Joseph Sala
EXPONENTAbout Joseph Sala
Joseph Sala, Ph.D., is Group Vice President at Exponent (EXPO). He joined the company in 2005, was promoted to Principal Scientist in 2012, Corporate Vice President in 2019, and appointed Group Vice President on November 22, 2024; he is age 48 as of the 2025 proxy date and holds a Ph.D. (2004) and M.A. (2001) in Psychology and Brain Sciences from Johns Hopkins University, and B.A./B.S. (1998) from Rutgers University; prior to Exponent he was a post-doctoral fellow at Stanford University focused on the cognitive neuroscience of human information processing, learning, memory, vision and cognitive control . Company performance context during the most recent year: net revenues grew 4.3% in 2024 with utilization improving to 73% (from 69%) and EBITDA margin rising to 28.4% (from 27.7%) ; five-year TSR (since a 2020 base-100) stood at 133 vs 166 for the S&P MidCap 400 peer group, with 2024 net income of $109,002k and EBITDA of $147,058k .
Past Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| Exponent | Group Vice President | Nov 22, 2024–present | Senior leadership of consulting operations (appointed from Corporate VP) |
| Exponent | Corporate Vice President | 2019–Nov 21, 2024 | Executive leadership progression within Exponent |
| Exponent | Principal Scientist | 2012–2019 | Advanced technical leadership in psychology/human performance |
| Exponent | Scientist/Consultant | 2005–2012 | Joined company; built expertise applied to client work |
External Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| Stanford University | Post-doctoral fellow (cognitive neuroscience) | Pre-2005 | Research on learning, memory, vision, and cognitive control informing later consulting expertise |
Fixed Compensation
| Component | Detail | Amount/Effective date |
|---|---|---|
| Base salary | Annual base salary increased 6% to $475,000 effective Mar 30, 2024; then increased 16% to $550,000 effective Nov 23, 2024 upon appointment as Group Vice President | $475,000 (3/30/2024); $550,000 (11/23/2024) |
| 2024 Salary (SCT) | Salary actually paid in FY2024 (reflects part-year rates and 53-week year) | $483,654 |
| 2024 Bonus (cash portion) | Annual bonus paid in cash (excludes portion settled in RSUs) | $435,000 |
| All Other Compensation (2024) | Company contributions to retirement/deferred comp and other standard benefits | $33,856 |
2024 Summary Compensation Table (SCT) – Joseph Sala
| Year | Salary ($) | Bonus ($) | Stock Awards ($) | Option Awards ($) | All Other Comp ($) | Total ($) |
|---|---|---|---|---|---|---|
| 2024 | 483,654 | 435,000 | 460,136 | — | 33,856 | 1,412,646 |
Notes:
- EXPO funds its company-wide bonus pool at 33% of pre-tax income before bonuses, stock-based comp, FX realized gains/losses, and interest income; bonuses for non-CEO NEOs are determined on a total compensation basis considering relative contributions .
Performance Compensation
Annual bonus structure and settlement mechanics (NEO program)
| Metric/Mechanism | Weighting | Target/Determination | Actual/Payout (Sala FY2024) | Vesting/Settlement |
|---|---|---|---|---|
| Annual bonus (NEO) | Not formulaic by metric for non-CEO; Committee discretion based on relative contribution | Bonus pool = 33% of defined pre-tax income; individual awards reflect role mix (consulting vs management) | $435,000 cash; plus equity-settled portion (see RSU mechanics) | Generally, 40% of each NEO’s annual bonus is settled with fully vested RSUs that deliver in 4 years; a matching number of unvested RSUs is granted that cliff vests in 4 years, subject to service and retirement conditions |
Stock vested and delivered in FY2024 (Sala)
| Type | Grant context | Shares vested (#) | Value realized on vesting ($) |
|---|---|---|---|
| RSUs (bonus-settlement) | Fully vested RSUs granted Mar 15, 2024 to settle portion of 2023 bonus | 2,906 | 230,068 |
| RSUs (time-based) | Unvested RSUs from Mar 3, 2020 grant that vested on Mar 3, 2024 | 2,216 | 174,599 |
Program risk-controls and clawback
- 40% of annual bonus is settled in fully vested RSUs with 4-year deferred delivery, and primary equity awards (time-based RSUs) cliff-vest after 4 years; annual bonuses are capped at 2x target (for CEO) and program design aims to balance short- and long-term incentives .
- EXPO maintains an SEC/Nasdaq-compliant clawback policy mandating recoupment of excess incentive-based compensation for restatements within a 3-year lookback, regardless of misconduct; no indemnification permitted for recovered amounts .
Equity Ownership & Alignment
Beneficial ownership (as of April 9, 2025)
| Holder | Shares beneficially owned | % of outstanding | Shares outstanding reference |
|---|---|---|---|
| Joseph Sala, Ph.D. | 1,595 | <1% | 50,757,382 shares outstanding |
Outstanding equity awards at FY2024 year-end (values at $88.91 close on Jan 3, 2025)
| Instrument | Unvested units (#) | Vesting date | Market value ($) |
|---|---|---|---|
| RSUs | 1,214 | Mar 12, 2025 | 107,937 |
| RSUs | 1,590 | Mar 11, 2026 | 141,367 |
| RSUs | 1,600 | Mar 10, 2027 | 142,256 |
| RSUs | 2,906 | Mar 5, 2028 | 258,372 |
| Stock options | — | — | No options outstanding |
Ownership policies and pledging
- Stock ownership guidelines: CEO 3x salary, CFO 2x, other NEOs 1x salary; includes outright shares and RSUs; 5 years to meet new/increased guideline; until met, must retain at least 50% of net shares delivered; as of April 9, 2025, all NEOs met or are expected to meet within the required period .
- Hedging/pledging: short sales, hedging, and trading on margin are prohibited; pledging of EXPO securities by directors/officers is not permitted .
Insider selling pressure markers
- Anticipated RSU vest/distribution dates for Sala: Mar 12, 2025; Mar 11, 2026; Mar 10, 2027; Mar 5, 2028 (potential delivery/sale windows subject to company policies and blackout periods) .
Employment Terms
| Term | Detail |
|---|---|
| Start date at EXPO | 2005 |
| Current role | Appointed Group Vice President on Nov 22, 2024 |
| Employment agreement | Company states no other contracts/agreements providing for payments at, following, or in connection with termination, change in control, or change in responsibilities for NEOs beyond equity award terms |
| Change-in-control (CIC) | Awards assumed or substituted; upon involuntary termination within 2 years post-CIC (other than for failure to perform), all awards vest and settle (double-trigger) |
| CIC value (Sala, RSUs) | Estimated $650,000 value of RSUs that would vest upon CIC plus involuntary termination, valued at $88.91/share as of Jan 3, 2025 |
| Retirement treatment | RSUs and options continue to vest at 59½+ if consulting is through EXPO and not with past/present clients or competitors; options vest ratably over 4 years; RSUs typically cliff vest at 4 years |
| Deferred compensation | 2024: Company contribution $7,552; aggregate 2024 earnings $39,178; aggregate balance at Jan 3, 2025: $392,092; no executive contributions in 2024 |
Performance & Track Record
- Company-level 2024 execution: net revenue +4.3% with improved utilization (73% vs 69%) and EBITDA margin (28.4% vs 27.7%) amid disciplined expense/headcount management, aligning incentives to profitability and growth .
- Pay-versus-performance context (company): 5-year TSR value 133 vs S&P MidCap 400 at 166; 2024 net income $109,002k and EBITDA $147,058k, framing incentive alignment to shareholder outcomes .
Compensation Peer Group and Governance Context
- Compensation consultant: Compensia; Radford survey used for market context .
- Peer group (used primarily for CEO/CFO market checks): CRA International, FTI Consulting, Heidrick & Struggles, Huron Consulting, ICF International, Korn Ferry, Resources Connection, The Hackett Group; no changes vs 2023; EXPO does not target a specific percentile .
- Say-on-pay: 92.8% support in 2024; 2024 program consistent with 2023 .
Investment Implications
- Alignment: Sala’s mix of cash and multi-year RSUs (including 40% of bonus in deferred-delivery RSUs and matching unvested RSUs) plus ownership guidelines and anti-hedging/pledging policies support long-term alignment and moderate risk-taking, with a company-level clawback as a safeguard .
- Retention risk: Substantial unvested RSUs vesting annually through 2028 and salary step-up upon elevation to Group VP increase retention incentives; absence of broad severance agreements suggests limited cash protection outside CIC double-trigger equity acceleration .
- Trading signals: Watch RSU vest/delivery dates (Mar 2025/2026/2027/2028) as potential supply windows subject to trading policies; Sala lacks option overhang, reducing forced-exercise dynamics .
- Performance sensitivity: Bonus pool funding ties directly to profitability and company performance, while non-CEO NEO awards are Committee-determined; improving 2024 EBITDA margin and utilization were supportive tailwinds for payouts, but less formulaic linkage vs CEO underscores qualitative assessment risk .