Shareholders May Be Wary Of Increasing Hatcher Group Limited's (HKG:8365) CEO Compensation Package

Key Insights

• Hatcher Group will host its Annual General Meeting on 9th of February
• Salary of HK$2.16m is part of CEO Ringo Hui's total remuneration
• The total compensation is 33% higher than the average for the industry
• Hatcher Group's EPS declined by 36% over the past three years while total shareholder loss over the past three years was 87%

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The results at Hatcher Group Limited (HKG:8365) have been quite disappointing recently and CEO Ringo Hui bears some responsibility for this. At the upcoming AGM on 9th of February, shareholders can hear from the board including their plans for turning around performance. They will also get a chance to influence managerial decision-making through voting on resolutions such as executive remuneration, which may impact firm value in the future. From our analysis, we think CEO compensation may need a review in light of the recent performance.

Check out our latest analysis for Hatcher Group

How Does Total Compensation For Ringo Hui Compare With Other Companies In The Industry?

Our data indicates that Hatcher Group Limited has a market capitalization of HK$407m, and total annual CEO compensation was reported as HK$2.2m for the year to September 2025. There was no change in the compensation compared to last year. Notably, the salary which is HK$2.16m, represents most of the total compensation being paid.

For comparison, other companies in the Hong Kong Capital Markets industry with market capitalizations below HK$1.6b, reported a median total CEO compensation of HK$1.6m. This suggests that Ringo Hui is paid more than the median for the industry. Moreover, Ringo Hui also holds HK$4.7m worth of Hatcher Group stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Component	2025	2024	Proportion (2025)
Salary	HK$2.2m	HK$2.2m	99%
Other	HK$18k	HK$18k	1%
Total Compensation	HK$2.2m	HK$2.2m	100%

Speaking on an industry level, nearly 87% of total compensation represents salary, while the remainder of 13% is other remuneration. Investors will find it interesting that Hatcher Group pays the bulk of its rewards through a traditional salary, instead of non-salary benefits. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

Hatcher Group Limited's Growth

Over the last three years, Hatcher Group Limited has shrunk its earnings per share by 36% per year. Its revenue is up 6.7% over the last year.

Overall this is not a very positive result for shareholders. The modest increase in revenue in the last year isn't enough to make us overlook the disappointing change in EPS. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Hatcher Group Limited Been A Good Investment?

Few Hatcher Group Limited shareholders would feel satisfied with the return of -87% over three years. This suggests it would be unwise for the company to pay the CEO too generously.

To Conclude...

Ringo receives almost all of their compensation through a salary. Along with the business performing poorly, shareholders have suffered with poor share price returns on their investments, suggesting that there's little to no chance of them being in favor of a CEO pay raise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.

It is always advisable to analyse CEO pay, along with performing a thorough analysis of the company's key performance areas. That's why we did our research, and identified 3 warning signs for Hatcher Group (of which 2 can't be ignored!) that you should know about in order to have a holistic understanding of the stock.

Switching gears from Hatcher Group, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.

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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.