Apple has disclosed the compensation package for its new Chief Executive Officer, John Ternus, on Tuesday, his first day in the role, revealing a $3 million annual salary alongside a targeted equity award of $55 million for fiscal 2027, bringing his total target compensation to approximately $58 million.
Apple’s board People and Compensation Committee also awarded Ternus a prorated RSU grant with a target value of $2.5 million for his partial-year service as CEO in fiscal 2026, the company disclosed.
Performance-based RSUs account for three-quarters of his annual equity award, with vesting tied to how Apple’s total shareholder return stacks up against the rest of the S&P 500.
The remaining 25 per cent comes in the form of time-based RSUs, which vest every six months in equal 12.5 per cent portions across a four-year period.
Apple also disclosed the compensation for Tim Cook in his new role as executive chairman.
As executive chairman, Cook will earn a $2 million annual salary starting September 26, along with a targeted equity award of $45 million for fiscal 2027, putting his total target compensation at roughly $47 million.
Cook’s equity is split evenly between performance-based RSUs benchmarked against the S&P 500 and time-based RSUs that follow the same semiannual vesting schedule as Ternus’s.
Cook’s total pay package as CEO in 2025 stood at $74.3 million, according to Bloomberg, with his salary now being reduced from the $3 million he earned in that prior role.
The filing left open the question of cash bonuses for both executives, according to The Wall Street Journal.
Ternus, 51, formally took over as Apple’s chief executive on Tuesday, with Cook moving to executive chairman on the same date.
Ternus joined Apple in 2001 and rose to senior vice president of hardware engineering in 2021, overseeing development of the iPhone, iPad, Mac, Apple Watch, AirPods, and Vision Pro.
His first major product launch as CEO is scheduled for September 9 at Apple’s Cupertino, California campus, where the company is expected to unveil new iPhones, Apple Watches, and a rebuilt Siri voice assistant powered by large language models.
Cook sent a farewell memo to Apple employees on Monday, his final day as CEO.
Apple announced the leadership transition in April, following what it described as a long-term succession planning process.
Cook grew Apple’s market capitalisation to $4 trillion during his 15-year tenure, with annual revenue climbing to more than $416 billion in fiscal year 2025.
