Bingmu Xie has been the CEO of China Infrastructure & Logistics Group Ltd. (HKG:1719) since 2014. First, this article will compare CEO compensation with compensation at similar sized companies. After that, we will consider the growth in the business. 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 of CEO pay levels.

View our latest analysis for China Infrastructure & Logistics Group

How Does Bingmu Xie's Compensation Compare With Similar Sized Companies?

According to our data, China Infrastructure & Logistics Group Ltd. has a market capitalization of HK$1.6b, and pays its CEO total annual compensation worth HK$2.1m. (This figure is for the year to December 2018). We think total compensation is more important but we note that the CEO salary is lower, at HK$1.2m. When we examined a selection of companies with market caps ranging from HK$784m to HK$3.1b, we found the median CEO total compensation was HK$2.2m.

So Bingmu Xie receives a similar amount to the median CEO pay, amongst the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

You can see, below, how CEO compensation at China Infrastructure & Logistics Group has changed over time.

Is China Infrastructure & Logistics Group Ltd. Growing?

Over the last three years China Infrastructure & Logistics Group Ltd. has grown its earnings per share (EPS) by an average of 20% per year (using a line of best fit). In the last year, its revenue is up 12%.

This demonstrates that the company has been improving recently. A good result. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. Although we don't have analyst forecasts, you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has China Infrastructure & Logistics Group Ltd. Been A Good Investment?

Since shareholders would have lost about 34% over three years, some China Infrastructure & Logistics Group Ltd. shareholders would surely be feeling negative emotions. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Bingmu Xie is paid around the same as most CEOs of similar size companies.

We think that the EPS growth is very pleasing, but it's disappointing to see negative shareholder returns over three years. We'd be surprised if shareholders want to see a pay rise for the CEO, but we'd stop short of calling their pay too generous. So you may want to check if insiders are buying China Infrastructure & Logistics Group shares with their own money (free access).

If you want to buy a stock that is better than China Infrastructure & Logistics Group, this free list of high return, low debt companies is a great place to look.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

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. Thank you for reading.