Steadfast caps a record year with 13.8% EBITA growth and a $6.00 per share takeover on the table
In its FY26 results presentation delivered on 25 August 2026, Steadfast Group reported record underlying earnings, with underlying EBITA rising 13.8% to $669.8m and underlying NPAT up 8.2% to $319.5m.
Management outlined growth across all core operating segments. Shareholders now weigh a Scheme of Arrangement under which a consortium of Amwins, Dragoneer and KKR would acquire the company for $6.00 cash per share, less permitted dividends, a 51.9% premium to the undisturbed $3.95 close on 9 June 2026.
When big ASX news breaks, our subscribers know first
FY26 headline results at a glance
The group delivered broad-based growth on an underlying basis, with revenue up 15.3% to $2,104.7m and every key earnings metric improving on the prior year.
| Metric | Underlying FY26 | Underlying FY25 | Growth % |
|---|---|---|---|
| Revenue | $2,104.7m | $1,825.7m | 15.3% |
| EBITA | $669.8m | $588.6m | 13.8% |
| NPAT | $319.5m | $295.5m | 8.2% |
| NPATA | $366.3m | $341.8m | 7.1% |
| Diluted EPS (NPAT) | 28.80c | 26.73c | 7.7% |
| Diluted EPS (NPATA) | 33.01c | 30.93c | 6.7% |
Statutory NPAT of $269.1m came in below FY25’s $334.9m. The prior-year figure included a one-time $157.4m gain from Steadfast gaining control of Rothbury Group, making the underlying result the true like-for-like measure of the business.
The Board declared a total FY26 dividend of:
-
Total FY26 dividend of 20.95 cps fully franked, up 7.4%
-
Final dividend of 12.75 cps fully franked, up 9.0%
-
Ex-date 2 September 2026; record date 3 September 2026; payment 25 September 2026 (DRP not applying to the final dividend)
The $6.00 takeover: what shareholders need to know
The presentation referenced the separate market release dated 21 August 2026, under which Steadfast entered into a Scheme Implementation Deed (SID). Amwins, Dragoneer and Kohlberg Kravis Roberts (KKR) have agreed to acquire all issued shares via a scheme of arrangement.
The $7.7 billion takeover offer was first announced on 10 June 2026, with the Amwins and Dragoneer consortium granted eight weeks of due diligence access under a Process Deed that included a hard four-week exclusivity period during which no fiduciary carve-out applied.
The terms provide a “cash consideration of $6.00 per share, less the cash amount of any Permitted Dividends” paid per Steadfast share. Steadfast is permitted to pay dividends of an aggregate amount of up to $0.20 per share, comprising an ordinary final FY26 dividend and a special dividend, prior to implementation.
The Scheme Consideration represents a 51.9% premium to the undisturbed closing price of $3.95 on 9 June 2026. The Steadfast Board “unanimously recommends” that shareholders vote in favour of the Scheme, “in the absence of a superior proposal” and subject to the independent expert concluding that the Scheme is in the best interests of shareholders.
Implementation is subject to various customary conditions:
-
Steadfast shareholder approval
-
Foreign Investment Review Board (FIRB) approval
-
Australian Competition & Consumer Commission (ACCC) approval
-
New Zealand Overseas Investment Office approval
-
UK Financial Conduct Authority approval
-
Monetary Authority of Singapore approval
Steadfast is currently targeting implementation of the Scheme in December 2026. Shareholders “do not need to take any action at the present time.”
Understanding the insurance broking model
Steadfast operates the largest intermediated general insurance broker network in Australasia. The business earns fees and commissions on premiums placed through its network, and also owns underwriting agencies and equity stakes in brokers.
A key volume metric is Gross Written Premium (GWP), the total premium flowing through the network. GWP represents the aggregate value of insurance policies placed, which drives the fee and commission income the group collects.
Why does a moderating premium cycle matter? Renewal price growth slowed to +2.0% for FY26, easing each quarter from +2.9% in Q1 to +1.1% in Q4. Despite softer pricing, Steadfast still grew earnings, demonstrating how acquisitions and organic gains support the model’s resilience.
For investors, this recurring, defensive revenue base and the group’s scale advantages help explain the premium a global consortium is prepared to pay.
-
Approximately 700 brokers and agencies globally, with around AU$26b in premium
-
419 Network brokers across 2,096 offices
-
Equity interests in 62 brokerages and 20 underwriting agencies
Segment performance drove the result
Growth came from all three core operating segments, with acquisitions and organic gains combining to lift underlying earnings. International delivered standout percentage growth from a low prior-year base.
| Segment | FY26 Net Revenue | FY26 Underlying EBITA | EBITA Growth % | GWP |
|---|---|---|---|---|
| Australasian Broking | $1,028.8m | $411.8m | 13.2% | $13.2b (+6.2%) |
| Underwriting Agencies | $519.5m | $260.8m | 5.2% | $2.5b (+2.3%) |
| International | $108.5m | $29.8m | 400.8% | See note |
Within Australasian Broking, the Rothbury step-up contributed $24.0m of EBITA, a key driver as Steadfast lifted effective ownership of its equity brokers from 80% to 83%. Underwriting Agencies delivered profitable growth through underwriting discipline and targeted new business, with revenue growth exceeding GWP growth.
The International segment’s EBITA rose from just $5.9m to $29.8m, producing the headline 400.8% growth figure off a low base. Performance was driven by ISU Steadfast, HWS Specialty and Novum, the latter recording 60%+ organic GWP and revenue growth in its first 10 months.
Technology and the OnePlatform roadmap
Management detailed continued modernisation of its InsurTech offering through the OnePlatform roadmap, positioning technology as a strategic differentiator across the broker network.
-
Steadfast ID: over 13,000 brokers and insurers migrated
-
Steadfast Intelligence: CORTEX conversational AI agent launched
-
Steadfast Apps: pilot live, with full release scheduled for 7 September 2026
-
260 brokers live on the INSIGHT Broking System (over 8,000 users); 12,500+ active SCTP users across Australia and New Zealand
Balance sheet and cash generation
The group’s financial position underpinned both the dividend and the takeover appeal, with continued full conversion of pre-tax profit into cash.
-
Net cash from operating activities (adjusted) of $408.6m, up from $373.7m
-
Free cash flow of $166.6m
-
Total gearing ratio of 36.0%; total debt facilities extended to $1,470.0m post balance date
-
$138.8m of undrawn bank facilities at 30 June 2026
FY27 guidance and outlook
Management provided FY27 guidance, which assumes a 2% to 3% increase in Australian insurance premium pricing. Should the Scheme be implemented as targeted in December 2026, it would occur mid-way through the FY27 period.
-
Underlying EBITA of $700m – $715m
-
Underlying NPATA of $382m – $392m
-
Underlying NPAT of $333m – $343m
-
Underlying diluted EPS (NPAT and NPATA) growth of 4% – 8%
Management framed the result as positioning the company for its next phase of growth, referencing the Steadfast Group Strategy 2027–2029 and its stated priorities of continued organic and inorganic growth, US network expansion, technology-led margin improvement and disciplined, value-accretive acquisitions.
The result leaves investors weighing a company that delivered record underlying earnings and upgraded guidance against a $6.00 cash takeover, with implementation subject to shareholder and regulatory approval targeted for December 2026.
Stay Ahead on ASX Financial Sector News
Get FREE breaking ASX announcements delivered to your inbox within minutes of release, complete with in-depth analysis already done. Join 20,000+ investors who never miss a market-moving update. Click the “Free Alerts” button at Big News Blast to start receiving alerts the moment ASX financials news breaks.