The day before the "May Day" holiday, the 2023 performance report of A-share listed companies was disclosed. As the heads of major listed companies, the remuneration of the chairmen has also been exposed.
iFinD data shows that there are 15 listed companies with an annual salary of more than 10 million yuan, up to 41.9686 million yuan, more than 2,000 listed companies with an annual salary of more than 1 million, and more than 60 companies with an annual salary of less than 100,000 yuan, in addition to the annual salary of the chairman of many companies with an annual salary of 0.
The annual salary of the chairman of 15 companies exceeds 10 million
In the eyes of ordinary people, an annual salary of one million almost means that they are at the peak of their lives, but there are chairmen of 15 listed companies in A-shares, with an annual salary of more than 10 million, which can be said to be able to achieve a "small goal" after two or three years of hard work.
Among them, WuXi AppTec (603259. SH) Chairman Li Ge rode the dust with a salary of 41.9686 million yuan, obviously ahead of the other chairmen behind him, raising the overall level and becoming the most bullish "worker" in the A-share market of the year.
It is worth noting that this is the second consecutive year that Li Ge has achieved a salary of more than 40 million yuan, and he has received a cumulative salary of about 147 million yuan in WuXi AppTec in the past five years.
According to the disclosure, WuXi AppTec's revenue in 2023 will be approximately RMB40.341 billion, a year-on-year increase of 2.51%, and its net profit attributable to the parent company will be RMB9.607 billion, a year-on-year increase of 9%. Compared with previous years, WuXi AppTec's performance growth has slowed down. From the perspective of capital market performance, WuXi AppTec's share price has fallen from a high point (171.08 yuan / share), with a cumulative decline of more than 72%, and the company's stock price performance is obviously difficult to satisfy investors.
It is followed by Mindray Medical (300760. Li Xiting, chairman of Yili Co., Ltd., ranked second in the 2023 chairman salary list with an annual salary of 26.6286 million yuan, Pan Gang, chairman of Yili Co., Ltd. (600887.SH), ranked third with an annual salary of 21.7932 million yuan, Ou Leiqiang, chairman of BeiGene (688235.SH), with an annual salary of 16.9459 million yuan, and Liu Haidong, chairman of Juhe Materials (688503.SH), ranked fifth, with an annual salary of 15.0057 million yuan.
In addition, there are also chairmen of Midea Group, Jianghan New Materials, Transsion Holdings, TCL Technology, Meihua Biotechnology, Fosun Pharmaceutical, Wingtech Technology, LONGi Green Energy, Ruifeng New Materials, CIMC Group and other companies with an annual salary of more than 10 million.
Lanfu Finance found that among the above-mentioned companies, a total of 5 companies belong to the pharmaceutical and medical industry, including WuXi AppTec, Mindray Medical, BeiGene, Meihua Biotech, Fosun Pharmaceutical, etc., accounting for one-third, it seems that the chairman of the pharmaceutical industry has more "money" path.
The annual salary of the chairmen of the two companies is 1 yuan
Of course, not all the actual controllers of listed companies have the "domineering" of the above 15 chairmen.
iFinD data shows that among the A-share listed companies, a total of 2,076 chairmen have an annual salary of more than one million yuan, accounting for less than half. There are 62 companies whose annual salary is between 1 yuan and 100,000 yuan, and there are also many listed companies whose chairman salary is shown as 0.
Among them, Yongji shares (603058. SH) Chairman Deng Daixing, Kangdelai (603987. SH) chairman Zhang Xianmiao's salary in 2023 is 1 yuan. Deng Daixing of Yongji shares has been paid 1 yuan in the past 5 years, and Zhang Xianmiao of Kangdelai has also been paid 1 yuan for 3 consecutive years. The reason for this is quite intriguing.
Founded in 1997, Yongji Co., Ltd. is mainly engaged in trademark packaging and printing business, and has long provided printing supporting services for tobacco materials (cigarette boxes, strip wrapping paper) for Guizhou China Tobacco Industry Company. In 2023, Yongji Co., Ltd. will achieve revenue of 818 million yuan, a year-on-year increase of 25.16%, and net profit attributable to the parent company will be 100 million yuan, a year-on-year increase of 165.11%. In the first quarter of 2024, the company achieved revenue of 224 million yuan, a year-on-year increase of 29.04%, and net profit attributable to the parent company of 40.49 million yuan, a year-on-year increase of 31.02%.
KDL is mainly engaged in the research and development, production and sales of medical puncture instruments, and the company is a leading enterprise in the manufacturing technology of medical puncture needles in China. However, the company's operating performance in 2023 is poor, with annual revenue of about 2.453 billion yuan, down 21.36% year-on-year, and net profit attributable to the parent company of about 231 million yuan, down 25.93% year-on-year. At the beginning of 2024, KDL still failed to reverse the decline, achieving revenue of about 570 million yuan in the first quarter of this year, a year-on-year decrease of 17.03%, and a net profit attributable to the parent company of 60.54 million yuan, a year-on-year decrease of 28.88%. In addition, the company's share price has been in a downward trend for a long time.
Lanfu Financial Network noticed that among the companies with low annual salaries of the chairmen of listed companies, there are many companies with the Great Wall of China (000066. SZ), Oriental Fashion (603377. SH), Pacific (601099. SH) and other well-known companies. They are also at the helm of listed companies, and the gap in salary is still relatively large.
How to put executive compensation in perspective?
It should be noted that the remuneration of executives of listed companies is an important part of the company's operation and management, and a good salary distribution system is conducive to giving full play to the effectiveness of talents in different positions and promoting the long-term sustainable and healthy development of the company.
Generally speaking, the board of directors of a listed company will set up a remuneration appraisal committee, and formulate an effective remuneration system according to different departments and different members. Listed companies should formulate a sound and reasonable system to ensure the reasonableness of executive compensation, and at the same time, it also needs to be jointly supervised by regulators and investors.
For ordinary investors, the salary distribution of listed companies is not the decisive factor in the investment process, the net profit of some high-prosperity industries continues to increase, and it is normal for the annual salary of the chairman and other executives to rise, the key is to judge the core value and development prospects of the company.