In 2008 Rajeev Jhawar was appointed CEO of Usha Martin Limited (NSE:USHAMART). First, this article will compare CEO compensation with compensation at similar sized companies. Then we'll look at a snap shot of the business growth. 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.

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View our latest analysis for Usha Martin

How Does Rajeev Jhawar's Compensation Compare With Similar Sized Companies?

Our data indicates that Usha Martin Limited is worth ₹9.5b, and total annual CEO compensation is ₹16m. (This figure is for the year to March 2018). We think total compensation is more important but we note that the CEO salary is lower, at ₹11m. We examined a group of similar sized companies, with market capitalizations of below ₹14b. The median CEO total compensation in that group is ₹1.3m.

As you can see, Rajeev Jhawar is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Usha Martin Limited is paying too much. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.

You can see, below, how CEO compensation at Usha Martin has changed over time.

Is Usha Martin Limited Growing?

On average over the last three years, Usha Martin Limited has grown earnings per share (EPS) by 17% each year (using a line of best fit). It achieved revenue growth of 15% over the 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. We don't have analyst forecasts, but you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Usha Martin Limited Been A Good Investment?

Boasting a total shareholder return of 152% over three years, Usha Martin Limited has done well by shareholders. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.

In Summary...

We compared total CEO remuneration at Usha Martin Limited with the amount paid at companies with a similar market capitalization. As discussed above, we discovered that the company pays more than the median of that group.

However, the earnings per share growth over three years is certainly impressive. On top of that, in the same period, returns to shareholders have been great. So, considering this good performance, the CEO compensation may be quite appropriate. Shareholders may want to check for free if Usha Martin insiders are buying or selling shares.

If you want to buy a stock that is better than Usha Martin, 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.