Under the guidance of CEO George Frazis, Bank of Queensland Limited (ASX:BOQ) has performed reasonably well recently. This is something shareholders will keep in mind as they cast their votes on company resolutions such as executive remuneration in the upcoming AGM on 06 December 2022. Based on our analysis of the data below, we think CEO compensation seems reasonable for now.

View our latest analysis for Bank of Queensland

How Does Total Compensation For George Frazis Compare With Other Companies In The Industry?

At the time of writing, our data shows that Bank of Queensland Limited has a market capitalization of AU$4.6b, and reported total annual CEO compensation of AU$2.8m for the year to August 2022. Notably, that's an increase of 22% over the year before. In particular, the salary of AU$1.44m, makes up a fairly large portion of the total compensation being paid to the CEO.

For comparison, other companies in the same industry with market capitalizations ranging between AU$3.0b and AU$9.5b had a median total CEO compensation of AU$2.3m. From this we gather that George Frazis is paid around the median for CEOs in the industry. What's more, George Frazis holds AU$2.4m worth of shares in the company in their own name.

Component 2022 2021 Proportion (2022) Salary AU$1.4m AU$1.3m 51% Other AU$1.4m AU$1.1m 49% Total Compensation AU$2.8m AU$2.3m 100%

Talking in terms of the industry, salary represented approximately 49% of total compensation out of all the companies we analyzed, while other remuneration made up 51% of the pie. Bank of Queensland is largely mirroring the industry average when it comes to the share a salary enjoys in overall compensation. If salary is the major component in total compensation, it suggests that the CEO receives a higher fixed proportion of the total compensation, regardless of performance. ceo-compensation

A Look at Bank of Queensland Limited's Growth Numbers

Bank of Queensland Limited has reduced its earnings per share by 4.2% a year over the last three years. It achieved revenue growth of 30% over the last year.



Investors would be a bit wary of companies that have lower EPS But in contrast the revenue growth is strong, suggesting future potential for EPS growth. These two metrics are moving in different directions, so while it's hard to be confident judging performance, we think the stock is worth watching. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.

Has Bank of Queensland Limited Been A Good Investment?

Bank of Queensland Limited has served shareholders reasonably well, with a total return of 10% over three years. 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...

The overall company performance has been commendable, however there are still areas for improvement. We reckon that there are some shareholders who may be hesitant to increase CEO pay further until EPS growth starts to improve, despite the robust revenue growth.

CEO pay is simply one of the many factors that need to be considered while examining business performance. That's why we did our research, and identified 2 warning signs for Bank of Queensland (of which 1 can't be ignored!) that you should know about in order to have a holistic understanding of the stock.

Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this freelist of interesting companies.

Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.

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