It's Unlikely That The CEO Of China Chunlai Education Group Co., Ltd. (HKG:1969) Will See A Huge Pay Rise This Year

Key Insights

• China Chunlai Education Group will host its Annual General Meeting on 5th of February
• Salary of CN¥1.64m is part of CEO Jie Zhang's total remuneration
• Total compensation is similar to the industry average
• Over the past three years, China Chunlai Education Group's EPS grew by 15% and over the past three years, the total loss to shareholders 14%

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In the past three years, the share price of China Chunlai Education Group Co., Ltd. (HKG:1969) has struggled to generate growth for its shareholders. However, what is unusual is that EPS growth has been positive, suggesting that the share price has diverged from fundamentals. These are some of the concerns that shareholders may want to bring up at the next AGM held on 5th of February. Voting on resolutions such as executive remuneration and other matters could also be a way to influence management. We think shareholders might be reluctant to increase compensation for the CEO at the moment, according to our analysis below.

See our latest analysis for China Chunlai Education Group

How Does Total Compensation For Jie Zhang Compare With Other Companies In The Industry?

Our data indicates that China Chunlai Education Group Co., Ltd. has a market capitalization of HK$3.7b, and total annual CEO compensation was reported as CN¥1.7m for the year to August 2025. Notably, that's an increase of 13% over the year before. In particular, the salary of CN¥1.64m, makes up a huge portion of the total compensation being paid to the CEO.

For comparison, other companies in the Hong Kong Consumer Services industry with market capitalizations ranging between HK$1.6b and HK$6.2b had a median total CEO compensation of CN¥1.8m. So it looks like China Chunlai Education Group compensates Jie Zhang in line with the median for the industry.

Speaking on an industry level, nearly 82% of total compensation represents salary, while the remainder of 18% is other remuneration. China Chunlai Education Group pays a high salary, concentrating more on this aspect of compensation in comparison to non-salary pay. 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.

China Chunlai Education Group Co., Ltd.'s Growth

China Chunlai Education Group Co., Ltd. has seen its earnings per share (EPS) increase by 15% a year over the past three years. Its revenue is up 9.8% over the last year.

Shareholders would be glad to know that the company has improved itself over the last few years. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has China Chunlai Education Group Co., Ltd. Been A Good Investment?

Since shareholders would have lost about 14% over three years, some China Chunlai Education Group Co., Ltd. investors would surely be feeling negative emotions. So shareholders would probably want the company to be less generous with CEO compensation.

In Summary...

Jie receives almost all of their compensation through a salary. Despite the growth in its earnings, the share price decline in the past three years is certainly concerning. The fact that the stock price hasn't grown along with earnings may indicate that other issues may be affecting that stock. If there are some unknown variables that are influencing the stock's price, surely shareholders would have some concerns. At the upcoming AGM, shareholders will get the opportunity to discuss any issues with the board, including those related to CEO remuneration and assess if the board's plan will likely improve performance in the future.

Shareholders may want to check for free if China Chunlai Education Group insiders are buying or selling shares.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

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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.