Business
Serco 2021 LTIP Performance Targets
Serco 2021 LTIP Performance Targets.
About this update from Serco Group Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 0105U\n Serco Group PLC\n 30 March 2021\n \n \n \n \n \n \n \n 30 March 2021\n \n \n Serco Group plc (the 'Company') \n \n \n \n Legal Entity Identifier: \n \n \n 549300PT2CIHYN5GWJ21\n \n \n \n \n \n \n \n \n LONG-TERM INCENTIVE PLAN (LTIP) - PERFORMANCE TARGETS FOR THE 2021 AWARDS TO EXECUTIVE DIRECTORS\n \n \n \n \n \n Following the publication of our Annual Results for 2020, the Remuneration Committee has now considered the appropriate financial targets for the 2021 LTIP plan performance targets for Executive Directors. These are set out below, along with the non-financial targets already set out in the Annual Report.\n \n \n \n \n \n The 2021 LTIP awards will \n have a normal vesting date of 6 April 2024 and vesting is conditional on continued employment and the satisfaction of five independent performance measures as follows:\n \n \n \n \n \n \n \n \n Performance\n \n \n Measure\n \n \n \n \n Weighting\n \n \n \n \n \n \n \n Performance Target\n \n \n \n \n \n \n Aggregate EPS\n \n \n \n \n 25%\n \n \n \n \n Statutory Earnings Per Share (EPS) before exceptional items (adjusted to reflect tax paid on a cash basis) of 25.17p (threshold, 25% vesting) to 27.96p (target, 50% vesting) to 30.76p (maximum, 100% vesting), measured as an aggregate over the three-year performance period ending 31 December 2023.\n \n \n \n \n \n \n Relative TSR\n \n \n \n \n 25%\n \n \n \n \n Total Shareholder Return (TSR) of median (threshold, 25% vesting) to upper quartile (maximum, 100% vesting) when ranked relative to companies in the FTSE250 (excluding investment trusts), measured over the three-year performance period ending 31 December 2023.\n \n \n \n \n \n \n Average ROIC\n \n \n \n \n 25%\n \n \n \n \n Pre-tax Return on Invested Capital (ROIC) of 16.5% (threshold, 25% vesting) to 18.3% (target, 50% vesting) to 20.2% (maximum, 100% vesting), measured as an average over the three-year performance period ending 31 December 2023.\n \n \n \n \n \n \n Order Book\n \n \n \n \n 10%\n \n \n \n \n Book-to-bill ratio of 100% (target, 50% vesting) to 105% (maximum, 100% vesting) measured on a cumulative basis over the three-year performance period ending 31 December 2023.\n \n \n \n \n \n \n ESG Scorecard\n \n \n \n \n 15%\n \n \n \n \n Employee engagement:\n \n \n · \n Average ann...