Mital Patel
Executive Vice President of Financial Planning and Analysis and Chief Administrative Officer at RadNet
Executive
About Mital Patel
Mital Patel (age 39) is Executive Vice President of Financial Planning & Analysis (since 2016) and Chief Administrative Officer (since 2021) at RadNet; he joined RadNet in 2010 after serving on the management team at Truxtun Radiology and holds a B.A. in Business Administration from California State University, Bakersfield . During Patel’s tenure, RadNet delivered strong growth: 2023 revenue rose 13.1% to $1.62B with AEBITDA performance at 110.4% of target, and 2024 revenue reached $1.83B (+13.2% YoY) with income from operations up 6% to $104.6M, reinforcing the company’s pay-for-performance orientation around AEBITDA and strategic execution .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| RadNet | Progressive finance and FP&A roles; EVP FP&A; Chief Administrative Officer | 2010–present; EVP since 2016; CAO since 2021 | Directs national budgets and finance; advises M&A; identifies cost-efficient service delivery opportunities |
| Truxtun Radiology | Management team prior to acquisition by RadNet | Not disclosed | Pre-acquisition operational and management experience |
External Roles
No external public company board or committee roles disclosed for Patel in the proxy materials .
Fixed Compensation
| Metric | 2021 | 2022 | 2023 | 2024 (as of Jan 1) |
|---|---|---|---|---|
| Base Salary ($) | $524,038 | $575,000 | $575,000 | $750,000 (base adjusted effective Jan 1, 2024) |
Performance Compensation
Annual Cash Bonus (Discretionary)
| Metric | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Bonus ($) | $375,000 | $525,000 | $287,500 (50% of 2022 base) | $575,000 (100% of 2023 base; paid Jan 2024) |
Equity Awards Structure and Vesting
| Award Type | Grant Date | Shares / Value | Key Terms | Vesting |
|---|---|---|---|---|
| Time-based RSUs | 1/3/2023 | 7,711 RSUs (shown as unvested at 12/31/2023) | Standard RSU grant under Equity Incentive Plan | 50% on 3/10/2023 and 50% on 3/10/2024 (completed) |
| Time-based Stock Options | 1/3/2023 | 29,891 options | Strike $18.64; 10-year term to 1/3/2033 | 1/3 each on 3/10/2023, 3/10/2024, 3/10/2025 |
| Performance RSUs (PSUs) | 1/3/2023 | Target 7,711; Max 15,422 | 2023 AEBITDA performance achieved at 110.4% of target; 200% of PSUs performance-vested (15,422) | 50% service vest on 3/10/2025 and 50% on 3/10/2026 |
| Performance Options (PSOs) | 1/3/2023 | Max 29,891 | Strike $18.64; 100% performance-vested on 3/1/2024 | 1/3 service vest on 3/10/2025, 3/10/2026, 3/10/2027 |
| Time-based RSUs | 1/9/2024 | $575,000 grant value; 15,954 shares (price $36.04) | Converted to RSUs/restricted shares per executive deferral choice | 1/3 on 3/10/2024, 1/3 on 3/10/2025, 1/3 on 3/10/2026 |
Performance Metrics Tied to Compensation
- Adjusted EBITDA is the principal financial metric used for performance equity in 2023; target AEBITDA was $214.9M, actual was $237.3M (110.4%), driving PSU vesting at 200% of target and PSO vesting at 100% of maximum .
Equity Ownership & Alignment
| Item | 2024 (as of Mar 31) | 2025 (as of Mar 31) |
|---|---|---|
| Total Beneficial Ownership (shares) | 373,620; less than 1% of outstanding | |
| Unvested Time-based Restricted Stock | 11,857 shares | Not disclosed for Patel in 2025 proxy (not a NEO in 2024 fiscal) |
| Options Exercisable within 60 Days | 130,974 shares | Not disclosed for Patel in 2025 proxy |
| Shares Pledged (collateral) | 182,545 shares pledged in connection with a loan agreement (red flag) | 177,649 shares pledged in a margin account (red flag) |
| Hedging/Pledging Policy | Hedging prohibited; pledging generally prohibited unless exception granted by CLO and executive demonstrates capacity to repay loan without resort to pledged shares | |
| Stock Ownership Guidelines | Company has no executive ownership requirement/guidelines |
Note: Pledging of shares, especially in a margin account, increases forced-sale risk during volatility—an alignment concern despite substantial equity exposure .
Employment Terms
- Employment agreements (amended Jan 1, 2024 solely for salary changes) provide at-will employment, eligibility for discretionary cash bonuses and equity awards, and benefits/perquisites (e.g., health/life insurance, automobile allowance) .
- Change in control: time-based portions of outstanding equity awards fully vest upon a change in control; performance awards subject to plan terms .
- Severance economics (Qualifying Termination = termination without Cause or resignation for Good Reason): for executives with ≥10 years of service (Patel joined RadNet in 2010), Severance Pay equals 200% of then annual base salary plus 200% of “Severance Bonus” (greater of prior-year bonus or 3-year average), payable generally over 24 months, plus up to two years of COBRA and continued life insurance; time-based equity vests in full .
- Definitions and protections: detailed definitions for Cause, Good Reason (including adverse changes in duties, compensation cuts, relocation beyond 10 miles, and post-CIC incentive thresholds), Disability; release required for severance; clawback policy adopted Nov 2023 (SEC Rule 10D-1, Nasdaq) allows recovery of erroneously awarded incentive compensation upon restatements or misconduct .
Vesting Schedules and Potential Insider Selling Pressure
| Award | Upcoming Vesting Dates | Shares |
|---|---|---|
| 2023 PSUs (performance-vested) | 3/10/2025; 3/10/2026 | 7,711 each date (50% of 15,422) |
| 2023 PSOs (performance-vested; strike $18.64) | 3/10/2025; 3/10/2026; 3/10/2027 | ~9,964 per date (1/3 of 29,891) |
| 2024 RSUs | 3/10/2025; 3/10/2026 (2024 tranche vested) | 5,318 per date (1/3 of 15,954) |
- Aggregate scheduled vesting through 2027 suggests ongoing supply, compounded by existing pledged shares that may increase selling pressure under adverse market conditions .
Compensation Mix and Structure
| Year | Salary ($) | Bonus ($) | Stock Awards ($) | Option Awards ($) | All Other ($) | Total ($) |
|---|---|---|---|---|---|---|
| 2021 | $524,038 | $375,000 | $1,153,939 | – | $38,895 | $2,091,873 |
| 2022 | $575,000 | $525,000 | $681,250 | $825,000 | $50,799 | $2,657,049 |
| 2023 | $575,000 | $287,500 | $431,250 | $575,000 | $49,385 | $1,918,135 |
- 2024: Bonus $575,000 (paid Jan), RSU grant $575,000/15,954 shares with 3-year vesting; shift away from options/PSUs/PSOs toward RSUs for long-term incentives, echoing committee review to accelerate strategic responsiveness .
- Company-wide pay philosophy emphasizes AEBITDA-linked performance equity, discretionary annual bonuses based on strategic objectives, and time-based RSUs for retention .
Equity Overhang and Option Profile (as of 12/31/2023)
- Selected outstanding grants include legacy options (2017–2020) and 2022/2023 PSUs/PSOs; exercisable and unexercisable blocks are detailed in the proxy’s outstanding awards table .
- Examples (12/31/2023): 2017 option 29,762 (exercisable), 2018 option 18,657 (exercisable), 2019 option 17,154 (exercisable), 2020 option 10,401 (exercisable); 2022 PSUs 2,441 (unearned at 12/31/2023), 2023 PSUs 15,422 (maximum shown; subsequently performance-vested) .
Governance and Alignment Considerations
- Say-on-pay support remained high (≈88% in 2023; ≈89% in 2024), indicating shareholder endorsement of executive pay structures centered on AEBITDA and long-term equity .
- Insider Trading Policy prohibits hedging and generally pledging, with narrow exceptions—Patel’s disclosed pledges indicate such an exception was granted, elevating alignment and liquidity risk if markets turn .
- No formal executive stock ownership guidelines; committee relies on significant equity awards to align interests .
Investment Implications
- Strong pay-performance linkage: Patel’s equity outcomes tied to AEBITDA, with 2023 outperformance driving 200% PSU and 100% PSO vesting—supports confidence in FP&A leadership’s role in execution and value creation .
- Retention vs. supply: Multi-year vesting cadence through 2027 aids retention, but creates recurring stock supply; combined with pledged shares (loan and margin) this raises potential insider selling pressure in risk-off periods .
- Change-in-control economics: Double-trigger-like severance mechanics (Good Reason/without Cause) and full time-based acceleration upon CIC could be material; for a >10-year executive like Patel, severance equals 200% of base and bonus benchmark, plus benefits—important in M&A scenarios .
- Alignment risk monitoring: Absence of ownership guidelines and active pledging warrant ongoing surveillance; any incremental pledging or Form 4 selling around vest dates may serve as tactical trading signals .