With Tesla’s Strong quarterly reports on Wednesday, CEO Elon Musk scored a performance hat trick totaling $23 billion in new compensation.
The world’s most valuable carmaker reported third-quarter revenue and profit that beat Wall Street estimates as it raised prices in response to inflation, offsetting the impact of factory closures in Shanghai. Sea.
Musk’s latest payout, which must be certified by the Tesla board, comes days after he offered to buy Twitter for $43 billion, with analysts suggesting he could sell Tesla stock. to help finance the deal.
According to Forbes, Musk is already the richest person in the world.
Tesla reported quarterly revenue of $18.76 billion and so-called adjusted earnings before interest, taxes, Depreciation and depreciation (EBITDA) of $5.02 billion. Combined with the previous three-quarter results, passing key milestones triggered contention from ninth to 11th out of 12 batches of options granted to Musk on his 2018 salary package.
Musk said Wednesday that no discussions have been conducted about the increased compensation.
Musk, who is also the majority shareholder and CEO of rocket maker SpaceX, does not take a salary at Tesla. His salary package requires Tesla’s market capitalization and financial growth to hit a series of escalation goals.
Each tranche gives Musk the option to buy 8.4 million Tesla shares at $70.01 per share, about 90% off Wednesday’s closing price of $977.20. At the stock’s current price, the three option periods should support as Tesla’s third-quarter results could generate profits of about $23 billion, or nearly $7.7 billion each.
Late last year, Musk earned $16.4 billion from selling about 10% of his stake in Tesla to meet tax withholding obligations related to the exercise of stock options.
