Definitive Healthcare Corp. (NASDAQ:DH), a leader in healthcare analytics and data, has disclosed additional compensatory arrangements for its recently appointed Chief Executive Officer, Kevin Coop. The company, headquartered in Framingham, Massachusetts, revealed in a filing with the Securities and Exchange Commission on Monday that it granted Mr. Coop an award of 186,192 time-vesting restricted stock units (RSUs).
This grant, effective July 4, 2024, is structured to vest 25% on July 1, 2025, with an additional 6.25% vesting each subsequent quarter over a three-year period, provided Mr. Coop remains employed with the company through each vesting date.
The RSUs are tied to the company's Class A Common Stock and are designed to compensate for a shortfall in the equity grant value that was initially delivered to Mr. Coop. The shortfall occurred due to share price volatility around the time of the announcement and commencement of his role as CEO.
Mr. Coop's appointment as CEO and a member of the Board was effective June 24, 2024, as previously reported in a May 24, 2024, SEC filing. The terms of his employment, which were agreed upon on May 20, 2024, included various compensatory details that have now been supplemented by this additional RSU Award.
Definitive Healthcare Corp., which operates within the prepackaged software services industry, is incorporated in Delaware and has been publicly traded on The Nasdaq Stock Market since its IPO. The company's fiscal year ends on December 31.
The information provided here is based on the company's most recent 8-K filing and is intended to keep shareholders and the market informed of the latest executive compensation developments at Definitive Healthcare Corp.
In other recent news, Definitive Healthcare Corp., a significant player in healthcare commercial intelligence, has seen notable developments. The company announced the appointment of Kevin Coop as its new Chief Executive Officer and member of the Board of Directors.
Coop, who brings over three decades of experience in operations, product development, and revenue generation, succeeds the company's founder and Executive Chairman Jason Krantz.
In financial updates, Definitive Healthcare reported mixed results for the first quarter of 2024. The company met its revenue expectations, posting $63.5 million, marking a 7% year-over-year increase. Still, it underperformed in new logo and upsell expectations due to macroeconomic headwinds and internal restructuring.
The company also announced a $20 million share buyback program and adjusted its full-year revenue growth projections to 1-4%. Despite a decrease in total customer count, Definitive Healthcare observed improved customer renewal rates, particularly among enterprise customers. These are recent developments that reflect the company's ongoing efforts to maintain its competitive edge and achieve its financial goals.
InvestingPro Insights
As Definitive Healthcare Corp. (NASDAQ:DH) aligns its executive compensation with the company's performance and stock behavior, investors may find it useful to consider the broader financial context of the company.
According to InvestingPro data, Definitive Healthcare has a market capitalization of $629.77 million, indicating its size within the prepackaged software services industry. Despite a challenging period reflected by a negative P/E ratio of -2.99 and an adjusted P/E ratio for the last twelve months as of Q1 2024 at -75.34, the company has shown resilience with a revenue growth of 10.34% during the same timeframe.
InvestingPro Tips suggest a mixed outlook. While analysts expect net income growth this year, indicating potential for improved financial performance, there have been seven downward earnings revisions for the upcoming period, which could signal caution. Importantly, Definitive Healthcare's liquid assets exceed its short-term obligations, providing some financial stability. The company operates with a moderate level of debt and does not pay dividends, which may appeal to growth-focused investors.
For those considering an investment in Definitive Healthcare, it's worth noting that the company is trading at a high EBITDA valuation multiple despite not being profitable over the last twelve months. Nonetheless, analysts predict profitability this year.
For a deeper dive into Definitive Healthcare's financials and to access additional insights, investors can explore more InvestingPro Tips at https://www.investing.com/pro/DH. Remember to use coupon code PRONEWS24 for up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription to get the full suite of analytics and insights. There are 6 more InvestingPro Tips available that could further inform your investment decisions.
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