Key Insights

• Premier Financial to hold its Annual General Meeting on 30th of April

• Total pay for CEO Gary Small includes US$617.1k salary

• Total compensation is 42% below industry average

• Premier Financial's three-year loss to shareholders was 26% while its EPS was down 3.0% over the past three years

Performance at Premier Financial Corp. (NASDAQ:PFC) has not been particularly rosy recently and shareholders will likely be holding CEO Gary Small and the board accountable for this. The next AGM coming up on 30th of April will be a chance for shareholders to have their concerns addressed by the board, challenge management on company strategy and vote on resolutions such as executive remuneration, which may help change the company's future prospects. From our analysis below, we think CEO compensation looks appropriate for now.

Check out our latest analysis for Premier Financial

How Does Total Compensation For Gary Small Compare With Other Companies In The Industry?

Our data indicates that Premier Financial Corp. has a market capitalization of US$737m, and total annual CEO compensation was reported as US$1.1m for the year to December 2023. We note that's a small decrease of 4.8% on last year. We note that the salary of US$617.1k makes up a sizeable portion of the total compensation received by the CEO.

On examining similar-sized companies in the American Banks industry with market capitalizations between US$400m and US$1.6b, we discovered that the median CEO total compensation of that group was US$1.9m. This suggests that Gary Small is paid below the industry median. Moreover, Gary Small also holds US$1.7m worth of Premier Financial stock directly under their own name.

On an industry level, roughly 45% of total compensation represents salary and 55% is other remuneration. Premier Financial pays out 56% of remuneration in the form of a salary, significantly higher than the industry average. 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.

Premier Financial Corp.'s Growth

Over the last three years, Premier Financial Corp. has shrunk its earnings per share by 3.0% per year. Its revenue is up 6.4% over the last year.

The lack of EPS growth is certainly uninspiring. And the modest revenue growth over 12 months isn't much comfort against the reduced EPS. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. 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.