James L. Ossowski
PULTEGROUP INC/MI/About James L. Ossowski
Executive Vice President and Chief Financial Officer of PulteGroup effective February 7, 2025, after 22 years in finance roles at the company (SVP Finance; VP Finance & Corporate Controller; VP Finance, Homebuilding; Area VP Finance; Director of Corporate Audit). He holds a B.S. in Accounting from Oakland University and began his career at Arthur Andersen (Detroit). Age 56 per external executive directory. Company performance context: record 2024 home sale revenues of $17.95B, diluted EPS $14.69, ROE 27.5%, and cash from operations $1.68B; five‑year TSR of 296.48 vs S&P 500 197.02 and Dow Jones U.S. Home Construction 244.95, underscoring strong alignment to shareholder returns .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| PulteGroup | SVP Finance | 2017–2025 | Oversaw all finance and accounting for homebuilding operations; led asset management committee (approves land deals), risk management, FP&A . |
| PulteGroup | VP Finance & Corporate Controller | 2013–2017 | Strengthened reporting, internal controls, and financial stewardship across corporate functions . |
| PulteGroup | VP Finance, Homebuilding Operations | 2010–2013 | Drove operational finance for U.S. homebuilding; improved cycle time and margin analytics . |
| PulteGroup | Area VP Finance; Director Corporate Audit | 2002–2010 | Built audit and regional finance rigor; enhanced land underwriting discipline . |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Arthur Andersen & Co. (Detroit) | Senior Manager | 1991–2002 | Led audit engagements; foundational SEC reporting and controls expertise . |
Fixed Compensation
| Component | 2025 Terms | Notes |
|---|---|---|
| Base Salary | $650,000 | Effective Jan 1, 2025 upon CFO appointment . |
| Target Bonus | $1,300,000 (200% of salary) | Annual cash incentive target; company uses adjusted pre‑tax income and operating margin metrics (see Performance Compensation) . |
| Target LTI (Equity) | $1,800,000 | Delivered in PSUs/RSUs under three‑year programs . |
| Actual Bonus Paid | Not disclosed | — |
Performance Compensation
| Metric | Weighting | Threshold | Target | Maximum | 2024 Actual | Payout vs Target | Vesting/Settlement |
|---|---|---|---|---|---|---|---|
| Adjusted Pre‑Tax Income (APTI) | 50% | $2,643,449k | $3,304,311k | $3,965,173k | $4,260,858k | 200% | Annual cash; payout 0–200% . |
| Operating Margin % | 50% | 16.7% | 19.7% | 22.7% | 22.8% | 200% | Annual cash; payout 0–200% . |
| Pre‑Tax Income Profit Participation Program (APTI % + Relative Modifier) | n/a | Target APTI $3,304,311k | Payout = Target % × APTI ratio × peer rank modifier | Max via modifier | APTI $4,260,858k; rank 4/10 | Modifier 113.7% | Cash payout, modified by peer relative APTI . |
| PSUs (2022–2024 cycle) | 3× 33.33% | See plan tables | See plan tables | See plan tables | TSR=200%; ROIC=184.3%; Op Margin=184.0% | 189.5% | 3‑yr cliff; settled in shares . |
| PSUs (2024–2026 cycle) | 3× equal | Relative TSR | Relative ROE | Relative Op Margin | Rank‑based schedule | 0–200% | 3‑yr cliff vs peer group . |
| RSUs | — | — | — | — | — | — | 3‑year cliff vest; dividends accrued and paid at vest . |
Notes:
- Annual Program metrics and results are Company‑wide and apply to executives; Ossowski’s 2025 targets follow this framework .
- All awards subject to robust clawbacks (see Employment Terms) .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Direct Holdings | 22,835 shares (Form 3 filed Feb 7, 2025) . |
| Indirect Holdings | 19,857 shares via Michelle L Ossowski Living Trust (Form 3) . |
| Total Beneficial Ownership | 42,692 shares (direct + indirect) . |
| Shares Outstanding | 201,585,399 (as of March 6, 2025) . |
| Ownership % of Outstanding | ~0.021% = 42,692 / 201,585,399 . |
| Vested vs Unvested | Not disclosed for Ossowski; company NEOs held RSUs/PSUs, no option awards at 12/31/2024 . |
| Options (ITM/Exercisable) | Company disclosed no outstanding options for NEOs at FY‑end 2024; equity mix is RSUs/PSUs . |
| Pledging/Hedging | Prohibited for directors and executive officers by insider trading policy . |
| Ownership Guidelines | CEO: 6× salary; other executives: 3× salary; compliance within 5 years of promotion/hire . |
Insider trading signal: initial Form 3 only; no Form 4 sales disclosed around appointment (Feb–Nov 2025) in public summaries reviewed (monitor ongoing).
Employment Terms
| Provision | Economics / Terms |
|---|---|
| Appointment & Role | Promoted EVP & CFO effective Feb 7, 2025, reporting to CEO; responsibilities include accounting, tax, audit, risk, treasury . |
| Severance (Executive Severance Policy) | Cash severance equals 1/12 of base × 24 months (≥5 years of service); prorated Annual Program bonus at actual performance; COBRA differential up to 18 months . |
| Change‑in‑Control (Double Trigger) | If terminated within 2 years post‑CIC: cash severance (same multiple), Annual Incentive = (1/12 target bonus) × multiple, target settlement on certain awards; no single‑trigger vesting of equity . |
| Retirement Policy (vesting) | RSUs continue per schedule (100% for grants ≥2024); PSUs vest based on actual performance (no pro‑ration for ≥2024 grants; same‑year grants forfeited) . |
| Clawbacks | Mandatory Dodd‑Frank clawback (no‑fault restatements) + discretionary “detrimental conduct” 36‑month clawback covering cash and equity . |
| Non‑Compete/Non‑Solicit | Required for retirement treatment per policy . |
| Tax Gross‑Ups | No change‑in‑control tax gross‑ups for NEOs . |
| Employment Agreements | No fixed term employment agreements . |
Performance & Track Record
| Metric | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|---|
| Total Shareholder Return (TSR, $100 base) | 100.00 | 112.65 | 151.00 | 121.98 | 279.07 | 296.48 |
| Net Income ($000s) | — | 1,406,839 | 1,946,320 | 2,617,317 | 2,602,372 | 3,083,262 |
| Adjusted Pre‑Tax Income ($000s) | — | 1,909,230 | 2,768,070 | 3,638,086 | 3,675,219 | 4,260,858 |
Highlights for 2024: home sale revenues $17.32B; quarterly Q4 EPS $4.43; backlog $6.49B; debt‑to‑capital 11.8%; dividend increased to $0.22/share; repurchased $1.2B shares; $1.5B buyback authorization increase .
Compensation Governance, Peer Group, Say‑on‑Pay
- Executive compensation program emphasizes pay‑for‑performance with multi‑metric annual (APTI, operating margin) and LTI (relative TSR, ROE, operating margin) designs; CEO variable pay ~93%; strong best‑practice features (ownership guidelines, clawbacks, no repricing/discounted options, no single‑trigger CIC) .
- Compensation peer group (also used for performance comparisons): D.R. Horton, NVR, KB Home, Taylor Morrison, Lennar, Toll Brothers, Meritage, Tri Pointe, M/I Homes .
- Say‑on‑pay approval: ~92% in 2024 (5‑year average ~92%), indicating shareholder support for design and outcomes .
Investment Implications
- Alignment: CFO’s incentives are tied to profitability (APTI), margins, and relative performance vs sector peers; robust clawbacks and prohibitions on pledging/hedging reduce governance risk .
- Retention: Executive Severance and Retirement policies plus three‑year cliff vesting on RSUs/PSUs create retention binders; newly appointed CFO with long tenure (since 2002) lowers transition risk .
- Trading signals: Initial Form 3 shows meaningful ownership (~0.021%); no recent Form 4 sales observed around appointment; watch standard vesting windows (Feb/Jan cycles) for potential selling pressure from RSU/PSU settlements .
- Execution risk: Company performance remained strong through rate volatility; continued focus on price, incentives (rate buydowns), cycle time, and backlog mix supports incentive attainment; monitoring peer relative metrics critical for PSU outcomes .
Organizational note: Board’s 2025 letter specifically highlighted the seamless CFO transition from Bob O’Shaughnessy to Jim Ossowski, reinforcing succession depth and continuity in financial leadership .