Microsoft's filing with the U.S. Securities and Exchange Commission (SEC) today shows that in the 2023 fiscal year ending June 30, Microsoft CEO Satya Nadella's total compensation was US$48.5 million, the lowest recorded in the past three years, mainly due to reductions in his stock awards and other incentives.
A few months ago, Nadella told employees that salary increases for employees would be suspended due to the slowdown in the company's revenue growth. For Nadella, although his salary in fiscal 2023 is lower than the $54.94 million in fiscal 2022 and the $49.85 million in fiscal 2021, his total compensation is expected to exceed $1 billion since he became CEO in 2014.
Of this year’s total compensation of $48.5 million, the base salary remains unchanged at $2.5 million; stock awards are $39.23 million, non-stock awards are $6.4 million, and other awards are $360,000.
In the past fiscal year 2023, Nadella did not achieve the financial performance target he set (slightly lower), but exceeded the operational performance target. Overall, he achieved 85.5% of the goals he set.
In fiscal year 2023, Microsoft's revenue increased by 11% to $211.9 billion. Among them, cloud services revenue increased by 22% to a staggering $111.6 billion, although the growth rate is still lower than in recent years. Operating profit was $88.5 billion, up slightly from $83.38 billion a year ago. Net profit was US$72.36 billion, flat year-on-year.
In addition to Nadella, Microsoft CF O'Amy Hood's total salary for fiscal year 2023 is US$19.9 million, sales director Judson Althoff is US$16.2 million, and President Brad Smith is US$18.1 million.