Is Télévision Française 1 SA's (EPA:TFI) CEO Salary Justified?

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Gilles Christian Pélisson became the CEO of Télévision Française 1 SA (EPA:TFI) in 2016. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for Télévision Française 1

How Does Gilles Christian Pélisson's Compensation Compare With Similar Sized Companies?

According to our data, Télévision Française 1 SA has a market capitalization of €1.9b, and pays its CEO total annual compensation worth €2.5m. (This figure is for the year to December 2018). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at €920k. We examined companies with market caps from €891m to €2.9b, and discovered that the median CEO total compensation of that group was €1.0m.

Thus we can conclude that Gilles Christian Pélisson receives more in total compensation than the median of a group of companies in the same market, and of similar size to Télévision Française 1 SA. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.

You can see, below, how CEO compensation at Télévision Française 1 has changed over time.

Is Télévision Française 1 SA Growing?

Over the last three years Télévision Française 1 SA has grown its earnings per share (EPS) by an average of 40% per year (using a line of best fit). Its revenue is up 10% over last year.

This demonstrates that the company has been improving recently. A good result. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. Shareholders might be interested in this free visualization of analyst forecasts.

Has Télévision Française 1 SA Been A Good Investment?

With a total shareholder return of 3.8% over three years, Télévision Française 1 SA has done okay by shareholders. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.

In Summary...

We examined the amount Télévision Française 1 SA pays its CEO, and compared it to the amount paid by similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.

Importantly, though, the company has impressed with its earnings per share growth, over three years. We also think investors are doing ok, over the same time period. You might wish to research management further, but on this analysis, considering the EPS growth, we wouldn't call the CEO pay problematic. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Télévision Française 1 (free visualization of insider trades).

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

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.