Company: SXI
Filing Date: 2025-09-05
Form Type: DEF 14A
Source: 0001437749-25-028442
Chunk: 35

Company: STANDEX INTERNATIONAL CORP/DE/
Filing Date: 2025-09-05
Form: DEF 14A
Chunk 35
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     | 55 %            |     |          191,154 |
| Max Arets       |     | 50 %            |     |          186,397 |

402025 Proxy Statement

Goal Weight within Target Incentive

After establishing a target incentive amount for each executive, the Compensation Committee determines the relative weight of financial performance measures and strategic goals. For FY 2025, the Compensation Committee set the following relative weight of these performance measures for the CEO and the CFO due to their direct impact on immediate results:

| ► | 100% of the annual incentive opportunity would be based on the achievement of financial performance goals. |

For all other NEOs, the Compensation Committee set the following relative weight due to these executives’ having an indirect impact on immediate results, but having significant impact on mid-term results through process improvements and system investments:

| ► | 80% of the annual incentive opportunity would be based on the achievement of financial performance goals, and |

| ► | 20% of the annual incentive opportunity would be based on individual achievement of strategic goals. |

Payout for the achievement of both financial performance and strategic goals can range between 0% and 200%, where performance below threshold levels corresponds to a payout of 0%, while performance at or above superior levels corresponds to a payout of 200%. For example, if the weight of financial goals is 80%, the maximum financial achievement factor would be 160%. Similarly, if the weight of strategic goals is 20%, the maximum strategic achievement factor would be 40%. The combined factors are capped at 200%.

Setting Financial Performance Measures

The Compensation Committee, working with the CEO, evaluates and establishes financial objectives that correlate to the creation of shareholder value, are aligned with the Company’s annual business plan and are appropriate measures for evaluating executive performance. For FY 2025, the Compensation Committee selected the following three financial performance measures: (i) net sales, (ii) adjusted Operating Income and (ii) adjusted EPS. The Compensation Committee selected these performance measures because it believes they are important financial factors in driving organic growth, continued margin expansion and preserving and enhancing shareholder value.

After determining the performance measures, the Compensation Committee sets “threshold,” “target,” and “superior” performance goals, which correspond to annual incentive payouts of 50%, 100% or 200% of the target incentive amount. If actual performance falls between two performance levels, the amount of the incentive payout would be determined through interpolation. However, no payout would be made if actual performance