Joshua A. Jepsen
DEERE &About Joshua A. Jepsen
Senior Vice President & Chief Financial Officer of Deere & Company since September 16, 2022; tenure ~3 years as of November 2025. Age 47. Education: BS in Accounting and Spanish (University of Northern Iowa), MBA (University of Michigan Ross), certificates in international business and Portuguese. Career spans finance, accounting, audit, investor relations, and APAC/Africa operations, with notable contributions to Deere’s Leap Ambitions and sustainability organization. Fiscal 2024 corporate performance: net sales and revenues $51.72B (down 16% YoY), net income $7.10B (down 30% YoY), diluted EPS $25.62 (down 26% YoY), stock closed at $407.93 (+13% YoY); Deere reports multi-year TSR outperformance versus S&P 500 and peer medians over 5- and 10-year periods.
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Deere & Company | Senior Vice President & Chief Financial Officer | Sep 2022–present | Advises CEO and leaders on financial/strategic issues; manages worldwide accounting/finance; oversees sustainability efforts. |
| Deere & Company | Deputy Financial Officer | Mar 2022–Sep 2022 | Supported finance function and investor communications amid transformation to Smart Industrial model. |
| Deere & Company | Director, Investor Relations | 2018–2022 | Led IR; strengthened market communications; supported Leap Ambitions development. |
| Deere & Company | Manager, Investor Communications | 2015–2018 | Advanced investor messaging and disclosure practices. |
| Deere & Company (APAC & Africa) | Controller | 2013–2015 | Strengthened regional controls/financial reporting from Singapore. |
| Deere & Company (Construction & Forestry) | Manager, Commercial Development (outside U.S./Canada) | Two years (prior to 2013) | Built commercial capabilities in international markets. |
| Deere & Company (multiple factories/offices) | Audit, accounting, financial-analysis roles | 1999 onward (career start as intern) | Grounded operational finance across Ottumwa, Augusta, Waterloo, and North American sales/marketing. |
External Roles
None disclosed.
Fixed Compensation
Multi-year summary from DEF 14A (USD):
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Base Salary | $376,420 | $885,063 | $920,823 (eligible earnings) |
| Base Salary (as of Dec 1, 2023) | — | — | $923,784; 4.0% increase from $888,250 on Oct 29, 2023 |
| All Other Compensation | $56,216 | $116,320 | $270,480 (security patrols $4,112; perquisites $9,938; defined contribution plans $256,430) |
| Total Compensation | $1,515,747 | $6,495,196 | $7,227,700 |
Additional benefits:
- Defined benefit pension present value: $558,443 total (Salaried Plan $282,666; Supplementary Plan $275,777; no Supplemental Plan coverage) .
- Nonqualified deferred comp (DCRP) aggregate balance $693,383; 2024 executive contributions $134,058, company contributions $223,430, aggregate earnings $146,150 .
Performance Compensation
Short-term incentive (STI) — FY 2024:
- Metric weightings: OROA 50%, OROS 40%, ROE 10; targets set formulaically by cycle position (Equipment Operations at 91% of mid-cycle) .
- Actual outcomes: OROA 35.9%, OROS 18.2%, ROE 9.6%; payout 180.0% of target .
- Jepsen STI paid: $1,657,481 (100% target rate of salary; 180% payout) .
| Metric | Weighting | Target Setting | Actual FY 2024 | Payout |
|---|---|---|---|---|
| OROA (Equipment Ops) | 50% | Formulaic by business cycle (trough/mid/peak ranges) | 35.9% | Contributed to 180% STI payout |
| OROS (Equipment Ops) | 40% | Formulaic by cycle | 18.2% | Contributed to 180% STI payout |
| ROE (Financial Services) | 10% | Weighted goals (subsidized/non-subsidized mix) | 9.6% | Contributed to 180% STI payout |
Long-term incentives (LTI) — Equity grants (Dec 13, 2023):
- Award mix: PSUs 50% (relative revenue growth 50%, relative TSR 50%; 3-year cliff vest; payout 0–200% by percentile curve), RSUs 25% (ratable vest 34/33/33 over 3 years), stock options 25% (ratable vest 34/33/33; 10-year term) .
- Jepsen adjusted base-level LTI value: $4,140,000 (115% performance adjustment on $3,600,000 base) .
- Granted: RSUs 2,745 units; PSUs target 5,490 units (threshold 1,372; maximum 10,980); stock options 10,554 at $377.01 strike; grant date fair values RSUs $1,034,892; PSUs $2,007,666; options $1,034,714 .
Long-term incentive cash (LTIC) — legacy plan:
- FY 2022–2024 performance period payout at 200.0% based on accumulated SVA $20,920M (TSR modifier not applied due to cap); Jepsen LTIC paid $1,933,728 .
PSU historical payout (FY 2022 grant, performance ended FY 2024):
- Relative revenue growth at 42nd percentile; PSU payout 76.0% of target .
Equity Ownership & Alignment
| Item | Value |
|---|---|
| Beneficial shares owned | 3,104 (sole voting/investment power) |
| Exercisable options (within 60 days of Dec 30, 2024) | 8,728 |
| RSUs vesting within 60 days | 0 |
| Total beneficial + near-term exercisable/settlement | 11,832; less than 1% of shares outstanding |
| Outstanding equity awards (as of Oct 27, 2024) | Options: 2,608 exercisable; 15,615 unexercisable. RSUs: 2,745 unvested (market value $1,119,768). PSUs: no unearned shares shown at fiscal year-end (truncated measurement noted). |
| Ownership guidelines | 3.5x base salary for NEOs; compliance achieved or within 5-year window |
| Hedging/pledging | Prohibited for directors and officers (no margin accounts, no pledging) |
| Clawback | SEC/NYSE-compliant Incentive Compensation Recovery Policy adopted |
Vesting schedules and potential selling pressure:
- RSUs vest 34/33/33 annually over 3 years; Options vest 34/33/33 and expire 10 years from grant; PSUs cliff vest after 3 years based on relative metrics (0–200% payout). Policies restrict hedging/pledging and enforce ownership requirements, reducing forced-selling risk.
Employment Terms
| Provision | Details |
|---|---|
| Employment agreements | Deere does not offer employment agreements to U.S.-based executives |
| Severance guidelines (non-CoC) | One-half month of salary plus one-half month per complete year of service, capped at one year’s salary; paid lump sum or continuance subject to tax limits |
| Change-in-control (CIC) program | Double-trigger; CFO (senior officer) receives 2x base salary and 2x target STI; equity vests/cashes out upon CoC+qualifying termination; health/life/disability continuation 2 years; defined contribution plan cash equal to prior plan-year contributions; legal fees covered if enforcement needed |
| Jepsen CIC economics (as of FY 2024) | CoC only: $1,422,307 (LTIC ongoing period). CoC + qualifying termination: $10,784,450 total: salary $1,847,568; STI $1,841,646; LTIC $1,422,307; stock awards $5,052,621; options $326,330; welfare benefits $37,548; defined contribution plans $256,430. |
| Restrictive covenants | Non-compete/non-solicit and confidentiality obligations embedded in CIC/severance programs |
Related party and governance alignment:
- Related person transaction: Jepsen’s brother-in-law employed in Production & Precision Agriculture; Jepsen does not supervise; employee earned ~$182,264 in fiscal 2024; consistent with grade-level compensation.
- Say-on-pay approval: 92.4% support in 2024; Deere emphasizes pay-for-performance alignment.
Investment Implications
- Pay-for-performance alignment is strong: STI tied to OROA/OROS/ROE with 180% payout in FY 2024 amid weaker volumes; LTI shifted fully to equity with PSUs at 50% and relative TSR added, reducing cash components and reinforcing shareholder alignment.
- Vesting mechanics and ownership policies mitigate near-term selling pressure: RSUs/options ratable vesting and PSU cliff structures combined with anti-hedging/pledging and ownership guidelines lower forced selling/pledging risk.
- Retention economics are competitive: Jepsen’s CIC package (2x salary and STI plus equity treatment) and pension/deferral balances support retention, but double-trigger structure and strong governance temper windfall risk.
- Execution lens: Despite FY 2024 top/bottom-line declines, multi-year TSR outperformance indicates structural improvements; compensation design continues to incentivize margin efficiency and disciplined capital allocation (OROA/OROS focus), aligning with long-term value creation.
Appendix: FY 2024 Award Detail (Jepsen)
| Grant Type | Grant Date | Quantity | Terms | Grant-Date Fair Value |
|---|---|---|---|---|
| RSUs | 12/13/2023 | 2,745 | Vest 34/33/33 over 3 years; dividend equivalents until settlement | $1,034,892 |
| PSUs | 12/13/2023 | Target 5,490 (threshold 1,372; max 10,980) | 3-year cliff; 50% relative revenue growth, 50% relative TSR; payout 0–200% by percentile | $2,007,666 |
| Stock Options | 12/13/2023 | 10,554 | Vest 34/33/33; 10-year term; strike $377.01 | $1,034,714 |
Note: FY 2022–2024 LTIC payout = 200% based on enterprise SVA ($20,920M); Jepsen paid $1,933,728.
Data Sources
- Deere & Company DEF 14A (Proxy Statement) dated January 10, 2025: detailed executive compensation, ownership, governance and performance data.
- Corporate biography and press releases: role/tenure, education, and career trajectory.