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Nvidia chief Huang given 60% pay increase amid AI hysteria

(2024/05/16)


Nvidia's chief Jenson Huang received a 60 percent pay bump in the corporation's fiscal 2024 on the back of a massive rally in the share price based on demand for AI, and triple digit growth percentages for revenue and operating profit.

Huang's package swelled to $34.16 million versus $21.35 million in the prior year. This was comprised of an unchanged base salary of $996,515, stock awards of $26.67 million, non-equity incentive compensation of $4 million and all other compensation of $2.494 million.

For someone who is reportedly worth $81.7 billion, at least according to Forbes, the financial top-up from Nvidia's last fiscal year likely barely registered in Huang's bank account. He owns 3.79 percent of the chipmaker's total share base.

[1]

Is he worth that sort of payout? Huang helped to position the company for the AI wave of demand (more than 40,000 companies use Nvidia GPUs for AI, [2]claims Nvidia ) and presided over some mightily impressive growth figures at Nvidia.

[3]

[4]

Revenue for the financial year ended January 28, 2024, jumped 126 percent year-on-year to $60.9 billion and operating income was up almost seven times to $33 billion.

Looking in more granular detail, the Compute and Networking division reported revenue of $47.4 billion, up 215 percent; Graphics was up 28 percent to $13.5 billion. The company's share price has bounced by 95 percent in the year to date to give it a market capitalization of $2.3 trillion.

[5]

The exec pay figures were outlined in a [6]Notice of 2024 Annual Meeting of Shareholders document filed with the SEC , and the compensation packages for Nvidia's senior leaders are among the items of business that shareholders will be asked to vote for on June 26.

[7]Broadcom CEO pay award jumps 164% to $160.8 million

[8]Microsoft CEO Nadella's compensation drops... to $48M

[9]Miffed Googlers meme on CEO's $226M pay award amid cost-cutting campaign

[10]IBM CEO pay jumps 23% in 2023, average employee gets 7%

[11]HP CEO pay for 2023 = 270,315 printer cartridges

Sales of Nvidia's Data Center products alone brought in $47.5 billion in revenue, up 217 percent; Gaming captured $10.4 billion, up 15 percent; Professional Visualization was $1.6 billion, up one percent; and Automotive was $1.1 billion, up 21 percent.

Product highlights in the year included shipments of the first Arm-based datacenter GPU, Grace, as part of the GH200 Grace Hopper Superchip, and "ramping" Grace products into a new multi-billion dollar line. The Blackwell GPU architecture also debuted, as did the Spectrum X accelerated networking platform and Quantum-X800 InfiniBand, and Spectrum-X800 Ethernet switches.

CFO Colette Kress received a financial package of $13.26 million, up from $10.2 million in the prior year; exec veep for worldwide field ops Ajay Puri got $13.6 million versus $10.6 million; and Debora Shoquist, exec vice president of operations, got $11.05 million compared to last year's $9.1 million.

There's a lot of gold in training them AI models. Lets just hope the bubble doesn't burst, eh readers? ®

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[1] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2ZkYtquXUke1LxC6MDK4D-QAAAM0&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0

[2] https://blogs.nvidia.com/blog/why-gpus-are-great-for-ai/

[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44ZkYtquXUke1LxC6MDK4D-QAAAM0&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0

[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33ZkYtquXUke1LxC6MDK4D-QAAAM0&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0

[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44ZkYtquXUke1LxC6MDK4D-QAAAM0&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0

[6] https://www.sec.gov/ix?doc=/Archives/edgar/data/0001045810/000104581024000104/nvda-20240514.htm

[7] https://www.theregister.com/2024/02/28/broadcom_ceo_pay_award_jumps/

[8] https://www.theregister.com/2023/10/20/microsoft_ceo_nadellas_compensation_drops/

[9] https://www.theregister.com/2023/05/04/googlers_upset_with_ceos_226m/

[10] https://www.theregister.com/2024/03/15/ibm_ceo_pay_jumps_23/

[11] https://www.theregister.com/2024/02/15/hp_ceo_pay_for_2023/

[12] https://whitepapers.theregister.com/



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