Asos proposes new executive pay plan
Asos told shareholders that it plans to amend the long-term incentive section of the Directors' Remuneration Policy in order to incorporate a Value Creation Plan
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Asos has proposed changes to its remuneration policy with the introduction of a new Value Creation Plan (VCP).
The retailer is convening a general meeting on 20 August to discuss the introduction of the VCP, which is set “to further align executive directors and the senior leadership team with the company’s ambitious growth plans”.
Asos told shareholders that it plans to amend the long-term incentive section of the Directors’ Remuneration Policy in order to incorporate the VCP.
In an official announcement, the retailer said: “To ensure the VCP can operate as intended, changes to current dilution limits are proposed within the rules of the ASOS Plc Long Term Incentive Scheme 2022, ASOS Plc Deferred Bonus Plan 2022 and ASOS Plc Sharesave Plan 2022.”
It comes as Asos is on a mission to reverse its widening losses. In April the company reported £120m in losses for the first half of the year as sales also fell by 18% to £1.5bn over the period.
The group also expects underlying earnings for the 2025 financial year to be “significantly higher” than FY24 and FY23 due to the higher gross margin following removal of old stock, higher full-price sales mix of flexible stock models as well as an ongoing transformation of the business.
