Tesla’s strong Q1 in 2022 has led to another three tranches of stock options opening up for the Tesla CEO.
As per the numbers. Tesla’s $18.76 billion revenue and adjusted earnings before interest, taxes, depreciation and amortization of $5.02 billion hit two milestones.
At the same time, the Q1 results, when combined with the previous three-quarters of results, meant that Tesla hit a third milestone.
The three tranches he passed after Q1 are worth about $23 billion based on the closing price of Tesla last night.
As part of his 2018 CEO performance agreement, Musk receives tranches of stock options when the company passes specific milestones.
Every milestone that the company hits opens Musk up to purchase 8.4 million Tesla shares for $70.01 per share. The only catch is that Musk must hold the tranches’ shares for at least five years.
Although, we should note that the latest milestone will need to be certified by Tesla’s Board of Directors before being offered.
At least to say, it was a good Q1 for Tesla and an excellent day for Musk.