Form 4: Schlumberger CEO Le Peuch Reports Changes in Beneficial Ownership Following PSU Vesting

Olivier Le Peuch, CEO of Schlumberger, reports changes in beneficial ownership due to the final determination of performance share units (PSUs) earned based on the company's performance relative to key competitors.

Summary

• On March 7, 2025, Schlumberger's CEO, Olivier Le Peuch, reported changes in his beneficial ownership of the company's stock.
• This change is due to the final determination of performance share units (PSUs) granted on January 19, 2022, which vested based on Schlumberger's performance relative to select key competitors over a three-year period.
• Initially, only 80% of the shares were issued in January 2025 because some competitors had not yet reported their 2024 audited financial results.
• Following the reporting of all competitor results, the final number of shares earned under the PSUs was determined.
• Le Peuch acquired 42,690 shares of common stock at $0 and disposed of 16,799 shares at $40.87.
• After these transactions, Le Peuch beneficially owns 1,360,269 shares directly.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The vesting of PSUs suggests the company met performance targets. The CEO's increased shareholding is a positive sign.

Positives

• The vesting of PSUs indicates that Schlumberger met certain performance targets relative to its competitors.
• The CEO's increased shareholding aligns his interests with those of other shareholders.

Industry Context

Executive compensation and ownership are standard practices in the oilfield services industry, aligning management interests with shareholder value. PSU vesting is a common mechanism to incentivize performance relative to peers.

Comparison to Industry Standards

• Performance-based equity compensation is a common practice among Schlumberger's peers, such as Halliburton and Baker Hughes.
• These companies also use metrics like total shareholder return and return on invested capital to determine PSU vesting.
• The three-year performance period is also standard in the industry.

Stakeholder Impact

• Shareholders may view the PSU vesting as a positive sign of company performance.
• Employees may be motivated by the achievement of performance targets.

Key Dates