Sally M. Cunningham
About Sally M. Cunningham
Sally M. Cunningham, age 50, is Senior Vice President, Chief Financial Officer and Treasurer of Hamilton Beach Brands Holding Company; she has served as CFO since March 2023 and added Treasurer in May 2023 . Under her tenure, 2024 revenue rose 4.6% to $654.7 million, gross margin expanded to 26.0%, and net income increased 21.9% to $30.8 million . Company total shareholder return measured as the value of an initial $100 investment was $89.17 (2022), $127.72 (2023), and $126.29 (2024), while incentive plans incorporated capital efficiency via Adjusted ROTCE (22.0% in 2024) and profitability metrics that drove above-target payouts .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Hamilton Beach Brands Holding Company | SVP, CFO (Mar 2023–May 2023); SVP, CFO & Treasurer (May 2023–present) | 2023–present | Principal financial officer and principal accounting officer; signs and certifies SEC filings . |
| One Rock Capital Partners | Operating Partner | Nov 2021–Feb 2023 | Private equity operating role supporting portfolio value creation . |
| Ascent Industries Co. (steel and chemical producer) | SVP & CFO; previously VP, Corporate Administration | Jun 2020–Aug 2021; prior to 2020 | Finance leadership in industrial manufacturing and distribution . |
External Roles
No public-company directorships or external board roles were disclosed for Cunningham in HBB’s 2024 Form 10-K or 2025 Proxy Statement .
Fixed Compensation
| Metric | 2024 Value |
|---|---|
| Salary Midpoint ($) | $406,900 |
| Base Salary ($) | $400,000 (98.3% of midpoint) |
| Cash in Lieu of Perquisites ($) | $15,996 |
| Employer Paid Life Insurance Premiums ($) | $557 |
| Other employer-paid benefits ($) | Excess Plan retirement $2,130; Qualified retirement $10,350; Personal excess liability insurance and related items $2,575 |
Performance Compensation
Short-Term Incentive (Annual Incentive Compensation Plan)
| Metric | Weight | Target | Actual/Result | Achievement % | Weighted Payout % |
|---|---|---|---|---|---|
| Adjusted ROTCE | 30% | 16.8% | 22.0% | 143.3% | 43.0% |
| Adjusted Net Sales | 40% | $655,274,866 | $654,693,445 | 99.8% | 39.9% |
| Adjusted Operating Profit | 30% | $39,599,761 | $46,110,250 | 127.4% | 38.2% |
| Final Payout % | — | — | — | — | 121.1% |
| Participant | 2024 Salary Midpoint | Target (% of Midpoint) | Target ($) | Payout (% of Target) | Actual Payout ($) |
|---|---|---|---|---|---|
| Sally M. Cunningham | $406,900 | 50% | $203,450 | 121.1% | $246,378 |
Notes: ROTCE is defined as adjusted Earnings Before Interest After-Tax divided by adjusted Average Total Capital Employed; the formula and 2024 components are detailed in the proxy .
Long-Term Incentive (Executive Long-Term Equity Incentive Plan)
Plan pays ~65% in fully vested, transfer-restricted Class A shares and ~35% in cash; shares generally cannot be transferred for 10 years; awards are immediately taxable and targets include a 15% increase to reflect tax treatment .
| Metric | Weight | Target | Actual/Result | Achievement % | Weighted Payout % |
|---|---|---|---|---|---|
| Adjusted Net Sales | 33% | Not disclosed (competitive) | Not disclosed | 99.8% | 32.9% |
| Adjusted ROTCE | 33% | Not disclosed (competitive) | Not disclosed | 125.0% | 41.3% |
| Project Focus List | 34% | 100.0% | 104.0% | 104.0% | 35.4% |
| Final Payout % | — | — | — | — | 109.6% |
| Participant | 2024 Salary Midpoint | LTI Target (% of Midpoint incl. 15%) | Target ($) | Payout (% of Target) | Total Award ($) | Shares Issued (#) | Grant-Date FV of Shares ($) |
|---|---|---|---|---|---|---|---|
| Sally M. Cunningham | $406,900 | 69.0% | $280,761 | 109.6% | $307,714 | 16,888 | $281,776 |
Grants of Plan-Based Awards (Targets and Maxima)
| Plan | Target ($) | Maximum ($) |
|---|---|---|
| Short-Term Plan | $203,450 | |
| Long-Term Equity Plan (cash component) | $98,266 | |
| Long-Term Equity Plan (stock component) | $182,495 | $273,742 |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership (Class A) | 32,425 shares; less than 1% of Class A outstanding |
| 2024 LTI Equity Vest/Issue | Shares issued: 16,888; net shares received after tax withholding: 15,722; vest date/value realized: Feb 21, 2025; $276,707 |
| Options | Company does not sponsor a stock option plan; no outstanding options |
| Transfer Restrictions | Director/senior management equity awards generally subject to 10-year hold; fully vested at issue; cannot be transferred, hedged, or pledged during hold, with limited exceptions |
| Hedging & Pledging | Hedging prohibited; pledging restricted and requires consent; margin accounts prohibited for Key Insiders |
| Insider Trading Controls | Pre-clearance required for Key Insiders; no trading windows; Rule 10b5-1 plans must meet Company guidelines and cooling-off periods |
| Stock Ownership Guidelines | No formal multiple required; long holding periods drive accumulation |
Employment Terms
| Term | Disclosure |
|---|---|
| Start in current role | CFO since March 2023; Treasurer added May 2023 |
| Contract | No individual employment agreements; compensation governed by plan documents |
| Severance | Broad-based plan applies; individual severance not specified for Cunningham |
| Change-in-Control (CIC) | Pro-rata target payout of current-year incentive awards; for 2024, potential payout equal to STP target $203,450 + LTI target $280,761 = $484,211 |
| Clawbacks | NYSE-compliant Compensation Clawback Policy for restatements; Supplemental Recoupment Policy may apply beyond restatements |
2023–2024 Compensation Summary (as reported)
| Metric | 2023 | 2024 |
|---|---|---|
| Salary ($) | — | $415,996 |
| Stock Awards ($) | — | $281,776 |
| Non-Equity Incentive ($) | — | $354,092 |
| Nonqualified Deferred Comp Earnings ($) | — | $5,226 |
| All Other Compensation ($) | — | $87,467 |
| Total ($) | — | $1,144,557 |
Note: Cunningham was not an NEO in 2023; therefore, 2023 values are not reported .
Deferred Compensation (Excess Plan) – 2024
| Item | Amount |
|---|---|
| Employer Contributions ($) | $53,181 |
| Aggregate Earnings ($) | $1,946 |
| Aggregate Withdrawals/Distributions ($) | $14,956 |
| Aggregate Year-End Balance ($) | $55,127 |
Performance & Track Record
Company Financial Performance
| Metric | 2023 | 2024 |
|---|---|---|
| Revenue ($000s) | $625,625 | $654,693 |
| Gross Profit Margin (%) | 23.0% | 26.0% |
| Net Income ($000s) | $25,242 | $30,759 |
Pay vs Performance External Measures
| Year | TSR – Value of Initial $100 Investment | Net Income ($000s) |
|---|---|---|
| 2022 | $89.17 | $25,267 |
| 2023 | $127.72 | $25,242 |
| 2024 | $126.29 | $30,759 |
Say-on-Pay & Shareholder Feedback
HBB’s 2024 say-on-pay received over 99% approval, and the Board intends to continue annual advisory votes; the next say-on-pay is expected in 2026 .
Compensation Peer Benchmarking & Governance
HBB uses Korn Ferry’s General Industrials Survey (companies ~$500M–$1B revenue) to set salary midpoints and targets around the 50th percentile; equity awards for NEOs are subject to 10-year holding, and HBB does not provide guaranteed bonuses or individual CIC agreements .
Investment Implications
- Alignment: A high share of at-risk pay tied to capital efficiency (Adjusted ROTCE) and profitability, with 10-year equity holding and strict hedging/pledging prohibitions, drives strong alignment and dampens near-term selling pressure .
- Retention Risk: Absence of an employment agreement is offset by meaningful annual LTI awards subject to long holding periods and limited CIC economics (pro-rata only), suggesting balanced retention incentives without excessive golden parachutes .
- Trading Signals: Net share surrender to cover taxes and long holding restrictions reduce supply overhang; insider pre-clearance and no trading windows further limit opportunistic trading .
- Governance Safeguards: Formal clawback policies and supplemental recoupment, plus no stock option plans, mitigate pay-risk and repricing concerns .