WiseTech shares crash as founder Richard White fails to front shareholders

Embattled former chief executive and major shareholder of Australian tech giant WiseTech Richard White has failed to front shareholders at the company’s annual general meeting following allegations about his personal life. Instead, the tech billionaire appeared at Friday’s meeting via video, apologising for his alleged misconduct. “I deeply regret the impact this recent media has had on the people around me – my family, friends, loved ones, the WiseTech team, and you, our shareholders. I am truly sorry for how this has affected each of you,” Mr White told shareholders in a video. “While this time has been difficult and challenging, I want to assure you that this has not diminished my passion and dedication for WiseTech and what this business will achieve in the long term. “WiseTech is an amazing company and the team at WiseTech is truly incredible.” Mr White was involved in a federal court case with a former lover that was settled out of court, and other women came forward in media reports claiming that he bought them houses and invested in their businesses in exchange for sex. Mr White stepped away as WiseTech chief executive on on October 24 following these allegations but still remains a large shareholder in the company. WiseTech Global lowered its full-year guidance as company chair Richard Dammery told shareholders that the diversion of Mr White’s attention “away from product development at a critical juncture” impacted the timing of product releases. Mr Dammery came out in defence of the former chairman in his address to shareholders at the start of the meeting. “Turning to events of the last month, for three solid weeks, intense scrutiny was brought to certain aspects of Richard White’s private life. Many of the allegations or assertions were, and remain, untested and unproven, and I note that because some matters were before the courts, both the board and Richard White were constrained to comments we could make,” he said. “As a board, we recognise and acknowledge that every founder’s personal identity is deeply intertwined with that of the company they build, particularly after a 30-year journey in WiseTech’s case.” Mr Dammery said the board acknowledged the unwanted media attention impacted the company and its reputation but emphasised the importance of looking out for the former chief executive. “The board was deeply concerned about Richard’s wellbeing and that of his family. We sought to ensure Richard was supported, and I hope he feels that he was,” he said. “Richard has a long-serving and loyal team at WiseTech, and I know they would have expected no less from the board. “I want to stress that, despite some media reports in recent weeks, Richard White and the board have never been in conflict or at odds. Richard and I spoke regularly, as you would expect, and he was fully constructive and open at all times.” Shares in WiseTech crashed 20 per cent during the meeting as the business now anticipates downgraded FY 2025 revenue of $1200m to $1300m, which represents revenue growth of 15 to 25 per cent compared with last year. WiseTech Global’s EBITDA is now expected to be $600m to $660m. This represents EBITDA growth of 21 to 33 per cent. At the midpoint of these guidance ranges, this is a downgrade of 5.7 and 7.4 per cent, respectively.