Fawwad Qureshi
TRUPANIONAbout Fawwad Qureshi
Chief Financial Officer of Trupanion since September 25, 2023; age 51; MBA (Boston University) and BA (St. Olaf). Prior roles include SVP Finance & CFO of Brands at Expedia (P&L responsibility for ~$9B portfolio), CFO for Nike Global Technology, and senior finance roles at Intel . Company performance during 2024: total revenue up 16% to $1,286M; subscription revenue up 20% to $856.5M; free cash flow $38.6M; net loss improved to $(9.6)M; operating cash flow $48.3M . Trupanion’s cumulative TSR (initial $100 investment) was $131.12 in 2024 vs $83.00 in 2023, reflecting improved market performance . In 2025, Qureshi led a lower-cost, three-year $120M credit facility with PNC Bank to enhance flexibility and support growth .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Expedia Group | SVP Finance & CFO of Brands | Apr 2022 – Jun 2023 | Full P&L and commercial responsibility across ~$9B brand portfolio (Expedia, Vrbo, Hotels.com, Orbitz, Travelocity) |
| Nike | CFO, Global Technology | Oct 2019 – Apr 2022 | Managed omni-channel technology investment portfolio and digital product development |
| Intel | Senior finance roles | Nov 2000 – Sep 2019 | Progressive leadership across finance functions in a global enterprise |
External Roles
- None disclosed (no public company board seats or external directorships reported for Qureshi) .
Fixed Compensation
| Component | 2024 | 2023 |
|---|---|---|
| Base Salary ($) | $400,000 (effective May 1, 2024; previously $300,000) | $300,000 (pro-rated salary paid $81,250 post-hire) |
| All Other Compensation ($) | $23,529 (relocation $20,704 and tax gross-up $2,825) | $28,940 (travel reimbursement $17,457; tax gross-up $11,483) |
| Perquisites/Benefits | Company-wide benefits; short‑term personal security provided to certain NEOs in 2025; Qureshi received tax gross-ups on travel expenses in 2023–2024 |
Performance Compensation
Short‑Term Incentive Structure and Outcomes (2024)
| Period | Target Bonus (% of Salary) | Structure | Metrics/Weighting | Actual Payout (% of Target) | Actual Payout ($) | Form |
|---|---|---|---|---|---|---|
| Jan–Apr (Legacy) | 40% | Monthly goals; paid after year-end for CFO | Corporate 50%, Individual 50% | 82% | $74,173 | Cash |
| May–Jun (Legacy) | 75% | Monthly goals; paid after year-end for CFO | Corporate 50%, Individual 50% | Included above | Included above | Cash |
| Jul–Dec (MIP) | 75% | 100% corporate metrics (AOI, LVP, IRR) | AOI/LVP/IRR (no individual goals) | 106% | $158,640 | Cash |
MIP Metric Attainment (2H 2024)
| Metric | Targeting Approach | Actual Attainment | Notes |
|---|---|---|---|
| Lifetime Value per Pet (LVP) | Company-defined per-pet lifetime economics | 200% of target | Strong value creation per pet |
| Internal Rate of Return (IRR) | Discount rate on pet lifetime cash flows | 92% of target | Discipline in PAC and retention |
| Adjusted Operating Income (AOI) | Non-GAAP operating performance | 65% of target | Margin restoration in progress |
Annual Long‑Term Incentive Awards (RSUs)
| Grant | Grant Date | Shares | Grant Date Fair Value ($) | Vesting |
|---|---|---|---|---|
| Annual performance RSUs (2024 perf) | Feb 2025 | 41,980 | $2,044,006 | Quarterly over 2 years (company standard) |
| Prorated 2023 performance RSUs | Feb 27, 2024 | 7,304 | $199,180 | 1/8th quarterly |
| Spot RSU (performance) | Feb 27, 2024 | 5,000 | $136,350 | 1/4 at ~1-year, then 1/16 quarterly |
| New‑hire RSUs (offer letter) | Nov 2023 (granted Nov 13, 2023) | 60,000 | Included in 2023 stock awards | 25% at 1‑year, then monthly |
Summary Compensation (Pay Mix)
| Year | Salary ($) | Bonus ($) | Stock Awards ($) | Non‑Equity Incentive ($) | All Other ($) | Total ($) |
|---|---|---|---|---|---|---|
| 2024 | $366,667 | $154,024 | $199,180 | $232,813 | $23,529 | $976,212 |
| 2023 | $81,250 | — | $1,362,000 | $25,935 | $28,940 | $1,498,125 |
Equity Ownership & Alignment
- Beneficial ownership as of April 16, 2025: 10,222 shares issuable within 60 days (vested RSUs scheduled to settle); less than 1% of shares outstanding .
- Outstanding unvested RSUs at 12/31/2024: 45,000 (new-hire 11/13/2023), 5,000 (2/27/2024), 4,565 (2/27/2024), total 54,565 units .
- Ownership guidelines: other executive officers must hold 3x base salary within 5 years; vested RSUs and in-the-money options count; hedging prohibited; pledging discouraged and requires pre-approval .
- Section 16(a) compliance: one late Form 4 filed by Qureshi in Nov 2024 related to RSU vesting .
- No pledging or hedging by Qureshi disclosed; company policy prohibits hedging and limits pledging .
Employment Terms
- At‑will employment; start date September 25, 2023 .
- Offer letter: initial base salary $300,000; annual bonus up to 40% (50% corporate, 50% individual); 60,000 RSU grant; participation in Severance & CIC Plan .
- Severance (no CIC): lump sum equal to salary for minimum 2 weeks plus 2 weeks per year of service (max 26 weeks); earned but unpaid bonuses; one month medical premium .
- Qureshi severance (no CIC) specific: 26 weeks salary and COBRA for six months (or lump sum equivalent), plus any earned but unpaid bonuses .
- Change‑in‑control (double trigger): if terminated without cause within 3 months before or 12 months after a CIC, six months of salary, any earned but unpaid bonuses, and immediate vesting of all unvested equity .
- Clawback policy: recovery of incentive compensation upon restatement, recalculation of plan measures, or misconduct; no clawback actions in 2024 .
- Non‑compete/non‑solicit and NDA required per offer letter; employment disputes (termination-related claims) subject to binding arbitration in King County, WA .
Performance & Track Record
- 2024 operational progress: margin restoration, strengthened capital position, record free cash flow; intrinsic value estimated up ~$879M to $2.01B; incentives reflect higher attainment in 2H 2024 .
- Capital structure actions: led 2025 refinancing into a lower-cost $120M PNC facility to support growth and flexibility .
- Investor Day commentary: targeted 15% adjusted operating margin at full-year; focus on pricing discipline and returning growth driver to pet count .
Compensation Committee & Say‑on‑Pay
- Compensation Committee: Howard Rubin (Chair), Betsy McLaughlin, Richard Enthoven; independent consultant shifted from Meridian to Willis Towers Watson effective Jan 1, 2025 .
- Peer group spans animal health and insurance companies; used for market context .
- Say‑on‑pay 2024 approval: approximately 96.4% support .
Company Performance Context (3 fiscal years)
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Revenue ($) | $905.2M* | $1,108.6M* | $1,285.7M* |
| EBITDA ($) | $(31.5)M* | $(23.8)M* | $12.4M* |
| EBITDA Margin (%) | −3.48%* | −2.15%* | 0.97%* |
| Net Income ($) | $(44.7)M* | $(44.7)M* | $(9.6)M* |
| Cash from Operations ($) | $(8.0)M* | $18.6M* | $48.3M* |
Values retrieved from S&P Global.
Note: Revenue and net income trends corroborate 2024 proxy disclosures on growth and loss improvement .
Investment Implications
- Pay-for-performance alignment: MIP shifts all executives, including CFO, to AOI/LVP/IRR metrics with capped payouts (200%); 2H 2024 payout at 106% indicates improving fundamentals; performance RSU pool scaled by intrinsic value growth, which was strong in 2024 .
- Retention risk: Material unvested equity (≥54.6K RSUs at YE 2024) and double-trigger CIC protection reduce near-term attrition risk; severance terms are standard and not excessive .
- Selling pressure: Proxy indicates RSU vesting activity (late Form 4 in Nov 2024) but no open-market sales disclosed; monitor quarterly RSU settlements and any 10b5‑1 plans for potential supply .
- Alignment and governance: Strong say‑on‑pay support (96.4%), robust clawback/anti-hedging and ownership guidelines; plan-level ability to reprice options/SARs with consent is a governance consideration to monitor .
- Capital discipline: Lower-cost credit facility under CFO stewardship enhances liquidity for growth investments; watch execution on margin restoration and pet-count-driven revenue to sustain TSR improvements .