Lakeland Industries sets performance goals for executive compensation

Published 05/05/2025, 20:54
Lakeland Industries sets performance goals for executive compensation

Lakeland Industries , Inc. (NASDAQ:LAKE), currently trading at $16.66 and showing potential according to InvestingPro analysis, has announced the granting of performance-based restricted stock units (PSUs) to its executive officers, contingent upon achieving specific performance targets over the next four to six years. The Compensation Committee of the Board of Directors made the grants on May 1, 2025, with the first evaluation of performance scheduled for January 31, 2029, and the final one on January 31, 2031.

The awarded PSUs will vest based on the company’s ability to meet set targets related to total revenue, revenue from its Fire Services product line, and Adjusted EBITDA. The goals are to grow total revenue to $258.7 million from the current $167.21 million, Fire Services revenue to $161.8 million, and Adjusted EBITDA to $47.1 million from the current $10.48 million. InvestingPro data shows analysts expect both sales and net income growth this year, aligning with these ambitious targets. Get access to 6 more exclusive ProTips and comprehensive financial analysis with InvestingPro. The PSUs will be forfeited if performance measures are not met at least at the threshold level, which is defined as 80% of the target performance for each independent measure, by the end of January 2031.

The executives’ continued employment with Lakeland Industries is also a condition for the vesting of the PSUs. The target number of PSUs granted to each executive officer ranges from 25,440 to 63,960, with the potential to earn up to 120% of the target number based on actual performance achieved.

The company’s CEO, President, and Executive Chairman, Jim Jenkins, received the highest number of target PSUs at 63,960. Other officers, including the CFO, COO, Chief Human Resources Officer, Chief Revenue Officer – Fire, and Chief Commercial Officer – Global Industrials, were also part of the incentive plan. With a current market capitalization of $158.63 million and analyst price targets ranging from $23 to $30, the company’s leadership team faces significant opportunities for value creation.

This move aligns executive compensation with the company’s performance and growth objectives, as Lakeland Industries continues to focus on expanding its business and increasing shareholder value. The company maintains a strong financial position with a current ratio of 3.91 and operates with a moderate debt level. For detailed insights into Lakeland Industries’ growth potential and comprehensive analysis, access the full Pro Research Report, available exclusively on InvestingPro. The information is based on a press release statement filed with the SEC.

In other recent news, Lakeland Industries reported a substantial increase in revenue for the fourth quarter of fiscal year 2025, reaching $46.6 million, marking a 49.3% rise from the previous year. Despite this growth, the company faced a net loss of $18.4 million for the quarter. Looking ahead, Lakeland Industries projects its revenue for fiscal year 2026 to be between $210 million and $220 million. DA Davidson analysts have adjusted their price target for Lakeland Industries, reducing it from $28 to $23, but they maintain a Buy rating on the stock. The adjustment was influenced by a delayed order from Lakeland’s Jolly brand, which affected earnings. However, analysts noted that Lakeland’s organic growth is expected to be in the high-single-digits, surpassing initial projections. The company is also focusing on strategic acquisitions and market expansion, particularly in the decontamination services sector. Lakeland Industries is actively working on operational optimization and tariff mitigation strategies to enhance profitability.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.