CEOs at San Diego’s public companies saw their pay surge 33 percent on average last year thanks to a strong recovery in the stock market from the pandemic. Most top executives here receive the bulk of their compensation in equity — either through vesting of performance and/or retention shares or by exercising stock options. Total compensation also includes salary, cash bonus and perks. Here are the top 10.
1. Steve Mollenkopf
Total compensation: $69,449,535
Annualized shareholder return: One-year, 22 percent. Three-year, 26 percent.
Mollenkopf retired as Qualcomm’s CEO in June 2021 after eight years at the helm. He remains as a special adviser focused on government, regulatory and legal issues, for which he is paid $150,000. Nearly 90 percent of Mollenkopf’s compensation last year came from vesting of restricted stock. The company’s total shareholder return lagged the S&P 500’s 30 percent gain during Qualcomm’s 2021 fiscal year ended Sept. 26. But over past three years, the company beat the index, posting a 26 percent annualized return versus the S & P’s 16 percent.
2. J. Scott Wolchko
Total compensation: $42,670,855
Annualized shareholder return: One-year, -36 percent. Three-year, 66 percent.
Fate Therapeutics is a clinical-stage biotech company that develops immunotherapies for cancer and other diseases. Wolchko’s salary and cash bonus combined totaled less than $1 million. But he exercised stock options granted in 2016/2017 at roughly $2.70 to $6.60 per share — Fate Therapeutics stock price at the time — and sold them last year in the range of $60 and $85 per share. Fate’s stock price soared through much of 2021 before a selloff in late summer. Shareholders approved the company’s say-on-pay vote with 89.3 percent .
3. Cristiano Amon
Total compensation: $37,776,999
Annualized shareholder return: One-year, 22 percent. Three-year, 26 percent.
Amon was promoted to the CEO role in June 2021 after serving as Qualcomm’s president. Restricted stock that vested last year made up 88 percent of Amon’s compensation. Since taking over as CEO, Amon has worked to diversify Qualcomm’s business beyond smartphone processors and into industries such as auto tech, personal computers and the Internet of Things. The wireless technology firm’s revenue grew 55 percent last year to $33.6 billion. Qualcomm’s advisory say-on-pay vote ed with 95 percent shareholder .
4. Kevin Gorman
Total compensation: $35,665,387
Annualized shareholder return: One year, -11 percent. Three year, 6 percent.
Neurocrine Biosciences develops pharmaceuticals for neurological, endocrine and psychiatric disorders. Gorman has led the company for 14 years. He exercised stock options last year that were granted a decade earlier at $8.65 per share. Options expire after 10 years. Gorman sold the option shares at roughly $110 each in a hot stock market. The $31 million realized gain ed for the bulk of his compensation. On say-on-pay, 93 percent of shareholders ed Neurocrine’s proposal.
5. Oliver “Chip” Brewer III
Total compensation: $30,542,924
Annualized shareholder return: One year, 14 percent. Three year, 20 percent.
Callaway Golf, which designs and manufacturers golf equipment and lifestyle apparel, wrapped up its $2.6 billion acquisition of trendy driving range/nightspot Topgolf International last year, and the company’s board rewarded executives with special stock grants, including $23 million for Brewer. The grant vests based on performance and retention over the next three to four years. Institutional Shareholder Services, a proxy adviser to big investment funds, recommended shareholders oppose Callaway’s say-on-pay vote. It ed anyway, but with modest 70 percent .
6. Michael Farrell
Total compensation: $27,930,998
Annualized shareholder return: One year, 29 percent. Three year, 35 percent.
ResMed makes continuous positive airway pressure (AP) devices and masks for people suffering from sleep apnea, along with ventilators and health care software. Fiscal 2021 was marked by supply chain shortages and a rush to meet AP demand after a rival maker recalled its devices. More than 90 percent of Farrell’s compensation stemmed from the vesting of restricted stock.
7. Helen Torley
Total compensation: $22,319,517
Annualized shareholder return: One year, -6 percent. Three year, 40 percent.
Halozyme provides biopharma drug delivery platforms. It recently announced the acquisition of Antares Pharmaceuticals for $960 million. Last year, Torley exercised stock options granted in 2014 at $14.66 per share. She sold the shares between $40 and $49, pocketing the difference. Stock options and vesting of restricted stock made up the bulk of Torley’s compensation. Halozyme’s say-on-pay proposal ed with 96 percent shareholder .
8. Charles Baum
Total compensation: $16,564,553
Annualized shareholder return: One year, -33. Three year, 51 percent.
Mirati Therapeutics is an oncology company developing therapeutics aimed at genetic and immunological causes of cancer. Baum stepped aside as CEO in September 2021 but retained the president’s title. He exercised stock options granted in 2017 at $8.49 per share and sold them last year at $133 to $167 per share. Mirati employs 418 people, and its median worker is paid $489,515 — the highest among San Diego public companies.
9. Kevin Sayer
Total compensation: $15,833,734
Annualized shareholder return: One year, 45 percent. Three year, 65 percent.
Dexcom is among the market leaders in developing and manufacturing wearable continuous glucose monitors and consumables that deliver real time blood sugar readouts to s’ smartphones. Sayer has been CEO since 2015. Eight-five percent of his pay came from vesting of restricted stock. Dexcom’s say-on-pay proposal ed with 93 percent shareholder .
10. Douglas Bryant
Total compensation: $13,943,587
Annualized shareholder return: One year, -25 percent. Three year, 40 percent.
Quidel makes respiratory diagnostic tests tied to flu season, including a rapid antigen tests for COVID-19. Its revenue has whipsawed over the past couple of years with the surges and retreat of COVID cases. In December, it announced a $6 billion merger with Ortho Clinical Diagnostics, which aims to diversify Quidel into new markets that are less volatile. The deal closed in May 2022. The company is now named QuidelOrtho. Its say-on-pay proposal ed with 87 percent shareholder .
