Tesla, Inc. (NASDAQ:TSLA) is asking shareholders to reapprove CEO Elon Musk‘s 2018 compensation plan, which was voided by a Delaware Chancery court. The decision remains divisive among stakeholders, and an environmental expert recently shared data highlighting the significant value of the pay package.
What Happened: Eric Roesch, an environmental expert and publisher of the ESG Hound blog, posted data on Threads in late April that sheds light on the size of the proposed payout. “Probably a good time to point out that Tesla’s total revenues since inception are $338 billion. Total Gross Profits are 73 billion and net income is 27 billion.”
He questioned the rationale behind the proposed compensation for Musk. “Musk demanding a $53 billion payout would be the equivalent of 16% of total revenues since 2009 72% of gross profits since 2009 195% of net income (i.e. real economic profits) since 2009,” Roesch said. “It’s lunacy and completely detached from reality.”