Fat cat pay revolts at M&C Saatchi as shares fall 8.4% after warning of falling earnings
Rebellion: Nearly 39% of M&C Saatchi shareholders voted against the company’s salary report
M&C Saatchi investors have revolted over executive pay.
Nearly 39 percent voted against the executive compensation report, hours after it warned that the challenging advertising environment would continue to hurt earnings.
More than a quarter of shareholders also voted against re-election of Louise Jackson, chairman of the remuneration committee and non-executive director.
Jackson received a base salary of £95,000 for 2022 – a 27 per cent increase on the previous year – while CEO Moray MacLennan received £1.3 million.
It came after London-listed shares fell 19 percent in early trading after it said earnings for the full year will see a “slight drop” due to economic uncertainty.
Shares fell 8.4 percent, or 14.5 pence, to 159 pence.
In April, it forecast pre-tax profit of £36.5m to £38m, representing a 15% to 19% increase from the record profit of 2022.