Underwear brand Step One has confirmed that non-executive director Richard Dennis has tendered his resignation from the board, effective October 16, due to personal reasons.
Dennis joined the board at the time of the company's listing on the ASX in October 2021 and chaired the Audit & Risk Committee. The board thanked Dennis for his commitment and wished him well for the future, adding that his expertise and experience were highly valued.
The corporate advisor has been holding board seats for the last 11 years, including on the Cettire board between October 2020 and March 2026. The companies he has advised since scaling a corporate career with accounting firm EY range from property management, health, apparel, motorcycles and energy.
From October 16, 2026, Catherine Thompson will chair the Audit & Risk Committee on an interim basis pending the appointment of a new independent non-executive director to chair the Committee.
"On behalf of the board, I would like to thank Rick for his valuable contribution to Step One and for his leadership of the Audit & Risk Committee,” chair David Gallop said.
Dennis’ exit follows a harsh year for Step One, with sales falling by 26.7 per cent to $63.7 million in FY26, alongside a net loss of $7.4 million following a $17.4 million profit in FY25
Step One founder and CEO, Greg Taylor, said FY26 was a challenging year, adding that the financial result was disappointing.
“Faced with subdued consumer spending across our markets, we made the deliberate decision to step back from the deep discounting that had supported sales in recent years, rebuild the brand's quality credentials, and address legacy inventory.
“We believe these were necessary steps for the long-term health of the business, but they came at a near-term cost to revenue and earnings.”
Taylor added that the reset is laying the foundation for Step One’s ambition to become a bigger part of our customers' wardrobe. During FY26, Step One had broadened our product range, grew its indirect channel revenue by more than 60 per cent, and grew our customer database to more than two million for the first time, all while keeping the balance sheet debt-free.
Step One held $25.8 million in cash and financial assets as of June 30, 2026.
"Setting the inventory provision aside, our margins held firm, with adjusted gross margin of 75.9 per cent, broadly in line with last year and strong by industry standards,” Taylor said. “The United Kingdom increased its share of group revenue, supported by continued investment in localised content and indirect channels.
“We launched six new products across adjacent categories, while repeat purchase rates softened as promotional activity was reduced. These are the building blocks of a more diversified and resilient business.
“We are making progress against the reset plan, but it will take more time. We will continue to take a disciplined approach to clearing the remaining aged inventory. We enter FY27 debt-free with a customer database of more than two million, providing a strong platform from which to build.”