Savara Inc. (NASDAQ:SVRA), a pharmaceutical company based in Delaware with a market capitalization of $602 million, has outlined the target bonus structure for its executive officers for the fiscal year ending December 31, 2025. According to InvestingPro data, the company maintains a strong liquidity position with more cash than debt on its balance sheet. The company's Board of Directors, following the Compensation Committee's recommendation, approved the bonus amounts on January 17, 2025.
The target bonuses, which are a percentage of the executives' base salaries, are set as follows: Matthew Pauls, Chief Executive Officer, is eligible for a bonus of $330,000, which is 50% of his base salary. Raymond (NSE:RYMD) Pratt, Chief Medical (TASE:PMCN) Officer, Dave Lowrance, Chief Financial & Administrative Officer, Rob Lutz, Chief Operating Officer, and Anne Erickson, Chief Business Officer, each have a target bonus of 40% of their base salaries, amounting to $200,400, $188,400, $188,400, and $165,080, respectively. Braden Parker, Chief Commercial Officer, also has a target bonus of 40%, totaling $180,000.
Actual bonuses may vary from the target amounts and will be contingent upon the achievement of specific performance goals. For CEO Matthew Pauls, the corporate performance measures will account for 100% of his target bonus. For the other executives, corporate performance measures will constitute 75% of their target bonuses, with the remaining 25% based on individual performance metrics.
The bonus structure is designed to incentivize the leadership team to meet or exceed company and individual performance objectives. The final bonus payouts, which the Board has the discretion to adjust, will depend on the degree to which these goals are met. With a current ratio of 17.7, InvestingPro analysis shows the company maintains strong short-term financial stability, though it faces profitability challenges.
Analysts maintain an optimistic outlook, with price targets ranging from $5 to $16, significantly above the current trading price of $2.88. For deeper insights into Savara's financial health and growth prospects, including additional ProTips and comprehensive analysis, check out the full research report available on InvestingPro.
In other recent news, Savara Inc. reported earnings per share at ($0.12), slightly below the ($0.10) forecasted by Oppenheimer and consensus estimates. Despite this, analyst firms Piper Sandler, H.C. Wainwright, and Oppenheimer maintained their positive ratings on Savara. The biopharmaceutical company also announced a $100 million stock offering of 26,246,720 shares managed by firms such as Jefferies, Piper Sandler, and Guggenheim Securities. In a significant shift, Evercore ISI downgraded the stock from Outperform to In Line and reduced the price target to $5.00.
Savara is on track for potential approval by the end of 2025 for MOLBREEVI™s in autoimmune pulmonary alveolar proteinosis (aPAP), assuming the treatment receives priority review. The company has launched an Expanded Access Program for molgramostim, a potential treatment for aPAP, and appointed Braden Parker as the new Chief Commercial Officer.
H.C. Wainwright also adjusted Savara's price target, lowering it from $10.00 to $6.00 due to concerns over the company's ability to meet patient identification goals for Molbreevi. Despite these adjustments, the firm continues to see value in Savara's stock and maintains a Buy rating.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.