Key Insights Honma Golf to hold its Annual General Meeting on 19th of September Total pay for CEO Jianguo Liu includes JP¥36.1m salary The overall pay is comparable to the industry average Honma Golf’s EPS declined by 61% over the past three years while total shareholder return over the past three years was 24%
Despite positive share price growth of 24% for Honma Golf Limited (HKG:6858) over the last few years, earnings growth has been disappointing, which suggests something is amiss. These concerns will be at the front of shareholders’ minds as they go into the AGM coming up on 19th of September. One way that shareholders can influence managerial decisions is through voting on CEO and executive remuneration packages, which studies show could impact company performance. From the data that we gathered, we think that shareholders should hold off on a raise on CEO compensation until performance starts to show some improvement.
View our latest analysis for Honma Golf
Comparing Honma Golf Limited’s CEO Compensation With The Industry
At the time of writing, our data shows that Honma Golf Limited has a market capitalization of HK$2.2b, and reported total annual CEO compensation of JP¥40m for the year to March 2025. That’s a modest increase of 6.0% on the prior year. Notably, the salary which is JP¥36.1m, represents most of the total compensation being paid.
For comparison, other companies in the Hong Kong Leisure industry with market capitalizations ranging between HK$778m and HK$3.1b had a median total CEO compensation of JP¥38m. So it looks like Honma Golf compensates Jianguo Liu in line with the median for the industry. What’s more, Jianguo Liu holds HK$836m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.
Component20252024Proportion (2025)SalaryJP¥36mJP¥34m91%OtherJP¥3.4mJP¥3.1m9%Total CompensationJP¥40m JP¥37m100%
Speaking on an industry level, nearly 79% of total compensation represents salary, while the remainder of 21% is other remuneration. Honma Golf is paying a higher share of its remuneration through a salary in comparison to the overall industry. 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.
SEHK:6858 CEO Compensation September 12th 2025 Honma Golf Limited’s Growth
Honma Golf Limited has reduced its earnings per share by 61% a year over the last three years. In the last year, its revenue is down 17%.
The decline in EPS is a bit concerning. And the fact that revenue is down year on year arguably paints an ugly picture. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. Although we don’t have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Honma Golf Limited Been A Good Investment?
With a total shareholder return of 24% over three years, Honma Golf Limited shareholders would, in general, be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
To Conclude…
Shareholder returns, while positive, should be looked at along with earnings, which have not grown at all recently. This makes us think the share price momentum may slow in the future. Shareholders should make the most of the coming opportunity to question the board on key concerns they may have and revisit their investment thesis with regards to the company.
If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Honma Golf.
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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.