StepChange Holdings expects FY26 revenue to exceed $55 million with normalised EBITDA of $5 million, driven by organic growth and the BroadReach acquisition. The company also strengthens its leadership by appointing Giuseppe Todesco as COO.
- FY26 revenue expected above $55 million
- Normalised EBITDA forecast at $5 million
- BroadReach acquisition contributes to growth
- New COO Giuseppe Todesco joins from Woodside
- Growth driven by SAP migration and cloud services
Robust FY26 Revenue and Earnings Growth
StepChange Holdings (ASX:STH) is set to report a strong FY26 performance, with annual revenue expected to surpass $55 million and normalised EBITDA reaching $5 million. The company’s momentum accelerated in the June quarter, delivering over $15 million in revenue and $1.5 million EBITDA. This marks a significant step up compared to the prior year, fuelled by organic expansion within Tier 1 enterprise and government sectors alongside the contribution from the BroadReach acquisition completed during the year.
BroadReach Acquisition Bolsters Advisory and Government Reach
The integration of BroadReach has been a key driver behind StepChange’s growth, expanding its advisory capabilities and government sector footprint. This acquisition added senior ICT consultants and enhanced the company’s ability to deliver complex digital transformation programs, particularly in the public sector. StepChange’s focus on SAP migration, cloud transformation, and ICT advisory services continues to resonate with clients seeking to modernise and streamline their enterprise resource planning systems.
Leadership Strengthened with Appointment of Giuseppe Todesco
To support its next phase of growth, StepChange has appointed Giuseppe (Pino) Todesco as Chief Operating Officer, effective 1 July 2026. Todesco brings over 25 years of experience leading large-scale technology and operational transformations, most recently as CIO at Woodside Energy. There, he managed global digital services and led a major integration post-merger, delivering synergy savings exceeding US$75 million annually. His expertise in enterprise architecture, cloud transformation, and cyber governance is expected to enhance StepChange’s operational execution and advisory depth.
Margin Improvement and Strategic Execution
StepChange’s FY26 performance also reflects margin improvements driven by higher utilisation rates, a favourable delivery mix, and an emphasis on higher-value engagements. The company continues to expand within existing Tier 1 clients while securing new contracts across energy and government sectors. Managing Director Shane Bransby highlighted the importance of disciplined execution and the successful integration of BroadReach as foundational to the company’s progress.
Outlook Focused on Growth and Integration
Looking ahead to FY27, StepChange aims to leverage its increased scale and broadened advisory capabilities to capitalise on structural demand for ERP transformation services. The company remains focused on margin enhancement, selective growth opportunities, and the ongoing integration of BroadReach. Final audited FY26 results are due in late August, which will provide further clarity on the company’s financial position and performance trajectory.
Bottom Line?
StepChange’s strong FY26 growth and strategic leadership hire position it well for scaling its ERP and advisory services amid rising digital transformation demand.
Questions in the middle?
- How will the integration of BroadReach influence StepChange’s margin profile in FY27?
- What specific growth opportunities is StepChange evaluating beyond organic expansion?
- How quickly can the new COO impact operational efficiencies and client delivery?