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Microsoft CEO Nadella’s annual pay jumps 22 per cent to $96.5 million

Nadella’s pay is largely tied to Microsoft’s share performance. So far in 2025, the company’s stock has risen 23 per cent, surpassing the S&P 500’s 15 per cent gain.

Satya Nadella

Satya Nadella speaks during the Microsoft Build 2025, conference in Seattle, Washington on May 19, 2025. (Photo: Getty Images)

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MICROSOFT CEO Satya Nadella’s total compensation for fiscal 2025 has increased 22 per cent to $96.5 million, up from $79.1 million last year, according to a proxy filing released after trading hours on Tuesday.

The figure includes more than $84 million in stock awards and over $9.5 million in cash incentives, reported CNBC.


Nadella’s pay is largely tied to Microsoft’s share performance. So far in 2025, the company’s stock has risen 23 per cent, surpassing the S&P 500’s 15 per cent gain. Microsoft’s shares have more than doubled in value over the past three years.

The company is set to report its fiscal first-quarter results next week.

In July, Microsoft reported fourth-quarter earnings and revenue that exceeded expectations, with sales up 18 per cent — the fastest growth in more than three years.

In fiscal 2024, Nadella’s compensation rose 63 per cent from $48.5 million, with 90 per cent coming from stock awards. Though eligible for a $10.66 million cash incentive, he asked the board to reduce it to $5.2 million after a series of cyberattacks, CNBC reported.

In July, Nadella told employees that Microsoft’s decision to cut over 15,000 jobs in 2025 had “been weighing heavily” on him. The company also dismissed several activist employees who had protested its work with the Israeli military.

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