Performance targets should be set in a way that actually...

Performance targets should be set in a way that actually motivates performance, in areas the business can actually control. This is a short term performance target, so what can the company do to influence these outcomes within 12 months? How much room for movement is there from what is forecast / expected.

The baseline expectations look to be set at roughly what market consensus about FY24 is, i.e. 4% revenue & 10% EPS, which is also more or less what they signaled back in February.

So there is a 50% performance reward for meeting guidance and current market expectations, 85% reward for doing 50% better than guidance / expectations and 100% reward for doing 100% better i.e. twice as good as expected (at least on revenue). I guess you could always hope for doing three, five, or ten times better than expectations, but seems like all those scenarios would rely on a black swan event (or the good version of one) that has nothing to do with management's actions.

BTW I get the anger at the SP, but it also shouldn't be controversial to acknowledge that the main market in which A2M operates has shrunk. However, A2M is still growing and can use its resources to diversify, leverage its brand and find another way forward. That is what I would like to incentivized anyway, finding a way back into double digit growth for FY25 and beyond in a way that doesn't rely on the whims of birth rates, etc. which can't be banked on improving.