Key Insights

• National Australia Bank's Annual General Meeting to take place on 14th of December

• Salary of AU$2.38m is part of CEO Ross McEwan's total remuneration

• The total compensation is 129% higher than the average for the industry

• National Australia Bank's total shareholder return over the past three years was 45% while its EPS grew by 29% over the past three years

CEO Ross McEwan has done a decent job of delivering relatively good performance at National Australia Bank Limited (ASX:NAB) 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 14th of December. However, some shareholders will still be cautious of paying the CEO excessively.

Check out our latest analysis for National Australia Bank

How Does Total Compensation For Ross McEwan Compare With Other Companies In The Industry?

According to our data, National Australia Bank Limited has a market capitalization of AU$91b, and paid its CEO total annual compensation worth AU$6.2m over the year to September 2023. This means that the compensation hasn't changed much from last year. We think total compensation is more important but our data shows that the CEO salary is lower, at AU$2.4m.

For comparison, other companies in the Australian Banks industry with market capitalizations above AU$12b, reported a median total CEO compensation of AU$2.7m. Accordingly, our analysis reveals that National Australia Bank Limited pays Ross McEwan north of the industry median. Moreover, Ross McEwan also holds AU$2.7m worth of National Australia Bank stock directly under their own name.

Talking in terms of the industry, salary represented approximately 63% of total compensation out of all the companies we analyzed, while other remuneration made up 37% of the pie. It's interesting to note that National Australia Bank allocates a smaller portion of compensation to salary in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

National Australia Bank Limited's Growth

National Australia Bank Limited's earnings per share (EPS) grew 29% per year over the last three years. In the last year, its revenue is up 7.5%.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..