Yahoo Finance Increases to CEO Compensation Might Be Put On Hold For Now at BioSyent Inc. (CVE:RX)
Key Insights
BioSyent's Annual General Meeting to take place on 16th of May
Total pay for CEO René Goehrum includes CA$356.7k salary
The total compensation is 49% higher than the average for the industry
BioSyent's EPS grew by 24% over the past three years while total shareholder return over the past three years was 17%
Under the guidance of CEO René Goehrum, BioSyent Inc. (CVE:RX) has performed reasonably well recently. As shareholders go into the upcoming AGM on 16th of May, CEO compensation will probably not be their focus, but rather the steps management will take to continue the growth momentum. However, some shareholders may still be hesitant of being overly generous with CEO compensation.
View our latest analysis for BioSyent
Comparing BioSyent Inc.'s CEO Compensation With The Industry
According to our data, BioSyent Inc. has a market capitalization of CA$99m, and paid its CEO total annual compensation worth CA$748k over the year to December 2023. We note that's an increase of 9.7% above last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at CA$357k.
In comparison with other companies in the Canadian Pharmaceuticals industry with market capitalizations under CA$274m, the reported median total CEO compensation was CA$501k. This suggests that René Goehrum is paid more than the median for the industry. What's more, René Goehrum holds CA$8.6m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.
Component | 2023 | 2022 | Proportion (2023) |
Salary | CA$357k | CA$343k | 48% |
Other | CA$391k | CA$339k | 52% |
Total Compensation | CA$748k | CA$681k | 100% |
Talking in terms of the industry, salary represented approximately 64% of total compensation out of all the companies we analyzed, while other remuneration made up 36% of the pie. In BioSyent's case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.
A Look at BioSyent Inc.'s Growth Numbers
Over the past three years, BioSyent Inc. has seen its earnings per share (EPS) grow by 24% per year. It achieved revenue growth of 13% over the last year.
This demonstrates that the company has been improving recently and is good news for the shareholders. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.
Has BioSyent Inc. Been A Good Investment?
BioSyent Inc. has generated a total shareholder return of 17% over three years, so most shareholders would be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.
To Conclude...
The company's decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, any decision to raise CEO pay might be met with some objections from the shareholders given that the CEO is already paid higher than the industry average.
CEO pay is simply one of the many factors that need to be considered while examining business performance. We identified 3 warning signs for BioSyent (1 makes us a bit uncomfortable!) that you should be aware of before investing here.
Switching gears from BioSyent, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.
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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.
