Key Insights

• Katipult Technology to hold its Annual General Meeting on 14th of September

• Salary of CA$190.3k is part of CEO Gord Breese's total remuneration

• The overall pay is 48% below the industry average

• Katipult Technology's three-year loss to shareholders was 50% while its EPS was down 7.1% over the past three years

Performance at Katipult Technology Corp. (CVE:FUND) has not been particularly rosy recently and shareholders will likely be holding CEO Gord Breese and the board accountable for this. There is an opportunity for shareholders to influence management to turn the performance around by voting on resolutions such as executive remuneration at the AGM coming up on 14th of September. From our analysis below, we think CEO compensation looks appropriate for now.

See our latest analysis for Katipult Technology

How Does Total Compensation For Gord Breese Compare With Other Companies In The Industry?

Our data indicates that Katipult Technology Corp. has a market capitalization of CA$8.6m, and total annual CEO compensation was reported as CA$190k for the year to December 2022. We note that's a small decrease of 4.8% on last year. Notably, the salary of CA$190k is the entirety of the CEO compensation.

On comparing similar-sized companies in the Canadian Software industry with market capitalizations below CA$274m, we found that the median total CEO compensation was CA$363k. In other words, Katipult Technology pays its CEO lower than the industry median.

On an industry level, around 64% of total compensation represents salary and 36% is other remuneration. At the company level, Katipult Technology pays Gord Breese solely through a salary, preferring to go down a conventional route. If salary is the major component in total compensation, it suggests that the CEO receives a higher fixed proportion of the total compensation, regardless of performance.

A Look at Katipult Technology Corp.'s Growth Numbers

Katipult Technology Corp. has reduced its earnings per share by 7.1% a year over the last three years. Its revenue is up 13% over the last year.

Few shareholders would be pleased to read that EPS have declined. And while it's good to see some good revenue growth recently, the growth isn't really fast enough for us to put aside my concerns around EPS. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Katipult Technology Corp. Been A Good Investment?

Few Katipult Technology Corp. shareholders would feel satisfied with the return of -50% over three years. So shareholders would probably want the company to be less generous with CEO compensation.

In Summary...

Katipult Technology rewards its CEO solely through a salary, ignoring non-salary benefits completely. Along with the business performing poorly, shareholders have suffered with poor share price returns on their investments, suggesting that there's little to no chance of them being in favor of a CEO pay raise. At the upcoming AGM, management will get a chance to explain how they plan to get the business back on track and address the concerns from investors.

CEO pay is simply one of the many factors that need to be considered while examining business performance. We identified 5 warning signs for Katipult Technology (4 are a bit unpleasant!) that you should be aware of before investing here.

Switching gears from Katipult Technology, 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.