• Significant restructure of technology division following Technotia acquisition
• Reduction of 15% in headcount and $9 million in direct staff salaries
• Closure of software development operations in Armenia by end of FY2026

Praemium Limited (ASX:PPS) has announced a significant organisational restructure focusing on its technology division, which will result in the reshaping of Praemium's cost base and enhancement of its technology performance and functionality. The restructure follows the acquisition of Technotia Group Pty Ltd (Technotia Laboratories) in January 2026. The restructure will focus on reducing a significant number of duplicate IT development, maintenance and infrastructure roles. Despite the cost reduction, Praemium is confident that its underlying technology performance, functionality and automation will be enhanced with the skills and capabilities acquired from Technotia Laboratories. The restructure will see a reduction of FTE based in Australia and the closure of Praemium's longstanding software development operations in Armenia by the end of the 2026 financial year. The company will be undertaking a consultation process with Australian employees in affected roles. The restructuring is anticipated to reduce headcount by around 15% and direct staff salaries by around $9 million. The Armenia reduction is expected to further reduce headcount by ~13% and reduce direct staff salaries by around $3.5 million. After adding back the salaries associated with the Technotia Laboratories team, Praemium's overall annual technology salary budget excluding incentives is expected to reduce on a run rate basis by around $9 million from before the acquisition. Any savings in the 2026 financial year will be offset by redundancy costs, expected to be ~$3.3 million.

Praemium is embracing Technotia Laboratories' advanced scientific and technology capabilities, which will open up new and exciting opportunities for Praemium in automation and as a fintech hub. The company acknowledges the impact on its team, many of whom have been with the company for a significant part of its growth and have provided unwavering support.