Christopher Lee
SemiLEDsAbout Christopher Lee
Christopher Lee, 54, is SemiLEDs’ Chief Financial Officer (CFO) and Corporate Secretary; he joined in September 2014, served as interim CFO from November 2014, and was appointed CFO effective September 1, 2015 . He is a U.S.-licensed CPA with a BS in Accounting (Ohio State) and an MS in Business Taxation (Golden Gate University), with 25+ years in accounting and finance (US GAAP, PCAOB, SEC) . Company performance over FY2022–FY2024 shows revenues of $5.979M → $5.183M*, EBITDA of -$2.401M* → -$2.386M*, and net losses of -$2.726M → -$2.036M*, with cumulative TSR (Pay vs Performance table basis) falling from $73.98 (2022) to $22.41 (2024) . He also serves on the Board of Aixin Life International Inc. since February 2021 .
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Revenues ($USD) | $5,979,000* | $5,979,000* | $5,183,000* |
| EBITDA ($USD) | $(2,401,000)* | $(2,401,000)* | $(2,386,000)* |
| Net Income - (IS) ($USD) | $(2,726,000) | $(2,690,000) | $(2,036,000) |
Values marked with * retrieved from S&P Global.
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| SemiLEDs | Interim CFO → CFO | Nov 2014–Sep 2015 (interim); CFO from Sep 1, 2015 | Established finance leadership; secured equity-linked comp; continuity through listing/compliance challenges |
| Self-employed Accountant | Principal | Jul 2011–Aug 2014 | Provided accounting advisory; maintained technical proficiency |
| KEDP CPA Group | Partner | Aug 2009–Jun 2011 | Led CPA practice; deepened audit/tax expertise |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Aixin Life International Inc. | Director | Feb 2021–present | External board exposure; cross-industry governance experience |
Fixed Compensation
| Component | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Base Salary ($USD) | $92,950 | $89,151 | $87,543 |
| Target Bonus (%) | Not disclosed | Not disclosed | Not disclosed |
| Actual Bonus Paid ($USD) | — | — | — |
Observations:
- No cash bonus disclosed for FY2022–FY2024; CFO cash comp modest and trending lower .
- Initial appointment terms set base salary at 3,311,000 NTD (effective Sep 1, 2015) .
Performance Compensation
| Award Type | Grant Date | Units/Shares | Grant-date Fair Value ($USD) | Vesting | Performance Metrics | Payout Mechanics |
|---|---|---|---|---|---|---|
| RSU (2010 Plan) | 11/12/2021 | 1,000 | $— | Four equal annual installments (first on 1-year anniversary) | None (time-based) | Shares delivered per schedule |
| RSU (2010 Plan) | 04/25/2023 | 7,000 | $35,050 | Eight quarterly installments; first 3 months after grant | None (time-based) | Shares delivered per schedule |
| RSU (Unvested at FY-end) | As of 08/31/2024 | 3,000 unvested | Market value $4,050 at $1.35 close | Continues per 8-quarter schedule | None | Shares vest quarterly |
| RSU (Form 4) | 07/10/2025 | 8,000 | $— | Quarterly from Jul 10, 2025; fully vests upon change of control | None | Shares vest per plan; CoC acceleration |
Notes:
- Company discloses it does not grant stock options; equity programs are RSU-centric .
- No disclosed revenue/EBITDA/TSR targets tied to CFO pay; awards are time-based .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Total Beneficial Ownership | 25,800 shares as of July 2, 2025 (less than 1%) |
| % of Shares Outstanding | ≈0.31% (25,800 ÷ 8,222,403) |
| Vested vs Unvested (FY2024) | 3,000 RSUs unvested; market value $4,050 at $1.35 close |
| Options (Exercisable/Unexercisable) | None disclosed; company does not grant options |
| Pledging/Hedging | Hedging prohibited; pledging/margin discouraged by policy |
| Ownership Guidelines | Director guidelines to hold stock until retirement; no executive-specific guideline disclosed |
| Trading Plans | Rule 10b5‑1 plan policy in place for officers/directors |
Insider activity:
- Form 4 awards: 8,000 RSUs (Jul 10, 2025), raising direct holdings to 33,800 shares per third-party tracker; official SEC Form 4 confirms award and CoC acceleration . No sales disclosed in cited filings.
Employment Terms
| Term | Detail |
|---|---|
| Start & Tenure | Interim CFO from Nov 2014; CFO effective Sep 1, 2015 |
| Initial Compensation | Base salary: 3,311,000 NTD; RSU grant: 25,000 shares (25% vest each Sep 1 of 2016–2019; full vest on change of control) |
| Severance | CFO-specific severance not disclosed; CEO severance terms provided separately |
| Change-of-Control | 2015 CFO RSUs fully vest upon CoC; 2025 RSUs also fully vest upon CoC per Form 4 |
| Clawbacks | Not disclosed |
| Restrictive Covenants | Not disclosed |
| 10b5‑1 Trading Plans | Allowed; adoption subject to no MNPI; sales may occur around corporate events |
Performance & Track Record
| Indicator | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| TSR (value of initial $100) | $73.98 | $33.33 | $22.41 |
| Net Income (Loss) ($000s) | $(2,726) | $(2,690) | $(2,036) |
Context:
- LEDS operates as a “Controlled Company” under Nasdaq due to a Voting Agreement among Simplot Taiwan/JRS Properties and CEO Trung Doan, holding ~57% voting power in 2025 (52% in 2024) .
- Compensation Committee held 3 meetings in FY2024; committee not solely independent under controlled-company exemptions .
Compensation Structure Analysis
- Equity-heavy, time-based RSUs with no disclosed performance metrics for CFO; no annual cash bonus in FY2022–FY2024 .
- Continued RSU grants (2023, 2025) with quarterly vesting and CoC acceleration lower risk for the executive vs options; can create event-driven vesting benefits in M&A scenarios .
- Director ownership guidelines exist; executive ownership guidelines not disclosed .
Related Party Transactions (Governance backdrop)
- Multiple loan amendments and share issuances to repay CEO/Simplot loans, culminating in significant insider ownership concentration; controlled-company status formalized via Voting Agreement .
- Insider trading policy prohibits hedging; pledging discouraged .
Investment Implications
- Alignment: CFO’s ownership is modest (~0.31%), but recurring RSU grants and quarterly vesting create ongoing equity exposure; absence of performance-conditioned awards weakens pay-for-performance linkage .
- Selling pressure: Recent activity shows awards, not sales; with 10b5‑1 policy permitted, expect potential scheduled trades, but hedging and pledging are discouraged, lowering misalignment risk .
- Retention: Long tenure since 2015 and continued RSU grants support retention; CoC acceleration is a standard feature but can create perceived event-driven incentives .
- Governance risk: Controlled-company structure centralizes voting power (Simplot/Doan ~57% in 2025), potentially limiting shareholder influence on compensation design and oversight; monitor say-on-pay outcomes and committee practices .
- Execution risk: Persistent net losses and declining TSR over FY2022–FY2024 frame a challenging backdrop; lack of disclosed financial performance metrics in executive pay reduces direct accountability ties to results .