s earnings per share (EPS) grew 77% per year over the last three years. It saw its revenue drop 10% over the last year.
This demonstrates that the company has been improving recently and is good news for the shareholders. It's always a tough situation when revenues are not growing, but ultimately profits are more important. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has ATI Airtest Technologies Inc. Been A Good Investment?
The return of -91% over three years would not have pleased ATI Airtest Technologies Inc. shareholders. This suggests it would be unwise for the company to pay the CEO too generously.
To Conclude...
ATI Airtest Technologies pays CEO compensation exclusively through a salary, with non-salary compensation completely ignored. The fact that shareholders are sitting on a loss is certainly disheartening. This diverges with the robust growth in EPS, suggesting that there is a large discrepancy between share price and fundamentals. A key question may be why the fundamentals have not yet been reflected into the share price. The upcoming AGM will provide shareholders the opportunity to raise their concerns and evaluate if the board’s judgement and decision-making is aligned with their expectations.
CEO compensation is an important area to keep your eyes on, but we've also need to pay attention to other attributes of the company. We identified 5 warning signs for ATI Airtest Technologies (4 shouldn't be ignored!) that you should be aware of before investing here.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
