Brad Bourne became the CEO of Firan Technology Group Corporation (TSE:FTG) in 2004. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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. This method should give us information to assess how appropriately the company pays the CEO.
How Does Brad Bourne's Compensation Compare With Similar Sized Companies?
Our data indicates that Firan Technology Group Corporation is worth CA$81m, and total annual CEO compensation was reported as CA$440k for the year to November 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CA$338k. We examined a group of similar sized companies, with market capitalizations of below CA$261m. The median CEO total compensation in that group is CA$179k.
Thus we can conclude that Brad Bourne receives more in total compensation than the median of a group of companies in the same market, and of similar size to Firan Technology Group Corporation. However, this doesn't necessarily mean the pay is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.
You can see a visual representation of the CEO compensation at Firan Technology Group, below.
Is Firan Technology Group Corporation Growing?
On average over the last three years, Firan Technology Group Corporation has shrunk earnings per share by 32% each year (measured with a line of best fit). Its revenue is up 9.0% over last year.
Sadly for shareholders, earnings per share are actually down, over three years. The modest increase in revenue in the last year isn't enough to make me overlook the disappointing change in earnings per share. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Shareholders might be interested in this free visualization of analyst forecasts.
Has Firan Technology Group Corporation Been A Good Investment?
Firan Technology Group Corporation has generated a total shareholder return of 15% over three years, so most shareholders would be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
We examined the amount Firan Technology Group Corporation pays its CEO, and compared it to the amount paid by similar sized companies. Our data suggests that it pays above the median CEO pay within that group.
Earnings per share have not grown in three years, and the revenue growth fails to impress us. And shareholder returns are decent but not great. So we doubt many shareholders would consider the CEO pay to be particularly modest! Shareholders may want to check for free if Firan Technology Group insiders are buying or selling shares.
If you want to buy a stock that is better than Firan Technology Group, this free list of high return, low debt companies is a great place to look.
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