SYDNEY (Reuters) – Macquarie Group’s commodities and global markets (CGM) division head earned about A$57.6 million ($39 million) for the year ending March 31, topping the CEO’s A$32.8 million compensation, according to the Australian bank’s annual report.
Nick O’Kane’s 59% pay bump – he earned A$36.2 million in the last financial year – came after CGM contributed 57% of the Sydney-based firm’s net profit, more than double the second-best asset management division.
Macquarie posted another record annual profit on Friday, primarily driven by a strong performance from the CGM division, as more customers hedged against volatile energy markets.
The Ukraine war and unpredictable weather in North America boosted commodity prices during the period, and turned Macquarie’s oil, gas and power trading unit into a profit powerhouse because of elevated risk management and improved trading.
“Inventory management and trading increased substantially, driven by trading income from regional supply and demand imbalances primarily in North American gas and power markets.” Macquarie said in its statement.
Chief Executive Shemara Wikramanayake said while the company remained “cautious”, Macquarie’s diversified global operation across annuity-style and markets-facing businesses set the stage for “superior performance” in the medium term.
($1 = 1.4901 Australian dollars)
(Reporting by Praveen Menon; Editing by Jamie Freed)