Starbucks CEO Niccol Awarded $95.8 Million in Compensation for Four-Month Tenure

Published: 2025-01-24 17:34:21 ET SBUX

By Sabela Ojea

Starbucks Chief Executive Officer Brian Niccol received $95.8 million in total compensation for his four-month tenure at the company.

Most of Niccol's total pay for 2024, or $90.3 million, is linked to stock awards, the coffee chain said Friday. His earned a salary was $61,538 and a bonus $5 million.

Former CEO Laxman Narasimhan, who served as CEO for roughly 16 months, received $24.6 million in pay, with $14.3 million of that based on stock awards. He earned $14.6 million in 2023.

Niccol stepped down as CEO Chipotle Mexican Grill to take the top job at Starbucks in September as the company faced pressure to turn around its business. It was also contending with activist investors after Elliot Investment Management built a sizable stake in the company.

Starbucks investors cheered Narasimhan's exit, sending shares up 25% on the day his departure was disclosed in August. Chipotle shares fell nearly 8%.

Elliott at the time embraced Niccol's appointment and said it was a "transformational step forward," but that it would continue discussions with Starbucks.

Niccol was credited for helping turn Chipotle into an industry powerhouse after it was laid low by food-safety issues. Since joining Starbucks Niccol has put in place measures such as cutting jobs to seek to operate more efficiently, noting that too many managers and coordinators may be slowing down the coffee shop chain.

The move is part of the "Back to Starbucks" strategy the executive has touted as a way to strengthen the company as sales decline. Earlier this month, Starbucks said it would reverse a seven-year policy that allowed anyone entering its stores to linger or use the bathroom without buying anything.

Write to Sabela Ojea at [email protected]; @sabelaojeaguix

(END) Dow Jones Newswires

01-24-25 1733ET