Key Insights

• Sangamo Therapeutics will host its Annual General Meeting on 4th of June

• Salary of US$716.4k is part of CEO Sandy Macrae's total remuneration

• The total compensation is 119% higher than the average for the industry

• Sangamo Therapeutics' three-year loss to shareholders was 94% while its EPS was down 15% over the past three years

Sangamo Therapeutics, Inc. (NASDAQ:SGMO) has not performed well recently and CEO Sandy Macrae will probably need to up their game. At the upcoming AGM on 4th of June, shareholders can hear from the board including their plans for turning around performance. It would also be an opportunity for shareholders to influence management through voting on company resolutions such as executive remuneration, which could impact the firm significantly. We present the case why we think CEO compensation is out of sync with company performance.

Check out our latest analysis for Sangamo Therapeutics

How Does Total Compensation For Sandy Macrae Compare With Other Companies In The Industry?

At the time of writing, our data shows that Sangamo Therapeutics, Inc. has a market capitalization of US$124m, and reported total annual CEO compensation of US$2.4m for the year to December 2023. Notably, that's a decrease of 50% over the year before. While we always look at total compensation first, our analysis shows that the salary component is less, at US$716k.

On comparing similar-sized companies in the American Biotechs industry with market capitalizations below US$200m, we found that the median total CEO compensation was US$1.1m. This suggests that Sandy Macrae is paid more than the median for the industry. Furthermore, Sandy Macrae directly owns US$218k worth of shares in the company.

On an industry level, around 23% of total compensation represents salary and 77% is other remuneration. Sangamo Therapeutics pays out 30% of remuneration in the form of a salary, significantly higher than the industry average. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.

Sangamo Therapeutics, Inc.'s Growth

Sangamo Therapeutics, Inc. has reduced its earnings per share by 15% a year over the last three years. Its revenue is down 92% over the previous year.

Few shareholders would be pleased to read that EPS have declined. And the impression is worse when you consider revenue is down year-on-year. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.