Lambert Shiu
PenumbraAbout Lambert Shiu
Lambert Shiu is Penumbra’s Chief Accounting Officer; age 45 as of March 31, 2025. He joined Penumbra in 2015, serving as Director of Finance and then Vice President, Finance and Accounting, and was promoted to Chief Accounting Officer in December 2019; he is a California CPA and holds a B.A. from UC Davis, with 13+ years at PwC including two years in its National Office . Penumbra’s 2024 performance metrics used for executive equity awards were revenue and non-GAAP income from operations (including non-GAAP operating margin); the Compensation Committee determined 2024 revenue was $1,194.6 million and non-GAAP income from operations was $106.6 million, which drove RSU grants under the 2024 PSU Program in February 2025 .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| PricewaterhouseCoopers (PwC) | Various roles; two years in National Office | 13+ years | Technical accounting leadership; increasing responsibility across teams |
| Penumbra, Inc. | Director of Finance; Vice President, Finance & Accounting | 2015–2019 | Built finance and accounting processes prior to promotion to CAO |
External Roles
No external public company directorships or outside roles disclosed for Mr. Shiu in the proxy biography .
Fixed Compensation
| Component | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary ($) | $529,615 | $530,769 | $575,000 |
| Annual Cash Bonus ($) | $0 | $0 | $0 |
- Penumbra generally does not pay annual cash incentive bonuses to NEOs; compensation focuses on base salary and long-term equity awards .
Performance Compensation
RSU Grants and Vesting
| Grant Date | Type | Shares Granted | Grant-Date Fair Value ($) | Vesting Schedule |
|---|---|---|---|---|
| 3/15/2024 (approved 2/16/2024) | RSUs (performance equity program 2023 results) | 1,670 | $370,991 | 1/3 on each of 3/15/2025, 3/15/2026, 3/15/2027 |
| 11/15/2024 | RSUs (retention/time-based) | 2,570 | $611,249 | 1/4 on each of 11/15/2025, 11/15/2026, 11/15/2027, 11/15/2028 |
| 2/14/2025 | RSUs (2024 PSU Program payout) | 640 | Calculated by salary × weighted achievement ÷ $224.74 (closing price on 3/22/2024) | 1/4 on 2/18/2025; remaining 1/4 on 2/15/2026, 2/15/2027, 2/15/2028 |
2024 PSU Program: Metrics, Weighting, Achieved, and Payout
| Metric | Weighting | Target | Actual (2024) | Payout to Shiu |
|---|---|---|---|---|
| Revenue | 75% | Predetermined (not disclosed) | $1,194.6 million | Part of 640 RSUs granted 2/14/2025 based on weighted achievement |
| Non-GAAP income from operations (including non-GAAP operating margin) | 25% | Predetermined (not disclosed) | $106.6 million | Part of 640 RSUs granted 2/14/2025 based on weighted achievement |
Calculation method: number of RSUs = 2024 salary × weighted average achievement percentages ÷ $224.74 (closing price on 3/22/2024) .
2024 PSU Estimated Future Payouts (Grant guidelines)
| Threshold (#) | Target (#) | Maximum (#) |
|---|---|---|
| 320 | 1,920 | 2,560 |
2024 Realized Equity and Option Activity
| Activity | Shares | Value Realized ($) |
|---|---|---|
| Options exercised in 2024 | 5,250 | $1,222,620 |
| Stock awards vested in 2024 | 1,912 | $452,510 |
Equity Ownership & Alignment
Beneficial Ownership (as of March 31, 2025)
| Holder | Shares Beneficially Owned | % of Shares Outstanding |
|---|---|---|
| Lambert Shiu | 25,608 (25,308 directly; 300 via spouse IRA) | <1% (star per proxy) |
- Shares outstanding used for calculation: 38,683,650 .
- Anti-hedging and anti-pledging: employees and directors (including executive officers) are prohibited from hedging or pledging Penumbra securities .
Outstanding Awards (as of December 31, 2024)
| Award Type | Quantity | Exercise Price / Market Value | Expiration / Vesting |
|---|---|---|---|
| Stock options (exercisable) | 13,725 | $22.04 exercise price | Expires 8/11/2025 |
| RSUs (unvested) | 938 | $222,756 market value | Vests 11/15/2025 (fully) |
| RSUs (unvested) | 1,115 | $264,790 market value | 1/2 on 12/15/2025; 1/2 on 12/15/2026 |
| RSUs (unvested) | 1,253 | $297,562 market value | 1/3 on 3/15/2025, 3/15/2026, 3/15/2027 |
| RSUs (unvested) | 2,570 | $610,324 market value | 1/4 on 11/15/2025, 11/15/2026, 11/15/2027, 11/15/2028 |
- Additional performance RSUs of 640 granted on 2/14/2025 (vest dates beginning 2/18/2025 and annually on 2/15/2026–2028) .
Stock Ownership Guidelines
- Formal ownership guideline applies to CEO only (3x base salary); no executive-officer-wide guideline disclosed; CEO met the requirement as of 12/31/2024 .
Employment Terms
- Employment arrangement: at-will; no formal employment agreement; no severance or change-in-control cash benefits; standard benefits eligibility (401(k), health) .
- Change-in-control equity acceleration: all unvested RSUs and options held by NEOs fully vest upon a change in control (single-trigger), subject to continued service through the event date .
- Intrinsic value of Shiu’s unvested awards that would accelerate on change-in-control (as of 12/31/2024 at $237.48 stock price): $1,395,432 .
- Clawback policy: company will recover erroneous incentive-based compensation from current/former executive officers in the event of a restatement, covering the prior three fiscal years .
- Insider trading policy bans hedging and pledging of company securities by employees and directors .
Compensation Structure Analysis
- Mix shift toward equity: 2024 compensation comprised base salary and equity awards (no cash bonus); RSUs granted for 2023 performance (granted Feb 2024), time-based retention RSUs (Nov 2024), and PSU-based RSUs for 2024 performance (Feb 2025), aligning pay with revenue and non-GAAP operating performance .
- Market positioning: total cash compensation levels generally at/below 15th percentile for NEOs due to no cash bonuses; exception was Mr. Shiu whose total cash compensation approximated the 80th percentile as of September 2024 .
- Peer group adjustments: five companies added and nine removed in 2024 to reflect changes in revenue and market cap; peer group informs competitive benchmarking .
Performance Compensation Detail
| Metric | Weighting | Target Level Definitions | Payout Calibration | Notes |
|---|---|---|---|---|
| Revenue | 75% | Predetermined plan (not disclosed) | Below plan: 50% of salary; At plan: 75%; Above plan: 100% (subject to weighting) | Designed to balance growth and profitability |
| Non-GAAP income from operations (incl. non-GAAP operating margin) | 25% | Predetermined plan (not disclosed) | Below/At/Above plan as above (subject to weighting) | Non-GAAP excludes specified charges (immersive business wind-down and impairments, litigation, Italian payback, amortization from Sixense acquisition) |
Investment Implications
- Upcoming supply from vesting: Multiple scheduled RSU vesting dates in 2025–2028 (Mar, Nov, Dec, Feb) may create periodic selling pressure around vest events; 2024 vesting of 1,912 shares and option exercises (5,250) indicate liquidity activity during prior year .
- Change-in-control economics: Single-trigger acceleration of unvested equity could meaningfully increase realized value in an M&A scenario (Shiu’s intrinsic acceleration value $1.395 million as of 12/31/2024), aligning management with deal completion but potentially influencing timing considerations .
- Alignment and risk controls: Beneficial ownership is modest (<1%); however, equity awards are a significant portion of compensation and anti-hedging/anti-pledging policies reduce misalignment risks from derivatives or collateralization .
- Retention risk: At-will employment with no severance and discretionary equity programs can elevate retention risk if equity grant cadence slows; November 2024 retention RSUs and February 2025 PSU grants suggest proactive retention measures for Shiu .