Elekta AB has introduced a new long-term incentive plan that ties executive bonuses to the sales of its advanced radiation-therapy technology, a move approved at its annual general meeting on Thursday.
The Swedish medical-device maker said the three-year performance share program for about 20 top executives, including the CEO, will be based on three metrics: total shareholder return, reduction in CO2 emissions, and the number of installed units capable of effective hypofractionation, a key feature in modern cancer treatment.
This marks a strategic shift from the company's 2023 incentive plan, which included a broader goal of installing machines in underserved markets.
The change aligns executive pay more directly with the adoption of specific high-value products.
The total cost of the program at maximum payout is estimated at 62.7 million Swedish kronor, the company said.
The decision comes as new Chief Executive Jan De Witte takes the helm and the company focuses on improving profitability amid pressure on margins.
Shareholders also approved a dividend of 2.40 kronor per share and re-elected Laurent Leksell as chairman of the board.
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