Company Interview / Stepchange Holdings (ASX: STH) tiptoes into the US

Key Insights:

StepChange secures Woodside Energy (ASX:WDS) as a client Expansion underway in the US with a Houston hub to support SAP transformation opportunities New loan facility from Westpac (ASX:WBC) to support M&A and strategic scaling Focus on tier one clients in oil, gas, mining, and critical minerals, plus government sectors

StepChange, a leading management consultancy, is focusing its expertise on SAP-driven enterprise resource planning (ERP) transformation, predominantly serving tier one clients in oil, gas, mining, and the emerging critical minerals sector. Shane Bransby states that the business, established for over 22 years, works with major SAP users, delivering core modules in finance, HR, and procurement, alongside new ventures into AI and data analytics. Notably, StepChange has recently secured Woodside Energy (ASX:WDS) as a client.

Bransby highlights the company’s international ambitions, underlined by the launch of a new US hub in Houston, Texas. He points to significant interest from clients with operations in the Northern Hemisphere, positioning Texas as a strategic base due to its booming data centre, IT, and oil and gas activity. StepChange is starting small in the region, aiming for measured organic growth before assessing inorganic opportunities. Bransby notes that the US market, especially Texas, presents substantial long-term SAP opportunities, though immediate contributions are modest as the team establishes its presence.

The arrangement of new debt facilities with Westpac (ASX:WBC) is also seen as a vital step, offering flexibility for future mergers and acquisitions. Bransby expects these resources to accelerate StepChange’s plans to deliver scalable, end-to-end SAP solutions.