Naspers CEO scores R1 billion pay package

Fabricio Bloisi, the CEO of Naspers and Prosus, has received a single-figure remuneration package worth over R1 billion rand, with only 1% (R10 million) being his fixed salary.

The other R990 million component of his salary was tied to incentives, performance share units, and stock appreciation rights.

The group noted that at the time of Bloisi’s appointment as CEO in July 2024, that his remuneration package would be structured to support the group’s long-term strategic priorities and align with shareholder interests.

The Brazilian-born CEO received a base salary and an annual short-term incentive (STI) opportunity contingent on achieving demanding financial, operational, and strategic performance goals.

He was also granted long-term incentives (LTIs) that span the full four-year term of his appointment, including performance share units (PSUs) and stock appreciation rights (SARs).

His package also includes a one-time moonshot award, designed to incentivise exceptional value creation.

This moonshot award will only vest if, by 30 June 2028, Prosus’ market capitalisation has at least doubled and been sustained for 12 months.

It will also require that the company’s total shareholder return (TSR) exceeds the median of a defined peer group.

Looking at the group’s consolidated performance, total revenue from continuing operations increased by $750 million to $7.2 billion.

This was primarily due to strong revenue growth in Classifieds and Food Delivery. Consolidated adjusted EBIT of $130 million also reflected a massive $284 million year-on-year improvement.

The group added that it has been particularly active in managing its businesses to remain on track to deliver against its published financial commitments.

It is also shifting its capital allocation strategy away from companies with no clear path to profitability, highlighting that growth is still essential.

The group’s free cash inflow was also $968 million, a sizeable year-on-year improvement. Tencent is also a major contributor to cash flow via a stable dividend of $1.0 billion.

The group said these performance outcomes are directly reflected in the executive’s remuneration schemes.

Annual STI outcomes for executives are linked to financial metrics like revenue growth, trading profit and cash flow. At the same time, LTI awards, which comprise PSUs and SARs, deal with value creation and shareholder returns.

Major payday

Looking at his single-figure remuneration package, Bloisi earned a base salary of $542,000 (R10 million), while his standard STI stood at $638,000 (R11.5 million).

His PSUs reached a combined $27.277 million (R492 million) from both Naspers and Prosus, while his SAR stood at $27.203 million (R490 million).

His pension was $38,000 (R680,000), while his other benefits were $242,000 (R4.3 million).

His total single-figure remuneration was $55.940 million (R1.01 billion). Only 1% of his remuneration is fixed, while the remaining 99% is variable.

Although this is a significant pay package, Bloisi must meet financial targets throughout the year. If not, he could miss out on potential targets.

For instance, he failed to reduce the holding company discount despite significant efforts in his STI goals and targets.

This included a substantial share repurchase programme that returned $12 billion (R216 billion) in FY25 to shareholders.

The group’s net asset value discount widened by five percentage points to 42% over the year.

The performance condition tied to the objective was thus not met. In line with the performance-based design of the STI framework, it resulted in a zero payout for this component of Bloisi’s pay.

“Discount management remains a key strategic priority for both management and the board, and sustained efforts to address it will continue in the year ahead,” said the group.

Nevertheless, he still met eight of his nine performance targets, including boosted core headline earnings, actual Earnings Before Interest and taxation, and several ESG targets. 

A detailed breakdown of his pay package can be found below: