Posted: 12/16/2024 07:24 am
Lantronix, Inc. (Nasdaq: LTRX), a prominent player in the computer communications equipment industry, has been making notable changes in its executive compensation structures over recent years. This reflects broader strategic shifts within the company as it navigates through dynamic market conditions.
Examining compensation data illuminates interesting trends, particularly in the roles and remunerations of key executives. The compensation package of Mathi Gurusamy, appointed as Chief Strategy Officer in 2024, reveals a significant focus on stock awards. Gurusamy's total compensation amounted to $856,297, with a predominant portion—$792,839—allocated as stock awards, highlighting the company's emphasis on performance-linked incentives. His cash salary was relatively modest at $38,077, supplemented by a $25,000 bonus, reflecting a strategic decision to align executive interests with shareholder value.^[1^]
Comparatively, in 2023, Jeremy R. Whitaker, serving as Interim CEO & CFO, received a total compensation of $823,914. His package included a base salary of $255,000 and stock awards totaling $566,130, underscoring a consistent approach towards equity-based compensation as a tool for aligning leadership actions with long-term corporate goals.^[2^]
In 2021, Whitaker, then CFO, earned $670,678 in total compensation. This included a similar base salary of $255,000, with stock awards and incentive plan compensation forming substantial components of his pay. Meanwhile, Paul Pickle, who was the President & CEO in the same year, received $1,074,910, significantly influenced by both stock awards and incentive compensation, signaling a higher valuation of executive oversight at the CEO level.^[3^][4^]
The compensation for Kevin Yoder, Former Vice President of Worldwide Sales in 2020, was markedly lower at $423,469. His compensation package highlights the variance in pay structure across different roles within Lantronix. Despite a consistent base salary, the differences in stock awards and other compensations reflect differentiated incentives tailored to specific roles.^[5^]
This detailed analysis of recent compensation data comes amidst a backdrop of fluctuating stock performance. As of recent data, Lantronix trades at $3.44, with a negative change of 4.71% on the day. The stock, having peaked at $6.95 over the past year, faces pressures reflected in current market dynamics. The ongoing focus on equity-based compensation may serve as a motivational tool to revitalize performance as Lantronix prepares for its next earnings announcement in February 2025.^[6^]
These compensation strategies underscore Lantronix's commitment to aligning leadership incentives with their broader strategic objectives, amidst a fluctuating economic environment and industry-specific challenges.
:
1. Lantronix, Inc. SEC Filing, 2024. [SEC.gov](https://www.sec.gov/Archives/edgar/data/1114925/000114036124042340/0001140361-24-042340-index.htm).
2. Lantronix, Inc. SEC Filing, 2023. [SEC.gov](https://www.sec.gov/Archives/edgar/data/1114925/000114036123046348/0001140361-23-046348-index.htm).
3. Lantronix, Inc. SEC Filing, 2021. [SEC.gov](https://www.sec.gov/Archives/edgar/data/1114925/000114036122036636/0001140361-22-036636-index.htm).
4. Lantronix, Inc. SEC Filing, 2021. [SEC.gov](https://www.sec.gov/Archives/edgar/data/1114925/000168316821004715/0001683168-21-004715-index.htm).
5. Lantronix, Inc. SEC Filing, 2020. [SEC.gov](https://www.sec.gov/Archives/edgar/data/1114925/000168316820003323/0001683168-20-003323-index.htm).
6. Lantronix, Inc. Market Data. NASDAQ.
