Penguin Solutions shareholders approve executive pay

Penguin Solutions, Inc. (NASDAQ:PEN), a semiconductor company with a market capitalization of $1.1 billion, conducted its 2025 Annual General Meeting on February 7, where shareholders voted on several key proposals, according to a recent 8-K filing with the SEC. The company’s stock has shown a 6.5% gain over the past six months, despite experiencing notable price volatility according to InvestingPro data. The meeting’s outcomes included the election of directors, ratification of the company’s independent auditor, and approval of executive compensation.

In the election of directors, shareholders voted to elect Min Yong Ha and Penelope Herscher to the company’s board, with Ha receiving 38,229,828 votes for and 1,951,185 against, and Herscher obtaining 37,492,270 votes for and 2,693,566 against. Broker non-votes for both nominees totaled 5,881,580.

Additionally, shareholders ratified Deloitte & Touche LLP as Penguin Solutions’ independent registered public accounting firm for the fiscal year ending August 29, 2025. The proposal passed with 45,319,496 votes for, 767,993 against, and 8,668 abstentions.

The compensation of the company’s named executive officers was approved on a non-binding advisory basis, with 39,400,995 votes for, 733,768 against, and 79,814 abstentions. Furthermore, shareholders endorsed the frequency of the advisory vote on executive compensation to occur every year. This proposal received 38,737,343 votes for a 1-year frequency, 162,494 for 2 years, and 1,250,680 for 3 years, with 64,060 abstentions.

Following the recommendation of Penguin Solutions’ board of directors and the shareholder’s advisory vote, the company will hold an advisory vote to approve the compensation of its named executive officers annually. While currently unprofitable, InvestingPro analysis indicates positive prospects, with analysts expecting profitability in the current fiscal year. The platform offers 8 additional key insights about Penguin Solutions’ financial outlook and market position.

Penguin Solutions, formerly known as SMART Global Holdings, Inc., is headquartered in Newark, California, with principal executive offices in the Cayman Islands. The company specializes in semiconductors and related devices, operating within the manufacturing sector under the SIC code 3674.

This report is based solely on the information provided in the company’s SEC filing.

In other recent news, Penguin Solutions has been making significant strides in both product development and financial growth. The company recently launched its new XLamp XP-L Photo Red S Line LEDs under the Cree (NYSE:WOLF) LED brand, designed to enhance horticulture lighting efficiency and lifespan. These LEDs are expected to lower operational costs for horticulture businesses by reducing power consumption or decreasing the number of LEDs needed.

In terms of financial performance, Penguin Solutions reported robust first-quarter results, exceeding Wall Street expectations. The company’s adjusted earnings per share were $0.49, surpassing the analyst consensus of $0.39. Revenue for the quarter came in at $341 million, beating estimates of $320.17 million and representing a 24.4% increase year over year.

A standout in the report was the company’s Advanced Computing unit, which has been instrumental in driving this growth. Analyst Nick Doyle from Needham highlighted the segment’s significant contribution to the company’s overall performance. The firm maintains a ’Buy’ rating on Penguin Solutions, raising its price target to $27 from $25. These are recent developments that reflect the company’s continued momentum in the market.

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