Xero (ASX:XRO) moved CEO Sukhinder Singh Cassidy's total target remuneration to the 50th percentile of the US peer group from the 25th percentile following a compensation review, according to a Monday filing with the Australian bourse.

The move results in a base salary of $640,000, with a long-term incentive target opportunity and long-term equity opportunity for fiscal 2027 of about $17.2 million in total, provided with restricted stock units to be granted this month.

The target short-term incentive for each fiscal year remains at 100% of the base salary, per the filing.

Additionally, the company's board introduced a minimum shareholding requirement comprising a multiple of annual base salary for key management personnel, including five times for its CEO and two times for the CFO, to be achieved within three years.

Xero's board also reviewed the remuneration of CFO Claire Bramley, resulting in the executive's total target remuneration increasing to the market median, it said.

The company said its fiscal 2027 guidance for revenue and adjusted earnings before interest, taxes, depreciation, and amortization remains unchanged.

Xero shares gained 1% in recent Monday trade.