Yves Guillemot is the CEO of Ubisoft Leisure SA (EPA:UBI), and on this article, we analyze the chief’s compensation bundle with respect to the general efficiency of the corporate. This evaluation can even look to evaluate whether or not the CEO is appropriately paid, contemplating latest earnings progress and investor returns for Ubisoft Leisure.
How Does Whole Compensation For Yves Guillemot Examine With Different Firms In The Business?
In line with our information, Ubisoft Leisure SA has a market capitalization of €9.7b, and paid its CEO complete annual compensation value €1.5m over the yr to March 2020. We be aware that is a lower of 25% in comparison with final yr. Whereas this evaluation focuses on complete compensation, it is value acknowledging that the wage portion is decrease, valued at €585k.
On evaluating related firms within the trade with market capitalizations above €6.6b, we discovered that the median complete CEO compensation was €1.5m. From this we collect that Yves Guillemot is paid across the median for CEOs within the trade. What’s extra, Yves Guillemot holds €74m value of shares within the firm in their very own identify, indicating that they’ve loads of pores and skin within the sport.
On an trade degree, round 40% of complete compensation represents wage and 60% is different remuneration. There is not a big distinction between Ubisoft Leisure and the broader market, by way of wage allocation within the general compensation bundle. If complete compensation is slanted in direction of non-salary advantages, it signifies that CEO pay is linked to firm efficiency.
A Take a look at Ubisoft Leisure SA’s Progress Numbers
Over the past three years, Ubisoft Leisure SA has shrunk its earnings per share by 91% per yr. Within the final yr, its income is down 6.8%.
Few shareholders could be happy to learn that EPS have declined. And the impression is worse when you think about income is down year-on-year. It is arduous to argue the corporate is firing on all cylinders, so shareholders may be averse to excessive CEO remuneration. Wanting forward, you may wish to verify this free visual report on analyst forecasts for the company’s future earnings..
Has Ubisoft Leisure SA Been A Good Funding?
Ubisoft Leisure SA has generated a complete shareholder return of 25% over three years, so most shareholders could be fairly content material. However they in all probability would not be so pleased as to suppose the CEO ought to be paid greater than is regular, for firms round this dimension.
As we touched on above, Ubisoft Leisure SA is presently paying a compensation that is near the median pay for CEOs of firms belonging to the identical trade and with related market capitalizations. Ubisoft Leisure has had a troublesome time in recent times, with declining EPS progress, and though shareholder returns are steady, they’re hardly value celebrating. This does not examine properly with CEO compensation, which is near the trade median. We would not go so far as saying CEO compensation is inappropriate, however we do not suppose the chief is underpaid.
We will be taught rather a lot about an organization by learning its CEO compensation developments, together with taking a look at different elements of the enterprise. We recognized 2 warning signs for Ubisoft Entertainment (1 is regarding!) that try to be conscious of earlier than investing right here.
Switching gears from Ubisoft Leisure, in case you’re looking for a pristine stability sheet and premium returns, this free list of high return, low debt companies is a great place to look.
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