Apple Inc.'s incoming Chief Executive Officer John Ternus is set to receive a total compensation package worth approximately $58 million in fiscal year 2027, according to a filing the company submitted to the US Securities and Exchange Commission (SEC) on Tuesday — the first day of Ternus' tenure at the top. Meanwhile, outgoing CEO Tim Cook, who transitions to the role of executive chairman, is reported to receive around $47 million in the same period.

Ternus Pay Structure: Salary, Stock, and Performance Targets

Ternus will draw an annual base salary of $3 million, supplemented by a stock award with a target value of $55 million for fiscal 2027. He will also receive a prorated restricted stock unit (RSU) award of approximately $2.5 million for fiscal 2026, which closes in September.

Notably, around 75 per cent of his equity award is tied to Apple's performance relative to the S&P 500, while the remaining 25 per cent comprises time-based stock units that vest semiannually. This performance-linked structure signals Apple's board intent to align leadership rewards with shareholder returns from the outset of the new leadership era.

Apple did not disclose potential cash bonuses for either executive in the Tuesday filing; such bonuses are typically determined by salary multiples and annual performance metrics.

Cook's Compensation After 15 Years at the Helm

As executive chairman, Cook will see his annual base salary drop to $2 million from the $3 million he earned as CEO. His fiscal 2027 stock award carries a target value of $45 million, with half of that equity linked to Apple's performance relative to the S&P 500 — a lower performance-weighting than Ternus, reflecting the different accountability profile of a chairman role.

For context, Cook's total compensation as Apple CEO in 2025 stood at $74.3 million, making his new package a meaningful step down in headline terms. The value of stock awards for both executives will fluctuate with Apple's share price, meaning actual payouts could differ substantially from target figures.

Cook's Legacy: 15 Years and 2,200% Share Gains

Cook is stepping down after 15 years as Apple's chief executive — a tenure during which the company expanded aggressively into new product categories, including wearables, services, and health technology. Annual revenue grew to nearly $500 billion under his stewardship, and Apple's shares surged more than 2,200 per cent over the same period.

This comes amid a broader wave of leadership transitions at major US technology firms, where succession planning has become a closely watched governance signal for institutional investors.

Who Is John Ternus?

Before assuming the CEO role, Ternus served as Apple's Senior Vice President of Hardware Engineering, overseeing the development of the company's core device lines including the iPhone, Mac, and iPad. His appointment is seen as a continuity choice — an insider with deep product expertise rather than an external hire — suggesting Apple's board prioritised operational stability over strategic disruption in its succession decision.

What Comes Next

With the SEC filing now public, investor attention will turn to Ternus' first strategic communications as CEO, including any guidance on Apple's product roadmap and its positioning in artificial intelligence — an area where the company has faced competitive pressure. Cook's continued presence as executive chairman is expected to provide a degree of institutional continuity during the transition period.