Download the FLSmidth Remuneration Policy

Incentive plans

In 2020, the remuneration was low primarily due to the impact on incentive programmes from the

pandemic severely impacting the financial performance and target fulfilling. In 2021, the remuneration increased due to target fulfilling on incentive programmes being above target and from the severance package agreed with the former Group CEO. 

Short term incentive programme (STIP)

The pay-out under the short-term incentive programme is above target based on an average

achievement on the financial KPIs (order intake, revenue contribution margin, EBITA margin and CFFO).

Long term incentive programme (LTIP)

In 2021, management received no pay-out for the long-term incentive programme (LTIP) for the performance period 2018-2020.

The KPIs for the 2021 LTIP grant are: EBITA-margin, total shareholder return and a sustainability linked KPI, which is a change to the years before. The KPIs for the 2021 LTIP grant are: EBITA-margin, total shareholder return and a sustainability linked KPI, which is a change to the years before.

Remuneration reports