Daniel Kerzner
Alarm.com HoldingsAbout Daniel Kerzner
Daniel Kerzner (age 49) is President, Platforms Business at Alarm.com (since January 2023), after serving as Chief Product Officer from December 2013 to January 2023. He previously held senior roles at MicroStrategy (SVP & GM of Mobile; VP Platform & Emerging Technologies), led PJM Interconnection for EnerNOC, and was CEO of Emotive Communications. He holds a B.A. in Computer Engineering from Dartmouth College and an M.B.A. from The Wharton School . Company performance levers tied to his incentives emphasize SaaS and license revenue and Adjusted EBITDA; FY2022–FY2024 Revenues grew from $842.6m to $939.8m and EBITDA from $95.2m to $130.3m (derived growth of ~12% and ~37% respectively over two years)*. In 2024 his annual bonus paid at 94.3% of target, reflecting slight underperformance vs plan’s calibration, while 2023 paid at 108.4% .
*Values retrieved from S&P Global.
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Alarm.com | President, Platforms Business | Jan 2023–present | Leads Platforms Business execution and growth |
| Alarm.com | Chief Product Officer | Dec 2013–Jan 2023 | Product strategy and roadmap leadership |
| Emotive Communications | Chief Executive Officer | Apr 2013–Dec 2013 | Led software company operations |
| MicroStrategy | SVP & GM, Mobile | Mar 2010–Apr 2013 | Ran Mobile business line |
| EnerNOC | Regional Director, PJM Interconnection | Jul 2009–Feb 2010 | Regional energy market leadership |
| MicroStrategy | VP, Platform & Emerging Technologies | Prior to Jul 2009 | Drove platform and emerging tech initiatives |
Fixed Compensation
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary ($) | 348,668 | 372,168 | 411,501 |
| Target Bonus ($) | — | 300,000 | 313,500 (effective 9/1/24) |
| Actual Bonus Paid ($) | 245,000 | 307,132 | 287,146 |
Notes: 2024 base salary rate was increased to $423,500 effective 9/1/24 . 2024 prorated target bonus calculation example is disclosed for transparency .
Performance Compensation
Annual Cash Bonus Plan Structure and 2024 Outcomes
| Metric | Weighting | Target | Actual | Payout Effect | Overall Payout Result |
|---|---|---|---|---|---|
| SaaS and license revenue | Not disclosed | Company-set target | Exceeded by 0.2% | No increase to target payout | 2024 payout range guided to ~91.2%–94.3% |
| Adjusted EBITDA | Not disclosed | Company-set target | Exceeded by 8.4% | +4.2% to payout | Kerzner actual payout: 94.3% of target |
Equity Grants (Kerzner)
| Grant Year | Grant Date | RSUs (#) | RSU Vesting | Options (#) | Exercise Price | Expiration | Option Vesting | Grant Date Fair Value |
|---|---|---|---|---|---|---|---|---|
| 2024 | 5/22/2024 | 17,500 | 5 equal annual installments starting 5/22/2025 | 17,500 | $67.02 | 5/21/2034 (per 2024 lines) | 60 equal monthly installments starting 6/1/2024 | RSUs $1,172,850; Options $517,559 |
| 2023 | 5/22/2023 | 14,000 | As granted in 2023 award | 40,000 (cliff) | $51.50 | 5/21/2033 | Vests in full 5/22/2028; pro‑rata acceleration on change in control |
Additional equity mix policy: 2024 target value allocated ~31% options / 69% RSUs for Kerzner; five‑year vesting supports retention; RSUs added in recent years to balance risk profile .
Equity Ownership & Alignment
Beneficial Ownership
| As of | Shares Beneficially Owned | % of Shares Outstanding |
|---|---|---|
| Mar 31, 2024 | 128,101 | * (<1%) |
| Mar 31, 2025 | 120,668 | * (<1%) |
Note: Asterisk in proxy denotes less than 1% ownership.
Outstanding Equity Awards (Selected, 12/31/2024 snapshot)
| Instrument | Grant Date | Exercisable | Unexercisable | Exercise Price | Expiration | Unvested RSUs |
|---|---|---|---|---|---|---|
| Stock Options | 5/22/2024 | 2,041 | 15,459 | $67.02 | 5/21/2034 | — |
| Stock Options | 5/22/2023 | 5,541 | 11,959 | $51.50 | 5/21/2033 | — |
| Stock Options (cliff) | 5/22/2023 | — | 40,000 | $51.50 | 5/21/2033 | — |
| Stock Options | 5/15/2022 | 9,041 | 8,459 | $59.10 | 5/14/2032 | — |
| RSUs | 5/22/2024 | — | — | — | — | 17,500 |
| RSUs | 5/22/2023 | — | — | — | — | 14,000 |
| RSUs | 5/15/2022 | — | — | — | — | 10,500 |
| RSUs | 5/15/2021 | — | — | — | — | 6,000 |
| RSUs | 4/1/2020 | — | — | — | — | 3,000 |
Policy alignment: Hedging and pledging of Company stock are prohibited for executives, mitigating misalignment/forced‑sale risks .
Option Exercises and RSU Vesting (2024)
| Metric | 2024 |
|---|---|
| Options – Shares Acquired on Exercise (#) | 35,000 |
| Options – Value Realized ($) | 1,877,875 |
| RSUs – Shares Vested (#) | 16,000 |
| RSUs – Value Realized ($) | 1,116,855 |
Employment Terms
- Employment is at-will via offer letter (initial terms include base salary and benefits eligibility) .
- Severance/Change-in-Control: Executives (incl. Kerzner) are eligible only for limited benefits in connection with a change in control under equity plans; no broad severance disclosed for Kerzner . The 2023 five-year cliff option provides pro‑rata vesting upon change in control prior to the vesting date; estimated value for Kerzner as of 12/31/2024 was $117,800 (based on $60.80 stock price; options with exercise price ≥ $60.80 carry $0 value in this calc) .
- Clawback: Revised compensation recovery policy (effective 12/1/2023) to recoup erroneously awarded incentive-based pay upon restatements, consistent with Dodd-Frank and Nasdaq .
- No excise tax gross-ups; bonuses capped at 150% of target .
- Change-in-control definition provided in plan documents (e.g., ownership thresholds, asset sales, board turnover) .
Performance & Track Record
| Indicator | 2023 | 2024 |
|---|---|---|
| Annual bonus payout vs target | 108.4% | 94.3% |
| Focused plan metrics | SaaS & license revenue; Adjusted EBITDA | SaaS & license revenue; Adjusted EBITDA |
Company performance context (annual):
| Metric ($) | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Revenues | 842,559,000* | 881,682,000* | 939,827,000* |
| EBITDA | 95,165,000* | 101,233,000* | 130,311,000* |
*Values retrieved from S&P Global.
Insider Transactions and Selling Pressure
| Date | Form 4 Context | Transaction | Shares | Price | Proceeds/Notes |
|---|---|---|---|---|---|
| Nov 12, 2025 | Open market sale | Sale | 20,004 | ~$50.29 | ~$1.006m; weighted avg prices $49.98–$50.77 |
| Nov 13, 2025 | Open market sale; option exercise | Sale; Exercise | 10,000; 10,000 | ~$50.33; $15.02 | ~$503k sale; $150,200 exercise cost |
| May 15, 2025 | RSU vest – sell/withhold for taxes | Administrative sale/withhold | — | — | Sale to cover withholding on RSU settlement |
| May 22, 2025 | RSU vesting terms | Disclosure | — | — | 2024 RSUs vest in five equal annual installments starting 5/22/2025 |
| Apr 5, 2023 | Tax withholding sale | Administrative sale | — | — | Shares sold to cover tax withholding on RSU settlement |
Policy note: Hedging and pledging are prohibited, reducing leverage-induced selling risk .
Governance and Say‑on‑Pay
- 2025 Say‑on‑Pay (Proposal 3) approved; votes For 39,736,667; Against 2,235,050; Abstain 121,806 (broker non‑votes 5,011,845) .
- 2025 approval of new 2025 Equity Incentive Plan (Proposal 4) also passed .
Compensation Structure Analysis
- Mix and risk: For NEOs (ex‑CEO), ~81% of 2024 target total compensation is at risk (cash incentive + equity); five‑year vesting is longer than peers, emphasizing retention .
- Equity form: Continued blend of options (31% value) and RSUs (69% value) for Kerzner in 2024; RSUs added in recent years to balance risk and reduce reliance solely on price appreciation .
- Controls: Bonuses capped at 150% of target; clawback policy in place; no excise tax gross‑ups; hedging/pledging prohibited .
Investment Implications
- Alignment: Significant multi‑year equity with five‑year vesting (RSUs and options) plus prohibited hedging/pledging suggests strong long‑term alignment; beneficial ownership remains <1% but with ongoing equity exposure .
- Retention: The long vesting (incl. 2023 five‑year cliff option with pro‑rata CoC acceleration) is a clear retention lever; limited cash severance implies lower parachute risk but greater reliance on equity value realization .
- Performance sensitivity: Bonus formula tied to SaaS and license revenue and Adjusted EBITDA directly links cash incentives to core operating drivers; 2024 payout at 94.3% vs 2023 at 108.4% shows responsiveness to performance .
- Trading signal: Recent $1.5m in open‑market sales in Nov 2025, alongside routine tax‑related transactions, may reflect portfolio diversification rather than pledge‑driven liquidity given policy restrictions; monitor cadence and size vs upcoming vesting events .