Company: PHR
Filing Date: 2025-05-14
Form Type: DEF 14A
Source: 0001412408-25-000027
Chunk: 49

Company: Phreesia, Inc.
Filing Date: 2025-05-14
Form: DEF 14A
Chunk 49
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 results, pre-established goals or payouts to the bonus earned for the first half of the year (30% weighting) and for the full fiscal year (70% weighting). The formulaic bonus payout for the 30% weighted first half of fiscal 2025 was 128.2% and the formulaic bonus payout for the 70% weighted annual fiscal 2025 portion of the bonus was 129.5 %. This resulted in a combined 129.1% weighted average payout for the full fiscal year 2025 bonus.

This was the formulaic outcome based on performance against the original bonus plan goals, including strong revenue growth of 18% year-over-year and the planned increase in Adjusted EBITDA year over year. There were no discretionary adjustments made to variable bonus payments by the compensation committee.

The fiscal 2025 bonus plan included an option at the start of the year to elect that the bonus be paid out in fully vested RSUs with a 15% premium due to the lack of liquidity and market risk in the RSUs. The bonus RSUs paid to our Chief Executive Officer and our Chief Operating Officer are subject to a one-year holding period before they can be sold.

Target Equity Grant Values in fiscal 2025 were slightly increased – Awards were granted to our executive officers as a mix of RSUs with four-year annual installment vesting (10% on the first anniversary of the grant, 20% on the second anniversary of the grant, 30% on the third anniversary of the grant, and 40% on the fourth anniversary of the grant) and relative TSR PSUs with a performance period of 2.5 years for 50% of such PSUs and a performance period of three years for the other 50% of such PSUs. The earned relative TSR PSUs cliff vest after three-years based on performance against the Russell 3000 stock index. Our Chief Executive Officer was granted 80% of his target equity value in the form of PSUs for the second consecutive year to emphasize performance-based compensation, and our other NEOs elected to receive between 35% and 50% of their target equity value in the form of PSUs, further aligning them with the performance of our stock price and the interests of our shareholders. Grant decisions used the 60-day volume weighted average price per share of our common stock (the "60-day VWAP") to determine the number of shares granted as a means of controlling for daily volatility in our share price. The PSUs will use the