Atturra has delivered revenue of $300.6 million and Underlying EBITDA of $31.5 million in FY25, both representing a 24% increase when compared to FY24 figures.
The company also announced that it has increased its share of "predictable revenue" to 78%, which is a combination of recurring and long-term client revenue.
Atturra said that it is now “well-positioned” to compete for larger enterprise deals, and as a sovereign, end-to-end IT solutions provider, it believes it is now the “preferred Australian option” to global system integrators.
Despite a busy FY25 that saw a total of six acquisitions – including OpenText and SAP specialist Chrome Consulting, New Zealand MSP Plan B, US-based Boomi partner Kitepipe and SAP partner DalRae Solutions - Atturra CEO Stephen Kowal said the market can expect “probably less acquisitions in total” from the company going forward.
“It was an unusually busy year, but you'll probably see us do a few bigger acquisitions and then super niche and specialised acquisitions.,” he told techpartner.news.
“The funny thing about acquisitions is you can never quite plan it out, because you don't know what's coming to market, but theoretically, from a planning point of view, I would anticipate a lower overall volume [moving forward].”
Although the company saw revenue and EBITDA rise, NPAT did fall slightly, finishing at $9.0m in FY25 versus $9.7M in FY24 – a result that Kowal attributed to the cost rate acquisitions and some of the accounting treatment around that.
“When you strip those components out, [the results] were up,” he explained.
“We spend millions of dollars [on] integrating and transaction costs and legal costs, which all have a direct effect, and then there's the amortisation component, which is an accounting issue that lowers NPAT, but the underlying EBITDA was actually up quite strongly.”
The company’s chairman Shan Kanji also used the FY25 presentation to highlight that the company has “grown strongly despite unfavourable economic conditions and, in particular, a challenging Canberra market”.
Kowal expanded on this by saying that the government's been "quite aggressive" in cutting its third party spend, especially around consultants, which has in turn impacted Atturra’s consulting business.
“Fortunately for us, we're a large, diversified revenue base, but if you're a Canberra-only business, it would have been really, really tough the last three years,” he told techpartner.news.
“The government market’s going to be tough for at least 12 months. Some of the forward budget components with Defence do show an increase, but that's from FY27 not FY26, so my thesis for this year is it will continue to be a hard slog with government.
“There's just different capabilities between the public and private sector and I don't think that the public sector will ever be able to, nor will it want to, bring in all those skills. One of the things private companies do very well is when you've got to do a change or a major programme at work, which is temporary in nature, there's no point the government ramping up to build or create a new system to then just have to get rid of all those people at the end of the programme.
“I think contractors and organisations like ours will build systems, and then we'll do the overflow work for those systems and solutions, but the core maintenance and management in many cases will be done by the public service.”
One positive aspect coming out of Canberra is what Atturra describes as the increasing importance to customers of using a sovereign IT provider, seemingly coinciding with recent reforms to the Commonwealth Procurement Rules to define an Australian business for use within the context of Commonwealth procurement framework.
“We used to talk a lot about sovereignty and it used to be all around government and defence, but it's definitely expanded beyond that,” he said.
“Now it's a hot topic for finance, manufacturing, utilities. That's why the private cloud component also is critical.”
Yesterday, Atturra announced that it has become the first Microsoft Solutions Partner in Australia to achieve the Private Cloud Solution Partner designation.
Another focus for the company is expanding into the enterprise solutions space, enabling Atturra to support technologies such as SAP and ServiceNow – a move made possible by the acquisitions of Chrome Consulting and DalRae Solutions.
“A lot of our client base has SAP programmes [and] we do a fair bit around it in the enterprise content management and invoicing space,” Kowal said.
“Delrae is a leader in SAP BTP and that BTP [element] is right at that modern edge about integrating and extending on that SAP platform, so we see there's a huge demand going forward.
“It's a business that can easily grow multiple times for us.”
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