Stryker Announces Leadership Transition: Kevin Lobo to Become Executive Chair

Stryker Corporation announced a planned leadership transition effective January 1, 2027. Current Chief Executive Officer Kevin A. Lobo will resign from his role as CEO on December 31, 2026, and transition to the position of Executive Chair of the Board of Directors. Concurrently, Spencer S. Stiles, the company's current President and Chief Operating Officer, has been appointed CEO, effective January 1, 2027.

As part of Mr. Stiles's appointment, the Board of Directors increased its size from 10 to 11 members and appointed him to the Board. Mr. Stiles, age 50, has served as President and COO since January 2026 and previously held the role of Group President, Orthopaedics, from 2019. He has held leadership roles across Orthopaedics, MedSurg, and Neurotechnology throughout his nearly 27-year career at the company.

Mr. Stiles has entered into a Letter Agreement with the Company effective January 1, 2027. Under this agreement, his annual base salary will increase to $1,320,000, and his annual bonus target will increase to 150% of his base salary. The Company will recommend to the independent directors the approval of a stock award consisting of stock options and performance stock units (PSUs) under the Long-Term Incentive Plan. The aggregate target grant date fair value of this award is $14,200,000, comprising 40% stock options and 60% PSUs. The stock options will vest in equal annual installments over five years, while the PSUs will vest on March 21 of the year following a three-year performance cycle.

Mr. Lobo entered into a Transition Agreement on October 5, 2026. Under this agreement, he will continue to serve as CEO through December 31, 2026. Upon transitioning to Executive Chair on January 1, 2027, his base salary, bonus target, and employee benefits will remain unchanged. However, he will not be eligible to receive any new stock awards while serving as Executive Chair.

During his 14-year tenure as CEO, Mr. Lobo led the company to triple annual net sales from $8.7 billion in 2012 to more than $26 billion in 2026. The Company stated that this transition is the culmination of a comprehensive, long-term succession planning process.