UK's Boohoo scraps executive bonus plan after shareholder backlash
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 28 2024
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Source: reuters
- Boohoo Group's Executive Bonuses: Boohoo Group's bosses have decided to waive their annual bonuses and cancel plans to increase executive awards after discussions with shareholders.
- Shareholder Revolt Averted: The company was facing a potential shareholder revolt at the upcoming AGM due to proposed executive bonus schemes despite significant losses.
- Resolution Withdrawn: Boohoo has removed the resolution regarding executives' bonuses from the AGM agenda in response to concerns.
- Financial Losses Reported: The online fashion retailer reported an annual statutory loss before tax of nearly 160 million pounds, compared to a loss of 90.7 million pounds the previous year.
- Incentive Plan Details: The proposed incentive plan would have allowed for bonuses of up to 500% of executives' salaries, combining annual bonuses and long-term incentives.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
