Company: OSIS
Filing Date: 2025-10-22
Form Type: DEF 14A
Source: 0001104659-25-101517
Chunk: 22

Company: OSI SYSTEMS INC
Filing Date: 2025-10-22
Form: DEF 14A
Chunk 22
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S Proposal 3—Advisory Vote to Approve the Compensation of Our Named Executive Officers

ALIGNMENT WITH STOCKHOLDERS’ INTERESTS We grant annual incentives based in part on each executive’s contribution to enhancing our short- and long-term profitable growth. We also grant long-term equity-based incentives as a substantial component of the compensation program to reward long-term performance and further align the interests of management with those of our stockholders. In recent years, we have generally used performance based RSUs as our equity incentive vehicle as these awards enable the executives to establish a meaningful equity stake in our Company while allowing them to participate in future value creation through appreciation of the shares. These awards tie the executives’ interests to those of long-term stockholders and serve to motivate the executives to lead us to achieve long-term financial goals that are expected to lead to increased stockholder value. In addition to linking compensation value to stockholder value, these awards generally have vesting conditions, which creates a strong retention incentive and helps ensure the continuity of our operations. For fiscal year 2025, except for one time-based RSU grant to Mr. Mansouri because of his impending retirement, 100% of the long-term equity incentives granted to our Named Executive Officers consisted of performance based RSUs subject to performance vesting based on the compound annual growth rate of revenue and operating income. LONG-TERM PERFORMANCE To promote our philosophy of pay-for-performance and furthering our objective of aligning the interests of management with those of our stockholders, we have established performance programs for certain of our executive officers. These programs focus on the achievement of our long-term financial goals and factors that create long-term stockholder value. By establishing performance targets tied to key corporate financial metrics, we are incentivizing our officers to achieve our long-term corporate objectives and ultimately increase stockholder value. HIGHLIGHTS OF FISCAL 2025 EXECUTIVE COMPENSATION PROGRAM The Board believes our executive compensation program is designed appropriately and that a vote in favor of the proposal is warranted, including for these reasons:

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| ​ | ​ | Except for one grant to a retiring NEO, 100% of Named Executive Officer equity awards for fiscal 2025 were performance-based and tied to