Discovery founder and CEO Adrian Gore's remuneration fell to R27.91 million in the 2023 financial year from R28.3m a year before, even though the group performed well, because he mostly only partially met his individual performance targets.
The group’s normalised headline earnings per share were up a healthy 32% to R7.68bn in the year to June 30.
Gore’s base salary increased by 7% to R7.99m from R7.61m in 2022, but the main difference between the remuneration was a decline to R9.15m in the performance-based cash bonus from R9.6m in 2022, and to R9.15m in the long term incentive plan from R9.6m the year before.
The group remuneration report provided further details of Gore's individual performance, with the overall comment being that he only partially met his individual targets during the year.
Targets on the performance of Discovery SA, Vitality UK and Vitality Global, were partially met.
The SA, UK and Vitality Global composites delivered strong growth in normalised operating profit and new business.
A platform for strong future growth had been created through Discovery Bank and Amplify Health. There had also been continued investment in other large-scale initiatives, such as Vitality1, the platform to scale the globalisation of the Shared-value model.
However, in the negative side, the transfer and wind down of the previously announced exit from the UK investment market took longer than expected, but was expected to be completed by December 31 this year.
On financial impact, targets were only partially met. While capital and business strength, and high levels of liquidity and solvency were maintained, higher long-term rates in South Africa and the UK created a significant impact on the economic basis within the embedded value and constrained new business margins.
On progress on 2023 ambitions, Gore also partially met targets, according to the remuneration committee.
Global expansion continued within a complex operating environment, and innovation continued. The group impacted over 40.5 million of lives, but this was short of the groups Ambition 2023 target of 50 million.
Gore met targets with regards to ESG though, delivering "a compelling ESG strategy and robust ESG governance framework, and an improvement in ESG ratings".
Energy efficiency, waste and water reduction and reductions in greenhouse gas emissions continued to be addressed in the group.
Gore met targets for investor relations and reputation management, with the group’s brand and reputation managed and enhanced, as well as relationships with investors and other stakeholders to ensure a well-understood investment proposition.
But his remuneration also only partially met his transformation targets. Discovery maintained its Level 1 B-BBEE rating.
However, the percentage target achieved based on the 2025 Employment Equity Plan was 98.3%.
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