Form 4: Liquidity Services CTO Receives Significant Equity Grants

Steven Weiskircher, SVP & Chief Technology Officer of Liquidity Services, reported new grants of Restricted Stock Units and Stock Options, aligning his incentives with company performance.

Summary

• Steven Weiskircher, SVP & Chief Technology Officer of Liquidity Services, Inc. (LQDT), reported changes in his beneficial ownership of company securities.
• On October 29, 2025, Mr. Weiskircher was granted 33,000 Restricted Stock Units (RSUs) and 31,800 Stock Options.
• Of the newly granted RSUs, 16,500 will vest 25% annually from January 1, 2027, to January 1, 2030, while another 16,500 RSUs are subject to the Issuer's achievement of certain financial milestones.
• Of the newly granted Stock Options, 15,900 have an exercise price of $23.52 and will vest 12/48th on January 1, 2027, with an additional 1/48th vesting monthly for 36 months thereafter, expiring on October 29, 2035. Another 15,900 options, also with an exercise price of $23.52, are subject to the Issuer's achievement of certain financial milestones and expire on October 29, 2035.
• Following these transactions, Mr. Weiskircher directly beneficially owns 50,804 shares of Common Stock.
• His total derivative holdings include various Restricted Stock Unit grants totaling 107,813 units and Stock Option grants totaling 101,980 options, with diverse vesting schedules and exercise prices ranging from $9.46 to $23.52.

Sentiment

Score: 6

Explanation: The filing is generally neutral to slightly positive. It represents routine executive compensation, which aligns management's interests with shareholders. The performance-based vesting adds a positive incentive, though the potential for future dilution from equity grants is a minor negative.

Positives

• The grants of Restricted Stock Units and Stock Options align the interests of a key executive (SVP & CTO) with those of shareholders, as a significant portion of his compensation is tied to the company's future performance and stock price.
• Performance-based vesting conditions for a substantial number of RSUs (36,851 units) and Stock Options (47,155 options) incentivize the executive to achieve specific financial milestones for the company.

Negatives

• The issuance of new equity awards, particularly RSUs, represents potential future dilution for existing shareholders when these units vest and convert into common stock.

Risks

• A significant portion of the executive's equity compensation (36,851 RSUs and 47,155 options) is contingent on the Issuer's achievement of certain financial milestones, meaning these awards may not vest if performance targets are not met.
• Stock options carry market price risk; if the company's stock price does not exceed the exercise price, the options may expire worthless or have reduced value.

Future Outlook

The future outlook for Steven Weiskircher's equity compensation is tied to the company's stock performance and its ability to meet specific financial milestones, with vesting schedules extending through January 2030 for RSUs and option expiration dates as late as October 2035.

Industry Context

This Form 4 filing reflects standard executive compensation practices within the technology and e-commerce sectors, where equity grants are commonly used to attract, retain, and incentivize key talent by aligning their financial interests with long-term company performance. The use of performance-based vesting is a common mechanism to ensure executive compensation is directly linked to strategic objectives.

Comparison to Industry Standards

• The structure of equity grants, including both time-based and performance-based vesting for RSUs and stock options, is consistent with compensation practices observed in comparable publicly traded technology and e-commerce companies.
• The vesting periods, extending several years into the future, are typical for executive long-term incentive plans, aiming to foster sustained commitment and performance.
• Exercise prices for stock options are set at or above the market price on the grant date, which is a standard practice to ensure options have value only if the stock price appreciates, similar to grants at companies like eBay or Amazon for their senior executives.

Stakeholder Impact

• Shareholders: Potential future dilution from the vesting and exercise of RSUs and stock options. However, the grants also serve to align executive incentives with shareholder value creation.
• Employees: No direct impact mentioned, but executive compensation practices can influence overall company culture and compensation philosophy.
• Management: The grants provide significant long-term incentives and compensation for the SVP & CTO, tying his financial success directly to the company's performance.

Next Steps

• Steven Weiskircher will continue to hold and potentially vest additional Restricted Stock Units and Stock Options according to their respective schedules.
• The company's performance against financial milestones will determine the vesting of a significant portion of the granted equity awards.

Key Dates

Keywords

Liquidity Services, LQDT, Steven Weiskircher, SVP & CTO, SEC Form 4, Insider Transaction, Restricted Stock Units, RSU, Stock Options, Equity Grant, Executive Compensation, Vesting Schedule, Beneficial Ownership