Company: ZM
Filing Date: 2025-05-01
Form Type: DEF 14A
Source: 0001140361-25-016910
Chunk: 49

Company: Zoom Communications, Inc.
Filing Date: 2025-05-01
Form: DEF 14A
Chunk 49
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 amount 32

TABLE OF CONTENTS

it felt, in its subjective discretion, was appropriate to induce Ms. Chang to join us, taking into account various factors, including market data and the equity ownership opportunities of our other named executive officers. The Compensation Committee considered the annualized value of Ms. Chang’s award and the resulting total compensation amount, which was largely driven by Ms. Chang’s new hire award, when determining the appropriate new hire award value. On an annualized basis (i.e., total grant amount divided by four), Ms. Chang’s four-year new hire award and her resulting total compensation was roughly at the median of market data for new hire equity grant values and annual total compensation for similar roles. The Compensation Committee felt this positioning was appropriate to induce Ms. Chang to join the Company and to sufficiently incentivize Ms. Chang.

| Executive             |     |                      Target 
               Grant Value – 
 Total – Four-Year Award ($) |     |               Target 
        Grant Value – 
 Annualized Award ($) |
| Michelle Chang        |     |                 $23,600,000 |     |           $5,900,000 |
| Velchamy Sankarlingam |     |                 $22,000,000 |     |           $5,500,000 |

Annual Performance-Vesting RSU Bonus Awards. In fiscal 2023 and fiscal 2024, we granted annual RSU bonus awards to our employees in good standing, including our named executive officers serving at such time. In April 2024, we granted the annual RSU bonus awards entirely in the form of performance-vesting RSU awards. These awards are intended to supplement our annual cash incentive program, are eligible to vest after one year (if performance goals are met) and therefore are sized significantly smaller than four-year new hire and “refresh” awards. The Compensation Committee designed the performance-vesting RSU awards to align closely to our strategy to drive revenue growth and operating performance and leverage. As such, the Compensation Committee adopted annual revenue and non-GAAP income from operations as the performance metrics applicable to the performance-vesting RSU awards. The Compensation Committee structured these metrics to be the same as those used under our Officer Incentive Plan due to their importance to our business and because the awards were intended to supplement our annual incentive program, to provide further incentive to our employees to deliver results. While target levels of achievement of the performance metrics were the same as under the Officer Incentive Plan, the Compensation Committee made two changes