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Should You Worry About Uzin Utz AG’s (FRA:UZU) CEO Salary Level?

Thomas Müllerschön became the CEO of Uzin Utz AG (FRA:UZU) in 2016. 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. This process should give us an idea about how appropriately the CEO is paid.

See our latest analysis for Uzin Utz

How Does Thomas Müllerschön’s Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Uzin Utz AG has a market cap of €277m, and is paying total annual CEO compensation of €994k. (This is based on the year to 2017). We think total compensation is more important but we note that the CEO salary is lower, at €319k. We examined companies with market caps from €176m to €704m, and discovered that the median CEO compensation of that group was €803k.

That means Thomas Müllerschön receives fairly typical remuneration for the CEO of a company that size. This doesn’t tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.

You can see a visual representation of the CEO compensation at Uzin Utz, below.

DB:UZU CEO Compensation December 13th 18
DB:UZU CEO Compensation December 13th 18

Is Uzin Utz AG Growing?

Uzin Utz AG has increased its earnings per share (EPS) by an average of 9.3% a year, over the last three years In the last year, its revenue is up 12%.

This revenue growth could really point to a brighter future. And the modest growth in earnings per share isn’t bad, either. Although we’ll stop short of calling the stock a top performer, we think the company has potential.

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

Has Uzin Utz AG Been A Good Investment?

I think that the total shareholder return of 47%, over three years, would leave most Uzin Utz AG shareholders smiling. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

In Summary…

Thomas Müllerschön is paid around the same as most CEOs of similar size companies.

While we would like to see improved growth metrics, there is no doubt that the total returns have been great, over the last three years. So considering most shareholders would be happy, we’d say the CEO pay is appropriate. Whatever your view on compensation, you might want to check if insiders are buying or selling Uzin Utz shares (free trial).

Of course, the past can be informative so you might be interested in considering this analytical visualization showing the company history of earnings and revenue.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.