Page 165 - Sigmaroc Annual-Report 2023

Remuneration Committee Report
The Remuneration Committee has been charged by the Board to ensure that the Group’s pay and benefits practices are competitive, able to attract high calibre people and to ensure those people are suitably incentivised to perform and remain with the Group over the long term.
The Board is ultimately responsible for the Group’s remuneration policy. The role of the Remuneration Committee is to determine the terms of employment for the executive directors and senior management of the Group within the framework established by the Board.
KEY ACTIVITIES CARRIED OUT IN 2023
During the year, the Remuneration Committee met formally twice and discussed the following:
• Executive remuneration
• Annual bonuses
• Pay and benefit levels across the Group
• Remuneration review and shareholder consultation
• Long term incentives
• The Remuneration Committee report
• Review of the Committee’s terms of reference
MEETING ATTENDANCE
Simon Chisholm 2 Tim Hall 2
COMMITTEE DUTIES
The Remuneration Committee is responsible for:
• Determining and agreeing with the Board the framework or broad policy for the remuneration of the executive officers and other senior managers;
• Taking into account all factors which it deems necessary including the level of the Company’s remuneration relative to other companies to ensure that members of the Company are provided with appropriate incentives to encourage enhanced performance and are, in a fair and reasonable manner, rewarded for their individual contributions to the success of the Company; and
• Determining each year whether awards will be made, and if so, the overall amounts of such awards, the individual awards to executive directors and other senior executives and the performance targets to be used.
"I am pleased to present the Remuneration Committee report for the year ended
31 December 2023 and can confirm that all aspects of executive remuneration
are in order."
Simon Chisholm
Independent Non-Executive Director
We undertook a comprehensive review of our remuneration policy in 2021, which included advice from advisers and consultation with certain Shareholders, to ensure it was appropriate given SigmaRoc’s growth to date combined with the future growth and development ambition of the Group. The focus of 2023 has been on continued implementation of the policy and ensuring pay outcomes fairly reflect the performance of the Group and take into consideration external macroeconomic conditions.
This report comprises three sections: this Annual Statement, the Policy Report which summarises our current remuneration policy, and the Annual Report on Remuneration which sets out the amounts earned by directors in 2023, and how we propose to apply the policy in the future.
At the 2024 AGM, Shareholders will have the opportunity to vote on the Directors’ Remuneration Report and we look forward to your continued support.
2023 BUSINESS PERFORMANCE
2023 was another busy, challenging and very successful year for the Group. The Group was able to deliver further improved profitability in difficult economic conditions, whereby volumes declined 4% LFL, while simultaneously delivering on a series of bolt-on acquisitions and the transformative agreements for the CRH Lime Acquisitions.
From a purely financial perspective, in 2023, the Group delivered revenue of £580.3 million, underlying EBITDA of £116.7 million, underlying profit before tax of £71.2 million and underlying EPS of 8.12p. This is an increase YoY to underlying EPS of 1% and exceeded the initial market consensus estimate of 7.3p by 11%, an exceptional achievement. The Group also had strong cash generation, closing the year with £55.9 million which kept Covenant Leverage well below our long term target range of 2.0x.
The Group also maintained its excellent health & safety standards and delivered on the aforementioned bolt-on and transformative acquisitions.
2023 REMUNERATION OUTCOMES
In 2021 the Committee undertook a complete review of our remuneration policy in conjunction with our advisers, and in consultation with certain Shareholders, to ensure it was appropriate given SigmaRoc’s growth to date combined
Director
Meetings attended
Eligible to attend
165
2
2