Key Insights

• Get Nice Financial Group's Annual General Meeting to take place on 22nd of August
• CEO Carmen Hung's total compensation includes salary of HK$747.0k
• Total compensation is 56% below industry average
• Get Nice Financial Group's three-year loss to shareholders was 3.6% while its EPS was down 11% over the past three years

The disappointing performance at Get Nice Financial Group Limited (HKG:1469) will make some shareholders rather disheartened. At the upcoming AGM on 22nd of August, shareholders may have the opportunity to influence management to turn the performance around by voting on resolutions such as executive remuneration and other matters. From our analysis below, we think CEO compensation looks appropriate for now.

How Does Total Compensation For Carmen Hung Compare With Other Companies In The Industry?

According to our data, Get Nice Financial Group Limited has a market capitalization of HK$1.7b, and paid its CEO total annual compensation worth HK$765k over the year to March 2024. That's a slight decrease of 6.3% on the prior year. Notably, the salary which is HK$747.0k, represents most of the total compensation being paid.

For comparison, other companies in the Hong Kong Capital Markets industry with market capitalizations ranging between HK$779m and HK$3.1b had a median total CEO compensation of HK$1.7m. Accordingly, Get Nice Financial Group pays its CEO under the industry median.

Talking in terms of the industry, salary represented approximately 84% of total compensation out of all the companies we analyzed, while other remuneration made up 16% of the pie. Get Nice Financial Group pays a high salary, concentrating more on this aspect of compensation in comparison to non-salary pay. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

A Look at Get Nice Financial Group Limited's Growth Numbers

Over the last three years, Get Nice Financial Group Limited has shrunk its earnings per share by 11% per year. Revenue was pretty flat on last year.

Few shareholders would be pleased to read that EPS have declined. And the flat revenue hardly impresses. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Get Nice Financial Group Limited Been A Good Investment?

Given the total shareholder loss of 3.6% over three years, many shareholders in Get Nice Financial Group Limited are probably rather dissatisfied, to say the least. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Get Nice Financial Group pays its CEO a majority of compensation through a salary. Along with the business performing poorly, shareholders have suffered with poor share price returns on their investments, suggesting that there's little to no chance of them being in favor of a CEO pay raise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. That's why we did some digging and identified 2 warning signs for Get Nice Financial Group that you should be aware of before investing.

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.