Brad Beckham
Also at O'Reilly Automotive Inc
About
Brad Beckham has spent nearly three decades at ORLY, demonstrating a deep commitment to the company and its operations. Over the course of 28 years, he has honed a diverse set of skills by taking on multiple roles that have allowed him to contribute significantly to the organization’s success.
He started his career as a Parts Specialist in 1996 and steadily rose through the ranks by embracing increasing responsibilities. His journey through roles such as Store Manager, District Manager, Regional Manager, and various Vice Presidential positions underscores a career built on determination and a passion for operational excellence.
As a leader, his ascent to the Chief Executive Officer position in January 2024 reflects a strategic succession plan and a profound understanding of the industry. Known for his focus on customer service and his commitment to ORLY’s culture, he not only leads the company toward future growth but also embodies the values and legacy that have defined ORLY throughout the years.
$ORLY Performance Under Brad Beckham
Past Roles
| Organization | Role | Date Range | Details |
|---|---|---|---|
| ORLY | Co-President | N/A | Held prior to promotion to CEO in January 2024 |
| ORLY | Executive Vice President and Chief Operating Officer | N/A | |
| ORLY | Executive Vice President of Store Operations and Sales | N/A | |
| ORLY | Senior Vice President of Central Store Operations | N/A | |
| ORLY | Senior Vice President of Eastern Store Operations and Sales | N/A | |
| ORLY | Vice President of Eastern Store Operations and Sales | N/A | |
| ORLY | Divisional Vice President | N/A | |
| ORLY | Regional Manager | N/A | |
| ORLY | District Manager | N/A | |
| ORLY | Store Manager | N/A | |
| ORLY | Parts Specialist | N/A |
Fixed Compensation
| Component Name | Amount | Payment Schedule | Additional Details |
|---|---|---|---|
| Base Salary | $744,231 | Annual 2023 | Fixed annual base salary |
| Company Contributions to Deferred Plan | $1,212 | 2023 | Included in All Other Compensation |
| Company Contributions to 401(k) Plan | $11,000 | 2023 | Included in All Other Compensation |
| Medical Insurance Premium Reimbursement | $775 | 2023 | Included in All Other Compensation |
| Value of Company-Paid Group Term Life Insurance | $6,465 | 2023 | Included in All Other Compensation |
| Discount from Employee Stock Purchase Plan | $6,600 | 2023 | Included in All Other Compensation |
| Allowance for Personal Automobile | $8,770 | 2023 | Included in All Other Compensation |
Performance Compensation
Performance Metrics and Targets
| Metric | Weight (%) | Threshold | Target | Actual | Achievement (%) |
|---|---|---|---|---|---|
| Comparable Store Sales | 30 | 3.5% | 5.0% | 7.9% | 78.4 |
| Operating Income | 30 | $2,993,000 | $3,083,000 | $3,186,376 | 58.7 |
| Return on Invested Capital (ROIC) | 20 | 65.56% | 72.16% | 74.50% | 25.3 |
| Free Cash Flow | 20 | $1,694,000 | $2,092,000 | $1,987,720 | 14.8 |
Overall, the total achievement reached 177.2%.
Incentive Compensation Details
| Component | Detail/Description | Value/Percentage |
|---|---|---|
| Base Salary for Incentive | Base salary used to calculate target incentive compensation | $750,000 |
| Target Incentive Compensation | Set at 100% of base salary | $750,000 |
| Actual Incentive Payout | Actual performance payout based on achievement | $1,329,271 (177.2% of target) |
| Maximum Achievement Cap | Maximum multiplier allowed under the plan | 5 times annual base salary |
| Maximum Payout | Maximum possible payout under the plan | $10,000,000 per participant |
Stock Options (Share-based Compensation)
| Component | Detail/Description | Value/Detail |
|---|---|---|
| Grant Date | Date the stock options were granted | February 2, 2023 |
| Number of Options | Total options granted | 2,375 options |
| Exercise Price | Price per share to exercise the option | $805.66 |
| Grant Date Fair Value | Fair value of the granted options on the grant date | $750,154 |
| Vesting Schedule | Vesting over four years: 25% after one year, 50% after two years, 75% after three years, 100% after four years | 25% at 1 year, 50% at 2 years, 75% at 3 years, 100% at 4 years |
Evaluation Period and Conditions
- Evaluation Period: All performance metrics were evaluated during the 2023 performance period.
- Conditions: The incentive compensation plan conditions required exceeding specific thresholds for each metric, with each metric carrying a defined weight contributing to the overall achievement. Exceeding targets on one or more metrics contributed to the final payout.