Roberto Isaias
Executive Vice President and Chief Supply Chain Officer at MAT
Executive
About Roberto Isaias
Roberto J. Isaias Zanatta, age 57, serves as Executive Vice President and Chief Supply Chain Officer at Mattel, Inc. since February 2019, after progressively senior leadership roles across Mattel Latin America and prior commercial leadership at Procter & Gamble Mexico . Under his remit, Mattel’s 2024 performance benefited from supply chain efficiencies and cost savings that supported gross margin expansion (+330 bps to 50.8%), EPS growth (+163%), and nearly $600 million in free cash flow, despite flat-to-down net sales (-1%) versus 2023 . For the 2022–2024 LTIP cycle, Mattel’s relative TSR ranked at the 20th percentile, yielding a 46% payout outcome on performance units—providing context for long-term equity realizations .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Mattel | EVP & Chief Supply Chain Officer | Feb 2019–present | Led productivity, operational efficiency, high supply/demand match rates, item productivity improvements, and diversification of manufacturing footprint driving significant cost savings |
| Mattel | SVP & Managing Director, Latin America | Apr 2014–Feb 2019 | Regional leadership across LATAM markets |
| Mattel | SVP & GM Latin America (except Brazil) | Dec 2011–Apr 2014 | Regional general management, excluding Brazil |
| Mattel | VP & GM Mexico | Sep 2007–Dec 2011 | Country P&L leadership |
| Mattel | GM, Latin America – South Cone | Mar 2005–Sep 2007 | Led Chile, Argentina, Peru, Uruguay, Paraguay, Bolivia |
| Mattel | Sr. Sales & Trade Marketing Director – Mexico | Aug 2002–Mar 2005 | Commercial leadership in Mexico |
| Procter & Gamble Mexico | Head of Commercial, Traditional Trade | Aug 2001–Aug 2002 | Traditional trade channel leadership |
| Procter & Gamble Mexico | Associate Director, Modern Trade/Drug Distributors/Key Regions | Prior to Aug 2001 | Modern trade and distributor/channel leadership |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Procter & Gamble Mexico | Various commercial leadership roles | Pre‑2001–2002 | Channel strategy and commercial execution across traditional and modern trade |
Fixed Compensation
| Metric | 2023 | 2024 |
|---|---|---|
| Base Salary ($) | 700,000 | 700,000 |
| Target Bonus (%) | 70% (unchanged in 2024; Committee made no changes for other NEOs) | 70% |
| Actual Bonus Paid ($, MIP) | 956,725 | 980,000 |
Performance Compensation
Annual Cash Incentive (MIP) – Structure and Results
| Component | Weight | 2024 Target/Bands | 2024 Company Earnout | Individual Multiplier | Resulting Payout |
|---|---|---|---|---|---|
| MIP-Adjusted EBITDA Less Capital Charge | 65% | Target $677m; band ±$120m | 200% pre-weight; 130.0% weighted | 125% (Exceeded Expectations) | Total 200% of target MIP; $980,000 |
| MIP-Adjusted Net Sales | 20% | Target $5,487m; band ±5% | 85% pre-weight; 17.1% weighted | 125% | Included above |
| MIP-Adjusted Gross Margin | 15% | Target 48.6%; band ±125 bps | 200% pre-weight; 30.0% weighted | 125% | Included above |
| Total | 100% | — | 177.1% company earnout | 125% | $980,000 (paid 2025) |
Notes: Funding threshold (MIP-Adjusted EBITDA) of $870m was achieved . The MIP earnout reflects cost savings, inventory cost reductions, supply chain efficiencies, and FX favorability; net sales were slightly below target .
Long-Term Incentives (LTIs)
| Metric | 2024 Grant Detail | Vesting/Performance |
|---|---|---|
| 2024–2026 Performance Units (PUs) | $750,000 target grant value | Earnout based on 3-year cumulative Adjusted Free Cash Flow with relative TSR multiplier; payout 25%–200% of target; performance period 2024–2026 |
| 2024 RSUs | $750,000 grant value | Time-based; 33% vests 4/24/2025, 33% vests 4/25/2026, 34% vests 4/25/2027 |
| 2024–2026 PUs – Unit Counts | Target 37,481; Threshold 9,370; Max 74,962 | See performance framework above |
| 2022–2024 LTIP Payout | 9,722 shares earned (settled 2/3/2025) | Reflects 69% Adjusted FCF earnout and 67% TSR multiplier → 46% total payout |
Equity Ownership & Alignment
| Ownership Metric | Value |
|---|---|
| Total Beneficial Ownership (as of Mar 17, 2025) | 341,951 shares; includes options, RSUs; <1% of shares outstanding |
| Breakdown: Options (vested/unvested within 60 days), RSUs, 401(k) | Options: 193,065; RSUs: 33,810; 401(k): — |
| Stock Ownership Guidelines | 3x base salary; compliance deadline 2/29/2024; all NEOs in compliance or within period |
| Hedging/Pledging | Prohibited; none of listed shares are pledged |
| Deferred Compensation | 2024 executive deferrals $948,026; Company contributions $42,481; aggregate balance $3,684,981 |
Employment Terms
| Provision | Terms |
|---|---|
| Severance (non-COC) | 1x salary + target bonus; pro‑rata bonus based on actual performance; pro‑rata vesting of equity post‑eligibility date; health/welfare continuation during severance period; up to $50,000 outplacement (12 months) |
| Severance (COC termination; double trigger) | 2x salary + target bonus (lump sum); pro‑rata target bonus; full acceleration of eligible equity awards (performance awards per grant terms); 2 years health/welfare; up to $50,000 outplacement |
| Equity Treatment (plan terms) | Change-of-control acceleration/assumption rules for options, RSUs, and performance units; retirement/death/disability pro‑ration consistent with plans |
| Clawback | Incentive comp recovery for material financial restatements; applies to current/former Section 16 officers and EVPs |
| Non‑compete/Non‑solicit | Post‑employment covenants required in certain severance circumstances (competitors, non‑solicit, confidentiality, non‑disparagement) |
| Tax Gross‑ups | No excise tax gross‑ups; relocation program may include tax gross‑ups; Isaias received transitional tax assistance and tax gross‑up of $24,577 related to prior relocation |
Vesting Schedules and Insider Selling Pressure Indicators
| Upcoming Event | Detail | Implication |
|---|---|---|
| RSU vest tranches | 33% on 4/24/2025; 33% on 4/25/2026; 34% on 4/25/2027 | Potential near-term settlement liquidity events; retention-oriented given staggered vesting |
| Option vesting | 2022 options 100% vest on 4/29/2025; 2023 options 50% vest on 4/28/2025 and 50% on 4/28/2026 | As of 12/31/2024, accelerated or unvested options were underwater at $17.73 (thus no value on acceleration), reducing exercise-driven selling pressure unless price improves |
| 2022–2024 LTIP settlement | 9,722 shares settled on 2/3/2025 | Incremental shares delivered could create sell windows; long-term payout at 46% signals alignment with performance |
| DCP deferral | $948k deferred in 2024; large aggregate balance $3.685m | High deferrals may reduce need for discretionary selling; indicates planning for tax-efficient liquidity |
| Hedging/pledging restrictions | Prohibited companywide | Limits leverage/monetization strategies; alignment with shareholders |
Performance & Track Record
- 2024 outcomes tied to supply chain efficiencies and cost savings contributed to gross margin expansion (+330 bps), EPS growth (+163%), and nearly $600 million free cash flow; net sales down 1% year‑over‑year .
- CEO assessment cited Isaias’ leadership in productivity, operational efficiency, service levels, high supply‑demand match rate, item productivity, and manufacturing footprint optimization/diversification generating significant cost savings .
- LTIP 2022–2024 paid at 46% due to below‑target cumulative Adjusted Free Cash Flow and below‑threshold relative TSR (20th percentile), reinforcing rigorous long‑term pay‑for‑performance .
Equity Awards – Detailed Inventory
| Award Type | Key Terms |
|---|---|
| 2024 RSUs | 40,606 units; vesting 33% (4/24/2025), 33% (4/25/2026), 34% (4/25/2027) |
| 2024–2026 PUs | Target 37,481; threshold 9,370; max 74,962; 3‑yr Adjusted Free Cash Flow with TSR multiplier |
| Options (selected grants) | 2019: 25,685 @ $13.59 exp 8/1/2029; 2020: 28,783 @ $11.11 exp 7/31/2030; 2021: 13,963 @ $21.91 exp 8/2/2031; 2022: 8,578 (exercisable), 4,420 (unexercisable) @ $24.31 exp 4/29/2032 |
Compensation Structure Analysis
- Mix: 2024 total LTI $1.5 million split 50% PUs / 50% RSUs—balanced performance vs. retention .
- MIP emphasis: 65% profitability (EBITDA less capital charge), 20% top‑line, 15% gross margin; company earnout 177.1% indicates management overachievement on profitability/margin .
- Governance: Clawback, prohibition on hedging/pledging, double‑trigger CoC vesting; no excise tax gross‑ups—shareholder-friendly design .
- Ownership: 3x salary guideline; NEOs in compliance or within window; no pledging .
Employment Terms
| Scenario | Estimated Potential Payments (as of 12/31/2024) |
|---|---|
| Involuntary Termination (non‑COC) | Severance $1,190,000; current year bonus $980,000; value of PUs $818,984; equity vesting acceleration $1,339,714; other benefits $84,078; total $4,412,777 |
| COC Termination (double trigger) | Severance $2,380,000; current year bonus $980,000; value of PUs $1,750,004; equity vesting acceleration $1,339,714; other benefits $118,156; total $6,567,875 |
| Retirement | Value of PUs $818,984; total $818,984 |
| Death/Permanent Disability | Value of PUs $818,984; equity vesting acceleration $1,339,714; total $2,158,698 |
Investment Implications
- Alignment and retention: Strong pay‑for‑performance link via MIP profitability and LTIP FCF/TSR, plus staggered RSU vesting and double‑trigger CoC terms; high DCP deferrals reduce near‑term selling pressure .
- Execution signal: 2024 outsized MIP earnout (177.1%) and 125% individual multiplier highlight supply chain execution—beneficial for margin durability and working capital productivity .
- Trading windows: Watch April 2025/2026 RSU and option vest tranches; options were underwater at FY24 close ($17.73), limiting exercise-based selling unless price appreciation occurs .
- Governance risk mitigants: Clawback, no hedging/pledging, no excise tax gross‑ups; relocation tax gross‑up from 2020 is programmatic, not a golden parachute—overall governance profile supports investor alignment .