After the announcement of the expected merger with Magic Software Enterprises, Matrix IT released its 2024 financial statements this morning, which include figures for executive pay. Matrix’s longstanding CEO Moti Gutman has in the past few years secured a place among the highest paid executives at Tel Aviv Stock Exchange-listed companies, and the trend continued in 2024.
Gutman’s total compensation cost last year was NIS 23.7 million, up from NIS 21.4 million in 2023. The compensation is composed of a salary of NIS 3.7 million, a bonus of NIS 8.8 million for meeting targets, and stock-based compensation of NIS 11.1 million. The company states that entitlement to a cash bonus for all company officers is dependent on achieving an operating profit of at least 75% of 105% of the operating profit in the previous year, a target that Matrix met (there are also other conditions).
Gutman is one of the longest serving managers among Tel Aviv Stock Exchange-listed companies. Between 2014 and 2025, his aggregate pay was NIS 115.5 million, of which NIS 28.2 million was stock-based compensation. Over the years, there have been instances in which Matrix’s shareholders objected to the compensation package offered to him, but the board of directors used its powers under amendment 20 to the Companies Law to overrule them. Besides Gutman, four other senior managers at Matrix received compensation ranging from NIS 3.1 million to NIS 4.5 million in 2024.
Matrix’s revenue grew 10% in 2024 to NIS 5.6 billion. Operating profit grew by 14.4%, to NIS 450 million. Net profit attributable to shareholders was NIS 272 million, 19.8% more than in 2023. The growth in 2024 came mainly in Israel, which is Matrix’s main market.
Commenting on the results, Gutman pointed out that they represented a peak in revenue, in gross, operating and net profit, and in cash flow in the fourth quarter and in 2024 as a whole, and mostly organic growth. "This excellent business performance, at a time of security, economic, and geopolitical upsets, is evidence of the company’s flexibility, resilience and stability, and of Matrix’s professional leadership in the IT market in Israel."
Published by Globes, Israel business news - en.globes.co.il - on March 11, 2025.
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