Branko Avanic
About Branko Avanic
Branko Avanic, Ph.D., is Chief Technology Officer of BK Technologies, serving in the role since October 30, 2019; he is 64 as of the 2025 proxy record date. He holds B.S., M.S., and Ph.D. degrees in Electrical Engineering from the University of Miami and previously led devices engineering architecture at Motorola Solutions (1999–2019) . Company pay-versus-performance data shows the value of a $100 TSR investment rose to $298.77 in 2024, with net income of $8.359 million, following weaker performance in prior years ($106.56 TSR in 2023; $144.64 in 2022) .
Past Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| Motorola Solutions, Inc. | Director, Head Architect – Devices Engineering | 2015–2019 | Led devices engineering architecture on several projects |
| Motorola Solutions, Inc. | Various engineering/leadership roles | 1999–2015 | Progressively senior roles across devices engineering |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| Ph.D. Research Group Inc. | President | Current (not disclosed) | Concurrent role with CTO position |
| University of Miami | Adjunct Professor | Prior years (not disclosed) | Previously served |
| Florida Atlantic University | Adjunct Professor | Prior years (not disclosed) | Previously served |
Fixed Compensation
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary ($) | $252,986 | $254,153 | $254,153 |
| Bonus Paid ($) | $30,000 | — | — |
| Stock Awards ($) | — | — | — |
| Option Awards ($) | $22,710 | — | $281,880 |
| All Other Compensation ($) | $11,855 | $16,266 | $17,552 |
| Total ($) | $317,551 | $270,419 | $553,585 |
- Employment agreement initial base salary for Dr. Avanic: $235,000; eligible for annual performance-based bonus (percent not disclosed) .
Performance Compensation
RSU Awards
| Grant date | RSUs (#) | Performance metric | Target | Vesting condition | Market/payout value reference |
|---|---|---|---|---|---|
| June 23, 2023 | 15,000 | Specified sales revenue level | Not disclosed | Vests 12 months after Company achieves the specified sales revenue | $514,350 market/payout value based on $34.29 stock price at 12/31/2024 |
Stock Option Awards
| Grant date | Options (#) | Exercise price ($) | Expiration | Vesting start | Vesting schedule | Status |
|---|---|---|---|---|---|---|
| Oct 30, 2019 | 6,000 | 18.05 | 10/30/2029 | N/A | Fully vested | Exercisable |
| Mar 1, 2022 | 6,000 | 11.65 | 3/01/2032 | N/A | Fully vested | Exercisable |
| Feb 6, 2024 | 10,000 | 12.27 | 2/06/2034 | Feb 6, 2025 | Five equal annual installments (2025–2029) | Unexercisable until vesting |
- Company prohibits hedging and pledging of securities, and awards are subject to clawback under the policy adopted in 2023 .
Equity Ownership & Alignment
| Metric | As of 2024-04-22 (Shares outstanding: 3,529,712) | As of 2025 Record Date (Shares outstanding: 3,584,346) |
|---|---|---|
| Beneficial ownership (# shares) | 10,800; includes options exercisable within 60 days | 14,000; options exercisable within 60 days |
| Percent of class | <1% | <1% |
| Vested options (exercisable) | 12,000 (6,000 at $18.05; 6,000 at $11.65) | 12,000 (unchanged at year-end 2024 snapshot) |
| Unvested options | 10,000 (2/6/2024 grant; 5-year ratable vest) | 10,000 (vesting begins 2/6/2025) |
| Unvested RSUs | 15,000 (performance-based) | 15,000 (subject to sales revenue condition) |
| Hedging/Pledging | Prohibited by Insider Trading Policy | Prohibited by Insider Trading Policy |
Employment Terms
| Term | Detail |
|---|---|
| Role start date | CTO since October 30, 2019 |
| Agreement base salary | Initial $235,000 for CTO |
| Annual bonus eligibility | Eligible; performance-based; percent not disclosed |
| Severance (without cause) | 6 months of base salary; paid over 12 months; “cause” defined in agreement |
| Non-compete / Non-solicit | Customary covenants in employment agreement (duration/scope not disclosed) |
| Equity change-of-control (2017 Plan) | Generally double-trigger if assumed; single-trigger if not assumed; performance awards convert to target on acceleration |
| Equity change-of-control (2025 Plan) | Double-trigger vesting if assumed; single-trigger if not assumed; performance awards at target on acceleration |
| Clawback policy | Adopted in 2023; recovers excess incentive comp after restatements (3-year lookback) |
| Hedging/Pledging | Prohibited for officers/directors/employees |
Performance & Track Record
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| TSR – $100 investment value | $144.64 | $106.56 | $298.77 |
| Net income (loss), $ thousands | $(11,633) | $(2,230) | $8,359 |
- Biography and tenure summarize a technical leader with extensive devices engineering background and advanced degrees; CTO since 2019 .
- 2024 was a strong shareholder outcome year (TSR $298.77), coinciding with positive net income, improving alignment between realized performance and shareholder returns .
Compensation Structure Analysis
- 2024 pay mix tilted toward at-risk equity: option awards ($281,880) exceeded cash salary ($254,153), increasing performance leverage to stock outcomes .
- RSUs are performance-conditioned on sales revenue, adding operating metric alignment; specific targets are not disclosed, and vest occurs 12 months after achievement .
- No evidence of hedging/pledging permitted; clawback policy in place, and equity plans do not allow option repricing without shareholder approval (2025 Plan) .
Vesting Schedules and Insider Selling Pressure
- Options: 10,000 granted Feb 6, 2024 vest in 5 equal annual tranches from Feb 6, 2025 to Feb 6, 2029, potentially creating periodic exercise opportunities; prior grants (6,000 at $18.05; 6,000 at $11.65) are fully vested .
- RSUs: 15,000 will vest 12 months after the Company achieves a specified sales revenue level, adding a performance gate before potential share release .
- Policy backdrop: hedging and pledging are prohibited, reducing misalignment or forced selling risk from pledged collateral .
Equity Ownership & Alignment Notes
- Beneficial ownership remains <1% of shares outstanding (10,800 as of April 22, 2024; 14,000 at 2025 record date), comprised solely of options exercisable within 60 days .
- Unvested equity (10,000 options; 15,000 RSUs) enhances retention and pay-for-performance alignment via long-dated vesting and sales-revenue conditions .
Investment Implications
- Alignment: High at-risk equity in 2024 and performance-conditioned RSUs improve alignment, while a strict anti-hedging/pledging policy and clawback reduce governance risk .
- Retention: Long-dated vesting (options through 2029; RSUs contingent on sales) supports retention and may pace incremental share availability upon vest/exercise events .
- Economics: Severance at 6 months of base salary and double-trigger change-of-control terms indicate conservative parachute economics and balanced retention incentives .
- Performance backdrop: 2024 TSR and profitability were strong; continued realization of RSU sales targets would be a positive execution signal, though specific revenue thresholds are not disclosed .