{"id":759225,"date":"2024-03-11T17:00:00","date_gmt":"2024-03-11T15:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=759225"},"modified":"2024-03-18T10:19:33","modified_gmt":"2024-03-18T08:19:33","slug":"massive-payday-for-absas-top-executives-earning-a-collective-r430000-per-day","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/banking\/759225\/massive-payday-for-absas-top-executives-earning-a-collective-r430000-per-day\/","title":{"rendered":"Massive payday for Absa\u2019s top executives \u2013 earning a collective R430,000 per day"},"content":{"rendered":"\n

Absa\u2019s annual remuneration report for 2023 was released in March 2023 \u2013 revealing how much the bank\u2019s top execs earned over the last financial year.<\/p>\n\n\n\n

In its financial results for the full year ending December 2023, Absa recorded a total income of R104.6 billion for the year, up from R96.8 billion the year prior. <\/p>\n\n\n\n

Discounting the Barclays separation effects, this is only marginally lower at R104.5 billion (normalised).<\/p>\n\n\n\n

Normalised headline earnings were R20.9 billion, higher but relatively flat compared to the R20.7 billion recorded in FY2022. <\/p>\n\n\n\n

The group saw its headline earnings per share increase marginally by 1% to 2,422.3 cents for the financial year ended 31 December 2023 (FY23). <\/p>\n\n\n\n

Although the group\u2019s H2 dividend per share dropped by a sizeable 12.7% to 685 cents per share, its total dividend for the year increased by 5% to 1,370 cents per share.<\/p>\n\n\n\n

Financials<\/strong><\/td>FY22<\/strong><\/td>FY23<\/strong><\/td>Change<\/strong><\/td><\/tr>
Basic earnings per share (cents)<\/td>2 443.3<\/td>2 400.3<\/td>-1.8%<\/td><\/tr>
Headline earnings per share (cents)<\/td>2 408.2<\/td>2 422.3<\/td>+1%<\/td><\/tr>
Dividend per share (cents)<\/td>1 300<\/td>1 370<\/td>+5%<\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n

Executive pay<\/strong><\/p>\n\n\n\n

According to Absa\u2019s single-figure report, CEO Arrie Rautenbach\u2019s pay amounted to R40.03 million in 2023 <\/strong>\u2013 a 10.6% cut from the R44.78 million he received in 2022.<\/p>\n\n\n\n

This comprises his fixed salary of R9.79 million and a cash incentive of R6.8 million. The group CEO also got a deferred award of R5.8 million as well as a performance award vested of R17 million.<\/p>\n\n\n\n

Rautenbach\u2019s salary equates to him earning around R109,685 a day.<\/p>\n\n\n\n

The group\u2019s CFO, Jason Quinn, took home R6.49 million for the year. However, Quinn ceased to be the Group Financial Director and executive director on 22 November 2023. <\/p>\n\n\n\n

This is because as of 31 May 2024, Jason Quinn will be replacing Mike Brown as Nedbank’s new CEO<\/a>. <\/p>\n\n\n\n

His disclosed remuneration has therefore been pro-rated for time in service as an executive director during 2023, said Absa. <\/p>\n\n\n\n

Following this, the bank added Christopher Snyman was appointed as Interim Group Financial Director and an executive director on 22 November 2023. <\/p>\n\n\n\n

His disclosed fixed remuneration has also been pro-rated for time in service as an executive director during 2023.<\/p>\n\n\n

\n
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Of Absa\u2019s top eight executives \u2013 excluding Quinn and Snyman for the abovementioned reasons \u2013 Chief Executive of Everyday Banking Cowyk Fox took home the \u2018smallest\u2019 amount among the executives at R14.28 million.<\/p>\n\n\n\n

Absa also noted that Punki Modise ceased to be an executive director on 29 March 2022.<\/p>\n\n\n

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\"\"<\/figure><\/div>\n\n\n
\"\"<\/a><\/figure>\n\n\n\n

Combined, the eight executives received a total of R156.88 million in salaries<\/strong> \u2013 averaging R19.61 million per exec and R429,830 per day. <\/strong><\/p>\n\n\n\n

The table below outlines what Absa\u2019s top executives earned and how it translates per day.<\/p>\n\n\n\n

Executive<\/th>Total Remuneration<\/th>Average per day<\/th><\/tr><\/thead>
A Rautenbach<\/td>R40 034 986 <\/td>R109 685<\/td><\/tr>
J Quinn<\/td>R6 486 667<\/td>R17 772<\/td><\/tr>
C Snyman<\/td>R9 645 834<\/td>R26 427<\/td><\/tr>
C Russon<\/td>R31 637 500<\/td>R86 678<\/td><\/tr>
G Lee<\/td>R20 528 500<\/td>R56 242<\/td><\/tr>
F Mkhize<\/td>R18 265 344<\/td>R50 042<\/td><\/tr>
S Chibiya<\/td>R16 007 975<\/td>R43 857<\/td><\/tr>
C Fox<\/td>R14 281 401<\/td>R39 127<\/td><\/tr>
Total:<\/strong><\/td>R156 888 207<\/strong><\/td>R429 830<\/strong><\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n
\n\n\n\n

Read: Criminals are targetting banking apps in South Africa \u2013 what you need to know<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

This is a breakdown of how much Absa’s top execs earned in 2023 \u2013 including CEO Arrie Rautenbach.<\/p>\n","protected":false},"author":92,"featured_media":679983,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[961],"tags":[29,853],"class_list":["post-759225","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banking","tag-absa","tag-south-africa"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/759225","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/92"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=759225"}],"version-history":[{"count":2,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/759225\/revisions"}],"predecessor-version":[{"id":759277,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/759225\/revisions\/759277"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/679983"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=759225"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=759225"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=759225"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}