Dara Khosrowshahi
Uber TechnologiesAbout Dara Khosrowshahi
Dara Khosrowshahi, 55, has served as Uber’s CEO and a director since September 2017, bringing prior CEO experience at Expedia and senior leadership roles at IAC and Allen & Company . Under his leadership, Uber crossed $1B in quarterly GAAP operating income in Q3 2024, delivered 21% YoY Gross Bookings growth (FY24, constant currency), and 60% Adjusted EBITDA growth; the company also achieved investment-grade ratings, completed a $4B IG debt offering, and initiated $1.2B of buybacks in 2024 under a $7B authorization . Uber’s stockholder-aligned incentive design centers on Gross Bookings, Adjusted EBITDA, Adjusted EBITDA less SBC, safety and electrification metrics, and an rTSR modifier on PRSUs, with CEO variable/at-risk pay at 96% of target TDC in 2024 . Uber reports 5-year TSR progression (since 2019 base) of $202.82 from a $100 initial investment as of FY24 in its pay-versus-performance table .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Expedia Group, Inc. | President & Chief Executive Officer | 2005–2017 | Led a global travel platform; prior board roles include trivago (2016–2017) and TripAdvisor (2011–2013) . |
| IAC/InterActiveCorp | CEO, IAC Travel (Division) | Jan–Aug 2005 | Oversaw travel division during IAC restructuring era . |
| IAC/InterActiveCorp | EVP & CFO | 2002–2005 | Finance leadership, capital allocation and M&A across internet assets . |
| IAC/InterActiveCorp | EVP, Operations & Strategic Planning | 2000–2002 | Corporate operations and strategic planning . |
| Allen & Company LLC | Vice President | 1995–1998 | Investment banking experience in media/tech . |
External Roles
| Organization | Capacity | Years | Notes |
|---|---|---|---|
| Expedia Group, Inc. | Director | Current | Concurrent public board; exception approved to Uber’s outside board limits for CEO . |
| Grab Holdings Ltd. | Director | Current | Uber holds a significant equity stake; exception approved to outside board policy . |
| Aurora Innovation, Inc. | Director | 2021–2024 | Prior public company board . |
| The New York Times Company | Director | 2015–2017 | Prior public company board . |
| TripAdvisor, Inc. | Director | 2011–2013 | Prior public company board . |
Fixed Compensation
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary ($) | 1,000,000 | 1,000,000 | 1,000,000 |
| Target Annual Bonus ($) | 2,000,000 (200% of salary) | 2,000,000 (200%) | 2,000,000 (200%) |
| Actual Annual Cash Bonus ($) | 2,937,200 | 3,174,800 | 2,878,200 (143.91% payout) |
| All Other Compensation ($) | 169,169 | 262,990 | 973,960 (security and limited personal air travel costs detailed) |
Notes:
- 2024 bonus plan metrics: Gross Bookings, Adjusted EBITDA, Adjusted EBITDA less SBC (60% weighting) plus four strategic/operational goals (40%); “Individual Modifier” not applied; company component paid 143.91% .
- CEO may use private aircraft for business and personal travel subject to reimbursement of the greater of incremental cost or imputed income; personal use cost to Uber in 2024 was $123,728 (reported in All Other Compensation) .
Performance Compensation
2024 Annual Equity Grant (Target Values)
| Component | Amount ($) | Key Terms |
|---|---|---|
| RSUs | 5,625,000 | Vest 25% per year over 4 years (annual vesting for CEO RSUs) . |
| PRSUs | 13,750,000 | 3-year performance; 80% financial (Adj. EBITDA Margin + Gross Bookings Growth), 20% strategic (electrification, waste reduction, safety); rTSR modifier 0.7x–1.3x; max payout capped at 150% . |
| Stock Options | 5,625,000 | 7-year term; vest 25% per year over 4 years; strike set at grant (3/1/2024: $81.03; 226,782 options) . |
2024 PRSU Program Structure
- Financial goals (80%): Adjusted EBITDA Margin (annual goals; 40%), Gross Bookings Growth (3-year average; 40%) .
- Strategic goals (20%): electrification (EV miles share in NA/Europe), waste reduction, safety incident reduction .
- rTSR modifier: compares Uber 3-year TSR vs S&P 500; 0.7x at/below 25th percentile; 1.0x at 50th; 1.3x at/above 75th; capped if absolute TSR negative; total capped at 150% .
Realized/Exercised in 2024 (Selected)
| Item | Detail |
|---|---|
| 2017 CEO stock options | 2,500,000 options (ex. price $33.65) became exercisable on 2/6/2024 upon achieving a $120B FD equity value over 90 consecutive trading days; options expired 9/4/2024; CEO exercised under a Rule 10b5-1 plan; value realized on exercise $88,184,600 . |
| 2022 PRSUs payout (vested 3/16/2025) | Final payout 150% after rTSR (would have been 158.9% but capped); CEO: 283,462 target → 425,193 vested . |
Equity Ownership & Alignment
| Item | Amount/Status |
|---|---|
| Beneficial Ownership (3/3/2025) | 2,286,562 shares (<1%) consisting of 1,166,114 common shares, 543,497 RSUs vesting within 60 days, and 576,951 options exercisable within 60 days . |
| Ownership Guidelines | CEO 10x base salary; all executives and directors in compliance as of 2024 measurement date . |
| Hedging/Pledging | Prohibited for directors and employees; no hedging or pledging allowed . |
| 2024 Outstanding Equity (as of 12/31/2024) | RSUs: 75,594 (2024 grant, mkt value $4,559,830); PRSUs: 135,509 target (2024 grant, payout value reference $8,173,903 at 12/31/24); Options: 226,782 @ $81.03 expiring 3/1/2031 . |
Vesting cadence and potential supply signals:
- 2024 CEO RSUs vest 25% annually (initial tranche on 3/16/2025; then annually) .
- 2024 CEO options vest 25% annually starting 3/16/2025; 7-year term .
- 2024 PRSUs cliff-vest after 3-year performance period ends on 12/31/2026 (vesting 3/16/2027) subject to goal attainment and rTSR .
- Large 2017 option exercise in 2024 was executed via 10b5-1; value realized $88.2M, which can create event-driven liquidity but was tied to option expiry and performance condition achievement .
Employment Terms
| Term | CEO Provision |
|---|---|
| Employment/Role Start | CEO and Director since September 2017 . |
| Base/Target Bonus | $1,000,000 salary; $2,000,000 target bonus (200% of salary) . |
| Severance (non-CIC) | Lump sum of 24 months salary + 200% of target bonus + 12 months medical/dental premiums; 12 months additional vesting on time-based equity; PRSUs pro-rata (complete months + 6 months) at lesser of target or actual (as of prior quarter) . |
| Severance (CIC period: 3 months pre–12 months post) | Same cash terms; time-based equity fully vests; PRSUs treated based on actual achievement as of termination; CEO receives continued health/welfare benefits for 24 months . |
| Equity on CIC (treatment) | No single-trigger acceleration; if awards not assumed or assumed then canceled post-CIC, time-based awards vest (protective provision) . |
| Clawback | Dodd-Frank/NYSE-compliant plus broader recoupment for misconduct, restrictive covenant breaches; applies to cash and equity (and severance) awarded after specified dates . |
| Tax Gross-ups | No excise tax gross-ups under 280G/4999; certain relocation gross-ups used as broad-based benefits (e.g., CFO in 2024) . |
Potential Payments (illustrative, as of 12/31/2024):
| Scenario | Salary ($) | Bonus ($) | Benefits ($) | Equity Accel ($) | Total ($) |
|---|---|---|---|---|---|
| Involuntary Termination (non-CIC) | 2,000,000 | 4,000,000 | 26,172 | 54,958,235 | 60,984,407 |
| Involuntary Termination (CIC period) | 2,000,000 | 4,000,000 | 52,345 | 79,174,650 | 85,226,995 |
Board Governance (Director)
- Service/Status: Director since 2017; not independent; no committee memberships .
- Board leadership: Independent Chair (Ronald Sugar); Uber mandates separate CEO and Chair roles .
- Meetings/Attendance: 2024 Board met 9 times; Audit 6; Compensation 6; Nominating & Governance 4; all directors attended ≥75% of meetings; the Board also held executive sessions without management in 2024 .
- Outside boards policy: Uber limits CEO to one outside public board; exception granted for Expedia and Grab due to strategic value (Uber holds significant equity in Grab) .
- Hedging/pledging: prohibited for all directors; robust stock ownership guidelines (10x director cash retainer; 10x CEO salary) .
- Director pay: CEO is not eligible for non-employee director compensation; non-employee directors received $50,000 cash retainer and ~$275,000 annual RSU in 2024 with committee role adders .
Compensation Committee Analysis
- Committee members (2024): Robert Eckert (Chair), Amanda Ginsberg, Wan Ling Martello, Ronald Sugar, David Trujillo; all independent .
- Independent consultant: Semler Brossy; no other services; independence confirmed .
- Peer group (2024): Adobe, Airbnb, Alphabet, Amazon, Block, Booking, DoorDash, eBay, Expedia, Intuit, Lyft, Meta, Netflix, Oracle, PayPal, Salesforce, Spotify, Tesla, Visa; VMware removed post-acquisition .
- Targeting: Peer data used as reference; no fixed percentile targets .
- Say-on-Pay: ~92% average approval over past four years; 2024 program incorporated SBC metric (Adj. EBITDA less SBC) in bonus; enhanced disclosures; added 2025 AV-related goals .
Director Compensation (For Directors)
- Non-employee director framework (for context; CEO not eligible): $50,000 cash retainer; $275,000 annual RSU; committee chair/member retainers (e.g., Audit Chair $40,000); Independent Chair additional $200,000 .
- RSU conversion/deferral program available to directors; certain directors elected RSU in lieu of cash in 2024 .
Risk Indicators & Red Flags
- Clawback expanded beyond mandated restatements to misconduct and restrictive covenant breaches .
- No hedging/pledging; no single-trigger CIC equity acceleration; no excise tax gross-ups; capped bonus/PRSU payouts (200%/150%) .
- Perquisites: Security and limited personal aircraft usage due to credible threats; quantified costs disclosed (e.g., 2024 CEO security/air travel components) .
- Insider liquidity: 2017 options fully exercised in 2024 under a 10b5-1 plan ahead of expiry; realized value $88.2M .
Performance & Track Record Highlights
- GAAP operating income exceeded $1B in Q3 2024 for first time; FY24 Gross Bookings +21% (cc) and Adjusted EBITDA +60% .
- Investment-grade ratings achieved; $4B inaugural IG debt; $1.2B buybacks executed under $7B authorization .
- Regulatory: CA Supreme Court upheld Prop 22; agreements with NY and MA AGs preserving driver flexibility with added protections .
- Platform growth: Uber One members reached 30M (+~60% YoY); AV partnerships expanded including first international AV launch .
Equity Ownership & Security Ownership (Additional Detail)
| Holder | Shares | % Outstanding |
|---|---|---|
| Dara Khosrowshahi | 2,286,562 (incl. RSUs/options within 60 days) | <1% |
| Shares Outstanding (3/3/2025) | 2,091,789,117 | — |
Investment Implications
- Alignment: Extremely high at-risk pay (96% of CEO TDC) with emphasis on multi-year PRSUs tied to core financial drivers and rTSR, plus a 10x salary ownership guideline and prohibitions on hedging/pledging—strong alignment and reduced misalignment risk .
- Execution incentives: Bonus and PRSU metrics target Gross Bookings growth, profitability (Adj. EBITDA and Adj. EBITDA less SBC), safety, and electrification; 2025 adds AV goals—compensation design supports profitable growth and strategic differentiation levers .
- Overhang/supply: Annual RSU and option vesting and 3-year PRSU cliffs create recurring windows of potential executive share supply; 2017 option exercise was event-driven and managed via 10b5-1; monitor vest dates (Mar 16 each year) and PRSU outcomes .
- Downside/Parachute economics: CIC and non-CIC severance could reach $85.2M and $61.0M respectively (as of 12/31/24), chiefly from equity acceleration—watch for M&A scenarios and governance optics .
- Governance: Independent Chair and no CEO committee roles mitigate dual-role risks; strong attendance and independent committees support oversight; exception to outside board limits justified by Uber’s stake in Grab but still warrants monitoring for potential interlocks/conflicts .
- Say-on-Pay momentum: ~92% average approval over four years and responsiveness to shareholder feedback (e.g., including SBC metric) suggest low near-term compensation-related governance risk .
Citations: All data and statements above are sourced from Uber’s 2025 DEF 14A proxy and historical registration filings as follows: **[1543151_0001308179-25-000210_uber013353-def14a.htm:1]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:2]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:6]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:7]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:14]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:15]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:21]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:24]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:26]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:27]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:29]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:31]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:32]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:38]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:42]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:45]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:47]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:48]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:50]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:51]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:52]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:53]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:54]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:55]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:57]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:58]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:59]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:60]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:61]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:63]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:64]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:65]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:67]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:68]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:69]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:71]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:72]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:75]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:76]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:77]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:79]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:83]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:84]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:85]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:86]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:87]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:88]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:89]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:90]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:92]** **[1543151_0001308179-25-000210_uber013353-def14a.htm:94]** and 2019 S-1/A and DRS filings **[1543151_0001193125-19-120759_d647752ds1a.htm:315]** **[1543151_0000950123-19-002420_filename1.htm:271]**.