Highlights

• Revenue for the year to 30 June 2026 rose 17.0% to $351.8m, up from $300.6m a year earlier.

• Underlying EBITDA slipped 4.6% to $30.1m, while a $22.8m non-cash impairment pushed the statutory result to a $21.7m loss.

• Operating cash flow reached $9.1m and year-end cash stood at $66.0m, with no dividend declared for FY26.

• Atturra bought the remaining 51% of Protegic on 1 June 2026 and completed the Blue Connections acquisition in August 2025.

Atturra Limited (ASX:ATA) grew its top line by 17% in FY26, yet ended the year with a statutory loss of $21.7m. The gap between those two numbers tells the story of a year shaped by acquisitions, a one-off write-down and a contract dispute. Shares were trading at A$0.370 on 23 October 2026, up 5.71%.

Growth on the Top Line, Pressure Underneath

Revenue for the year to 30 June 2026 reached $351.8m, against $300.6m in FY25. Management described that growth as softer than expected and said it reflected a challenging environment. It also fell short of the $364m to $374m range the company set in December 2025.

Underlying EBITDA of $30.1m sat within the $30m to $31m range issued at the same time, but it was 4.6% lower than the $31.5m earned in FY25. Underlying EBIT fell 12.2% to $19.2m. Gross margin held at roughly 33%, compared with about 34% a year earlier.

An Impairment and a Contract Dispute

The statutory loss traces mainly to a $22.8m non-cash impairment of intangibles, which management called a one-off. Reported EBIT was a loss of $13.8m, compared with a $15.0m profit in FY25, and basic earnings per share came in at a loss of 5.88 cents.

The earnings guidance reset in December 2025 stemmed from a separate event. On 16 December 2025, a subsidiary received notice of immediate termination of a fixed-term contract with an Australian public sector body. That contract was signed in May 2025 and ran to November 2026. Atturra said it would dispute the termination as wrongful. A mediation is scheduled before 31 December 2026, and the outcome is uncertain. Management said second-half underlying EBITDA was in line with guidance.

Acquisitions, Cash and Funding

Atturra kept dealmaking through the year. It completed the Blue Connections acquisition on 31 August 2025, with maximum consideration of $25.5m and $18.6m paid in cash on completion. It then acquired the remaining 51% of Protegic on 1 June 2026, making that business wholly owned. In total, about $23.5m went into subsidiaries during the year, and a share buy-back absorbed about $9.4m.

Operating cash flow was $9.1m, down from $14.7m. Cash and equivalents ended the year at $66.0m, down from $91.6m, while net assets were $197.3m, compared with $228.1m. Current borrowings rose to $29.4m from $0.5m. The Westpac facility expires in December 2026, and the bank has approved a two-year extension after year-end. No dividend was paid, recommended or declared for FY26 or FY25.

Leadership Change and the Outlook for FY27

Kunal Shah became chief financial officer on 6 July 2026, replacing Herb To, who retires on 1 September 2026. Management said it continues to invest in AI capabilities, managed services, cyber, cloud and data.

The chair expects FY27 to deliver organic revenue and EBIT growth. The directors did not publish detailed forecasts, citing the risk of unreasonable prejudice to the company. The mediation over the terminated contract remains the nearest dated milestone.