Endava to Restate FY26 Revenue After Accounting Probe; CFO and GC Out
DAVA sits 22% above its 52-week low of $1.6 on light trading volume (0.3× avg).
Summary
Endava will restate FY26 results after an audit probe found improper accounting on certain customer and supplier deals, with revenue adjustments preliminarily estimated at roughly 2%-4% of prior FY25 revenue, though it does not expect to restate any prior fiscal years or any periods within those years. The company had roughly £55 million cash as of September 30, 2026. It expects material weaknesses in internal controls, has withdrawn FY26 guidance and delayed its 20-F filing. CFO Mark Thurston resigned October 25 and the General Counsel is also out; John Cotterell is to retire from his role as Chief Executive Officer, and Rob Machin will be appointed as interim CEO, taking over November 2. This escalates the September disclosure that Thurston was placed on administrative leave after auditors raised accounting concerns — the problem is now quantified and the leadership exits are confirmed. For a company of this size, a restatement of that magnitude plus a late 20-F and withdrawn guidance hits credibility, lender covenants and near-term estimates at once. The next hard data point is the finalized audited figures and a remediation timeline.
Updated with an SEC 6-K filing · What changed
Updates
· SEC 6-K — Endava preliminarily estimates FY26 revenue adjustments of about 2%-4% of prior FY25 revenue and had roughly £55 million cash as of September 30, 2026.
At the time of this announcement, DAVA was trading at $1.96 on NYSE in the Technology sector, with a market capitalization of approximately $110.2M. The 52-week trading range was $1.60 to $9.88. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: Wiseek News.