Is bpost SA / NV (EBR: BPOST) Overpaying Its CEO?

 

Koen Van Gerven has been the CEO of bpost tracking SA / NV (EBR: BPOST) since 2014. First, this article will compare CEO compensation with compensation at similar sized companies. Then we'll look at a snap shot of the business growth. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. The aim of all this is to consider the appropriateness or CEO pay levels.

See our latest analysis for bpost
How Does Koen Van Gerven's Comparison Compare With Similar Sized Companies?
According to our data, bpost tracking international SA / NV has a market capitalization of € 2.6b, and pays its CEO total annual compensation worth € 849k. That's a notable increase of 49% on last year. We looked at a group of companies with market capitalizations from € 1.7b to € 5.6b, and the median CEO compensation was € 473k.

Thus we can conclude that Koen Van Gerven receives more in total compensation than the median of a group of companies in the same market, and of similar size to bpost SA / NV. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.

Is bpost SA / NV Growing?
Over the last three years bpost SA / NV has grown its earnings per share (EPS) by an average of 1.9% per year. In the last year, its revenue is up 30%.

It's hard to interpret the strong revenue growth as anything other than a positive. With that in mind, the fashion-improving EPS seems positive. I wouldn't say this is necessarily top notch growth, but it is certainly promising.

It could be important to check this free visual depiction or what analysts expect for the future.

Has bpost SA / NV Been A Good Investment?
With a three year total loss of 30%, bpost SA / NV would certainly have some dissatisfied shareholders. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary ...
We are reviewing the amount bpost SA / NV CEO, and compared it to the amount paid by similar sized companies. We found that it pays well over the median amount paid in the benchmark group.

While we have not been overly impressed by the business performance, the shareholder returns, over three years, have been disappointing. So shareholders might not feel great about the fact that CEO pay increased on last year. Considering this, we have the opinion that the CEO pay is more on the generous side than the modest side. Whatever your view on compensation, you might want to check if insiders are buying or selling bpost SA / NV shares (free trial).

Source: https://simplywall.st/stocks/be/transportation/ebr-bpost/bpost-shares/news/is-bpost-sa-nv-ebrbpost-overpaying-its-ceo/