Key Insights

CVS Group to hold its Annual General Meeting on 29th of November Total pay for CEO Richard William Fairman includes UK£430.0k salary The total compensation is similar to the average for the industry Over the past three years, CVS Group's EPS grew by 94%  and over the past three years, the total shareholder return was 14%

Under the guidance of CEO Richard William Fairman, CVS Group plc (LON:CVSG) has performed reasonably well recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 29th of November. Based on our analysis of the data below, we think CEO compensation seems reasonable for now.

See our latest analysis for CVS Group

How Does Total Compensation For Richard William Fairman Compare With Other Companies In The Industry?

According to our data, CVS Group plc has a market capitalization of UK£1.1b, and paid its CEO total annual compensation worth UK£1.7m over the year to June 2023. We note that's a small decrease of 3.7% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at UK£430k.

On comparing similar companies from the British Healthcare industry with market caps ranging from UK£802m to UK£2.6b, we found that the median CEO total compensation was UK£2.0m. From this we gather that Richard William Fairman is paid around the median for CEOs in the industry. What's more, Richard William Fairman holds UK£859k worth of shares in the company in their own name.

Component 2023 2022 Proportion (2023) Salary UK£430k UK£412k 25% Other UK£1.3m UK£1.4m 75% Total Compensation UK£1.7m UK£1.8m 100%

On an industry level, roughly 83% of total compensation represents salary and 17% is other remuneration. In CVS Group's case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.

 ceo-compensation

A Look at CVS Group plc's Growth Numbers

Over the past three years, CVS Group plc has seen its earnings per share (EPS) grow by 94% per year. In the last year, its revenue is up 9.8%.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has CVS Group plc Been A Good Investment?

CVS Group plc has served shareholders reasonably well, with a total return of 14% over three years. But they probably don't want to see the CEO paid more than is normal for companies around the same size.

To Conclude...

Seeing that the company has put up a decent performance, only a few shareholders, if any at all, might have questions about the CEO pay in the upcoming AGM. In saying that, any proposed increase to CEO compensation will still be assessed on how reasonable it is based on performance and industry benchmarks.

Shareholders may want to check for free if CVS Group insiders are buying or selling shares.

Switching gears from CVS Group, if you're hunting for a pristine balance sheet and premium returns, this freelist 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.