This article is from the Australian Property Journal archive
Digital infrastructure group Nextdc CEO Craig Scroggie and senior executives will be handsomely rewarded to the tune of $150 million if they can deliver on a high growth strategic plan over the five years.
The growth incentive plan (GIP) was unveiled during the first half year announcement and the company said it will support the next phase of strategic growth that is intended to drive and reward outperformance and sustainable shareholder value creation.
The GIP is a one-off award with an aggregate face value of $150 million to spur the leadership team to deliver outperformance of returns to shareholders over a five-year period. The full vesting of the GIP rights is subject to an Absolute TSR hurdle of at least 17.5% per annum measured from the release of 1H25 results through to shortly after the release of the company’s 1H30 financial results in February 2030.
The company said as capital flows into the data centre sector continue to accelerate globally, especially from private markets, the GIP rights will also ensure that the company retains and attracts high-calibre executives.
Meanwhile the company announced a first half year net loss of $42.7 million, which is worse than the previous corresponding period’s loss result of $21.5 million.
But net revenue rose by 13% or $18.7 million to $167.8 million and underlying EBITD increased 3% or $3.4 million to $105.4 million.
Scroggie said the company’s robust first-half performance shows that it is on course to achieve its key revenue and underlying EBITDA targets.
“With continued operational momentum, we expect to deliver another strong operating and financial performance in FY25 and remain well placed to capitalise on growth opportunities and support customers’ expanding needs,” he concluded.
