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Does C-Com Satellite Systems Inc.'s (CVE:CMI) CEO Salary Compare Well With Others?

Leslie Klein became the CEO of C-Com Satellite Systems Inc. (CVE:CMI) in 1997. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. 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.

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See our latest analysis for C-Com Satellite Systems

How Does Leslie Klein's Compensation Compare With Similar Sized Companies?

Our data indicates that C-Com Satellite Systems Inc. is worth CA$70m, and total annual CEO compensation is CA$541k. (This is based on the year to November 2018). That's a modest increase of 7.1% on the prior year year. While we always look at total compensation first, we note that the salary component is less, at CA$380k. We examined a group of similar sized companies, with market capitalizations of below CA$269m. The median CEO total compensation in that group is CA$148k.

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It would therefore appear that C-Com Satellite Systems Inc. pays Leslie Klein 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 better assess whether the pay is overly generous by looking into the underlying business performance.

You can see, below, how CEO compensation at C-Com Satellite Systems has changed over time.

TSXV:CMI CEO Compensation, May 20th 2019
TSXV:CMI CEO Compensation, May 20th 2019

Is C-Com Satellite Systems Inc. Growing?

On average over the last three years, C-Com Satellite Systems Inc. has grown earnings per share (EPS) by 30% each year (using a line of best fit). In the last year, its revenue is up 38%.

This demonstrates that the company has been improving recently. A good result. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. We don't have analyst forecasts, but shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has C-Com Satellite Systems Inc. Been A Good Investment?

Boasting a total shareholder return of 90% over three years, C-Com Satellite Systems Inc. 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...

We compared total CEO remuneration at C-Com Satellite Systems Inc. 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.

However, the earnings per share growth over three years is certainly impressive. Even better, returns to shareholders have been plentiful, over the same time period. So, considering this good performance, the CEO compensation may be quite appropriate. Shareholders may want to check for free if C-Com Satellite Systems insiders are buying or selling shares.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

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.