Geoffrey Odundo Salary: The chief executive office of Nairobi Securities Exchange (NSE), took home a salary totaling Sh. 23.7 million in the financial year ended December 2018.
This salary represented a 30.5 percent pay rise which was equivalent to a raise of Sh. 5.6 million.
In the previous year, he had earned Sh. 18.1 million.
His current salary comprised a basic salary of Sh. 21.7 million and Sh. 1.9 million pension.
Geoffrey Odundo salary in the previous year consisted Sh. 16.5 million basic salary and Sh. 1.6 million pension.
NSE’s net earnings fell 12 percent to Sh. 190.6 million, largely due to administrative expenses rising 13 percent to Sh560.3 million.
The company’s three percent sales growth to Sh626.1 million trailed the pace at which costs rose, resulting in the profit dip.
A prolonged bear run on the Nairobi bourse has also constrained NSE’s ability to grow earnings substantially. The benchmark NSE 20 Share Index, for instance, is nearly 50 percent off the last peak of 5,491 points in February 2015.
Most of the company’s revenue is derived from fees calculated on the value of transactions, with higher stock prices serving to boost the commissions.
“The chief executive is the only executive director on the board and the company has in place a remuneration policy which is aimed at ensuring compensation is competitive and aligned to the company’s strategic objectives,” NSE says in its latest annual report.
The company added that Mr Odundo’s contract was renewed for a second and final term which will run until February 2023.
Besides Mr Odundo, the NSE raised the pay of most of its non-executive directors by hundreds of thousands of shillings each.