Edric C. Funk
TOROAbout Edric C. Funk
Edric C. Funk, age 53, is President & Chief Operating Officer of The Toro Company (TTC) effective September 1, 2025, after 29 years at the company across engineering, product, technology, and business leadership roles . He holds a B.S. in engineering and an MBA from the University of Minnesota (Carlson), plus a professional certificate in innovation and technology from MIT . His appointment reflects a track record of innovation and value creation, including leading robotic mowing initiatives and integrated smart systems; specific company TSR or growth metrics tied to his tenure are not disclosed .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| The Toro Company | Design Engineer | 1996–2003 | Technical foundation in product design |
| The Toro Company | Marketing roles (Residential, Landscape Contractor, International, Commercial) | 2003–2014 | Commercial execution across multiple segments |
| The Toro Company | Director, Global Product Management (Commercial & International) | 2014–2017 | Product portfolio and go-to-market leadership |
| The Toro Company | Managing Director, Center for Technology, Research & Innovation (CTRI) | 2017–2020 | Advanced R&D, technology roadmap stewardship |
| The Toro Company | General Manager, Sitework Systems | 2020–2022 | Operational P&L leadership |
| The Toro Company | Group VP, Golf, Grounds & Irrigation | 2022–2025 | Drove performance in professional product categories; championed robotics/automation; recognized as “Most Innovative People in Golf” (2020) |
| The Toro Company | President & COO | Effective Sept 1, 2025 | Responsible for all global businesses and integrated supply chain operations |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| National Golf Foundation | Board Member | Not disclosed | Industry network and market insight |
| The Toro Company Foundation | Board Member | Not disclosed | Corporate philanthropy governance |
| Red Iron Acceptance | Board Member | Not disclosed | Financial services partnership oversight |
Fixed Compensation
| Component | Value | Effective Date | Notes |
|---|---|---|---|
| Base Salary | $700,000 | Sept 1, 2025 | Set by Compensation & Human Resources Committee |
| Target Annual Cash Incentive | 90% of fiscal-year base earnings | Sept 1, 2025 (pro rata FY25) | 100% tied to corporate performance measures |
| Perquisites/Benefits | Eligible for certain executive perquisites | Ongoing | Subject to change; modest perquisites policy |
Performance Compensation
Annual Cash Incentive (FY25 transition and forward)
| Metric | Weighting | Target | Actual | Payout | Vesting |
|---|---|---|---|---|---|
| Corporate performance measures | 100% | Not disclosed | Not disclosed | Based on corporate goal achievement | Paid post-fiscal year per plan |
Long-Term Incentives (Annual Equity Awards under 2022 Plan)
| Award Type | Target Value | Grant Timing | Key Terms | Vesting |
|---|---|---|---|---|
| Performance Share Awards (PSUs) | Part of $2,000,000 total target | December 2025 (F26 cycle) | Award design under 2022 Equity & Incentive Plan | 3-year performance period; payout 0–200% based on goals |
| Stock Options | Part of $2,000,000 total target | December 2025 (F26 cycle) | 10-year term, typical ratable vesting | Vest in 3 equal annual installments; 10-year term per plan practices |
One-Time RSU Grant (Retention/Transition)
| Grant Type | Grant Value | Grant Date Basis | Vesting Schedule | Notes |
|---|---|---|---|---|
| Restricted Stock Units (RSUs) | Approximately $1,500,000 | Calculated on closing stock price on grant date | Three-year ratable: 1/3 on each of the 1st, 2nd, 3rd anniversaries | Granted on or shortly after Sept 1, 2025 under 2022 Plan |
PSU Performance Framework (Company-wide for F23–F25 awards)
| Metric | Weighting | Payout Range | Notes |
|---|---|---|---|
| Cumulative net income (plus after-tax interest) | 50% | 0–200% of target | Committee certifies performance over 3-year period |
| Cumulative revenue | 25% | 0–200% of target | 3-year period |
| Working capital as % of sales | 25% | 0–200% of target | Emphasis on asset efficiency |
Equity Ownership & Alignment
| Policy/Item | Details | Notes |
|---|---|---|
| Stock Ownership Guidelines | 6x salary for CEO; 3x salary for other executive officers | Amended Jan 16, 2024; holding requirement until multiple met |
| Anti-Hedging & Anti-Pledging | Hedging and pledging of TTC securities prohibited | Insider trading policy |
| Beneficial Ownership | Not disclosed for Edric C. Funk | No Form 4/beneficial stake disclosed in cited documents |
| Options In-the-Money/Exercisability | Not applicable yet | Future options expected to vest ratably; in-the-money value depends on market |
Employment Terms
| Term | Provision | Notes |
|---|---|---|
| Employment Agreement | No individual employment/severance agreements | Except under CIC policy and equity plan provisions |
| CIC Severance (Double Trigger) | 2x salary + target annual incentive; CEO 3x | Plus prorated target annual incentive, continuation of medical/dental for 3 years, 2 years outplacement; no 280G gross-ups; release required |
| CIC Equity (Single Trigger) | Immediate vesting/settlement upon change in control | Options vest; annual cash incentive vests at greater of target or actual to date; PSUs vest at greater of target or actual to date; time-based RSUs vest |
| Non-Compete/Confidentiality | Executives party to standard confidentiality, invention, and non-compete agreement | Company standard |
| Clawback | Robust policy covers all incentive compensation | Pay governance best practice |
| Election/Term | Officers elected annually by Board; serve until successor elected | Corporate governance practice |
| Related Party Transactions | None reportable for Edric C. Funk | Also no family relationships with directors/EOs |
Performance & Track Record
- Led acquisitions of Left Hand Robotics and TURFLYNX, accelerating robotic mowing platforms to market; championed integrated, smart connected systems and created the Technology Forum, enhancing TTC’s technology community .
- In Q3 2025, as incoming COO, emphasized autonomous solutions (Geolink Mow), supply-chain optimization, AMP productivity program, and earnings growth independent of revenue expansion on the earnings call .
Investment Implications
- Retention and alignment: The $1.5M time-based RSUs vesting evenly over three years plus a $2M annual LTI target (PSUs and options) create clear retention hooks and performance alignment; anti-pledging/hedging and 3x salary ownership guideline further reduce misalignment risk .
- Pay-for-performance: Annual incentive is 100% tied to corporate measures; PSUs use multi-year financial metrics with 0–200% payout—supportive of disciplined execution and asset efficiency focus; robust clawback mitigates risk of misreporting .
- Change-in-control economics: Double-trigger cash severance at 2x salary+target bonus and single-trigger equity acceleration could motivate transaction execution but also create event-driven supply; importantly, no excise tax gross-ups .
- Trading signals: Three annual RSU vest dates may be natural liquidity events; options with 3-year graded vesting and 10-year term distribute potential selling over time—watch for Form 4 activity around vest/exercise dates once awards are granted .