Geoff Daly has been the CEO of Analytica Limited (ASX:ALT) since 2014. First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.

See our latest analysis for Analytica

How Does Geoff Daly's Compensation Compare With Similar Sized Companies?

Our data indicates that Analytica Limited is worth AU$14m, and total annual CEO compensation was reported as AU$274k for the year to June 2019. Notably, that's an increase of 14% over the year before. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at AU$250k. We examined a group of similar sized companies, with market capitalizations of below AU$293m. The median CEO total compensation in that group is AU$370k.

So Geoff Daly is paid around the average of the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

The graphic below shows how CEO compensation at Analytica has changed from year to year.

Is Analytica Limited Growing?

Analytica Limited has increased its earnings per share (EPS) by an average of 51% a year, over the last three years (using a line of best fit). Its revenue is down 19% over last year.

This demonstrates that the company has been improving recently. A good result. Revenue growth is a real positive for growth, but ultimately profits are more important. We don't have analyst forecasts, but you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Analytica Limited Been A Good Investment?

Since shareholders would have lost about 33% over three years, some Analytica Limited shareholders would surely be feeling negative emotions. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Geoff Daly is paid around the same as most CEOs of similar size companies.

We'd say the company can boast of its EPS growth, but we find the returns over the last three years to be lacking. Considering the the positives we don't think the CEO pays is too high, but it's certainly hard to argue it is too low. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Analytica.

Important note: Analytica may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

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