Key Insights

• Vysarn will host its Annual General Meeting on 23rd of November

• Total pay for CEO James Clement includes AU$382.5k salary

• The total compensation is 82% higher than the average for the industry

• Vysarn's total shareholder return over the past three years was 114% while its EPS was down 19% over the past three years

Under the guidance of CEO James Clement, Vysarn Limited (ASX:VYS) has performed reasonably well recently. As shareholders go into the upcoming AGM on 23rd of November, CEO compensation will probably not be their focus, but rather the steps management will take to continue the growth momentum. However, some shareholders will still be cautious of paying the CEO excessively.

See our latest analysis for Vysarn

Comparing Vysarn Limited's CEO Compensation With The Industry

At the time of writing, our data shows that Vysarn Limited has a market capitalization of AU$92m, and reported total annual CEO compensation of AU$705k for the year to June 2023. That's a notable increase of 50% on last year. Notably, the salary which is AU$382.5k, represents a considerable chunk of the total compensation being paid.

On comparing similar-sized companies in the Australian Metals and Mining industry with market capitalizations below AU$308m, we found that the median total CEO compensation was AU$387k. This suggests that James Clement is paid more than the median for the industry. What's more, James Clement holds AU$3.8m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Speaking on an industry level, nearly 61% of total compensation represents salary, while the remainder of 39% is other remuneration. Vysarn sets aside a smaller share of compensation for salary, in comparison to the overall industry. 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 Vysarn Limited's Growth Numbers

Vysarn Limited has reduced its earnings per share by 19% a year over the last three years. In the last year, its revenue is up 40%.

The reduction in EPS, over three years, is arguably concerning. On the other hand, the strong revenue growth suggests the business is growing. It's hard to reach a conclusion about business performance right now. This may be one to watch. 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 Vysarn Limited Been A Good Investment?

Boasting a total shareholder return of 114% over three years, Vysarn Limited has done well by shareholders. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

In Summary...

Although the company has performed relatively well, we still think there are some areas that could be improved. We still think that some shareholders will be hesitant of increasing CEO pay until EPS growth improves, since they are already paid higher than the industry.

While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. We've identified 2 warning signs for Vysarn that investors should be aware of in a dynamic business environment.

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.

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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.