Stepchange Holdings Ltd Eyes $55M Plus FY26 Revenue and Names New COO

StepChange flags $55M+ FY26 revenue and welcomes new COO

StepChange Holdings (ASX: STH) expects to exceed $55M revenue and deliver $5.0M normalised EBITDA for FY26, its first full year as an ASX-listed company. The figures form part of a trading update for the financial year ended 30 June 2026, with audited results due in late August 2026.

The update carries two key developments: strong full-year growth guidance and the appointment of Giuseppe (Pino) Todesco as Chief Operating Officer from 1 July 2026. Both signal an enterprise consulting business moving into its next phase of scale.

FY26 trading update: growth across all key service lines

StepChange is expecting to deliver over $15M revenue and $1.5M EBITDA for the June 2026 quarter (Q4), following strong momentum during the period. For the full year, the Company expects annual revenue to exceed $55M and normalised EBITDA of $5.0M, both measured against the prior corresponding period (PCP).

The Company attributes FY26 performance to five key drivers:

• Strong growth across SAP migration, cloud transformation and ICT advisory services

• Continued expansion within existing Tier 1 enterprise clients

• New client wins across energy and government sectors

• Initial contribution from the BroadReach acquisition and expanding advisory capability

• Margin improvement supported by utilisation, delivery mix and higher-value engagements

Investors should note that the $5.0M figure is normalised EBITDA, not a statutory result. It excludes $1.422M of abnormal and once-off costs, comprising listing costs ($636k), share-based payments ($554k) and M&A transaction costs ($232k).

New COO appointment strengthens leadership for the next phase

Giuseppe (Pino) Todesco joins StepChange as Chief Operating Officer from 1 July 2026, bringing senior operational and technology leadership experience to the executive team. His track record spans large-scale transformation programs across complex enterprise environments.

Key points from his background include:

• More than 25 years’ experience leading large-scale operational, technology and business transformation programs

• Most recently Chief Information Officer at Woodside Energy, responsible for global digital and operational technology services supporting approximately 12,000 users across multiple geographies

• Led the unification of Woodside’s digital environment following its merger with BHP Petroleum, delivering an integration program that enabled synergy savings exceeding US$75 million per annum

• Expertise across enterprise architecture, cloud transformation, operational resilience, cyber governance and large-scale technology delivery

• Previously co-founded and scaled a technology services business prior to its sale to a major international industry participant

A senior CIO-level appointment of this nature signals StepChange’s intent to scale its advisory and transformation work and execute larger enterprise engagements.

Shane Bransby, Managing Director

“FY26 has been an important year for StepChange as our first full year as an ASX-listed company, with the business delivering strong organic growth, improving margins and successfully executing on a number of strategic initiatives, including the integration of BroadReach and expansion of our enterprise and ICT consulting capabilities. We are also very pleased to welcome Pino to StepChange. His experience leading large-scale digital transformation programs at Woodside and across enterprise environments will be a significant asset as we continue to scale the business and expand our advisory and transformation expertise.”

What ERP and SAP transformation means for investors

Enterprise Resource Planning (ERP) software runs a company’s core business processes, connecting functions such as finance, procurement, supply chain and human resources into a single system. StepChange specialises in ERP transformation, which involves modernising or upgrading client systems to better align with business objectives. It delivers these services primarily using software modules developed by SAP, a global ERP software provider.

For investors, this matters because large enterprises face structural, ongoing demand to migrate and modernise core systems. Higher-value engagements support margins, a dynamic reflected in the Company’s FY26 guidance.

Investment case: scale, margins and a growth platform

StepChange’s first full year as a listed company delivered organic growth alongside margin improvement. The BroadReach acquisition has broadened its advisory capability, with integration ongoing, while the business retains exposure to structural demand tailwinds across SAP migration, cloud transformation and ICT advisory. The incoming COO appointment now reinforces leadership depth at the executive level.

StepChange’s H1 FY26 debut results showed EBITDA growth of 50% outpacing revenue growth of 19%, an early demonstration of the operating leverage embedded in its consulting model as the business scaled headcount and expanded higher-value engagements.

Outlook: entering FY27 with greater scale

StepChange enters FY27 with increased scale, expanded advisory capability and continued exposure to structural demand across SAP migration, cloud transformation and ICT advisory services. The Company has stated it remains focused on disciplined execution, margin improvement, integration of BroadReach and the evaluation of selective growth opportunities.

Audited FY26 financial results are scheduled for release in late August 2026. The trading update was authorised by the Board.

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