Sunil Mittal's remuneration returns to ₹32 crore in FY24, shows Airtel annual report

After a gap of almost three years, Bharti Airtel Chairman Sunil Mittal's gross remuneration has been restored to about ₹32.27 crore in FY24, the telco's annual report shows.

The gross remuneration of the Airtel top boss was nearly ₹16.72 crore in 2022-23, which was in line with HR and Nomination Committee's (HRC) past decision for a downward revision (effective from April 01, 2020).

However, after the telco's business showed marked improvement and demonstrated strong and sustained growth, the HRC, keeping in view of the Chairman’s role and contribution, had revisited its decision and had recommended that the annual remuneration be restored to ₹30 crore (from April 1, 2023).

The same had been approved by Airtel shareholders at the company's AGM held in August 2023.

The total remuneration of Mittal in FY24 reflects the decision to restore the salary and accordingly, his total compensation has returned to about ₹32 crore.

According to the company's latest annual report for 2023-24, Mittal's salary and allowances stood at an estimated ₹21.57 crore, while performance linked incentives (PLI) were at ₹7.5 crore. These alongside ₹3.19 crore of perquisites, took Mittal's total gross remuneration to an estimated ₹32.27 crore for financial year 2023-24.

"The salary and allowance includes the company’s contribution to the Provident Fund. Above doesn’t include liability for gratuity and leave encashment as it is provided on an actuarial basis for the company as a whole, the amount pertaining to the Directors is not ascertainable; and interest on provident fund," the annual report said.

The Value of Performance Linked Incentive (PLI) is based on a mix of short-term and long-term goals.

On the 2023-24 numbers, the latest annual report said that PLI represents an incentive that accrued at a 100% performance level for FY 2023-24 and will get paid on the basis of actual performance parameters.

"At 100% performance level, the gross remuneration of Sunil Bharti Mittal is ₹322,714,541 for FY 2023-24 and ₹167,729,002 for FY 2022-23 and that of Gopal Vittal (CEO) is ₹185,508,865 for FY 2023-24 and ₹168,434,184 for FY2022-23," Airtel report said.

During the year, Mittal and Vittal were paid ₹47,250,000 and ₹70,826,394, respectively, as PLI for the previous year 2022-23.

"During the FY 2023-24, Sunil Bharti Mittal has received a remuneration of GBP 2.20 million from the overseas subsidiary of the Company, Network i2i (UK) Limited," the annual report said.

For 2023-24, the total remuneration of CEO Gopal Vittal stood at ₹18.55 crore, which included ₹11.11 crore drawn under the ‘salary and allowances’ head.