It really depends on what they are doing. At this stage, I'd suspect it needs some major rearchitecture, but they accumulated so much tech debt it's difficult to say what next steps could be. As was pointed out by others, starting by introducing some strong governance practices would be a good start.
My department was in a bad single-DB position like this. The only way out was big rewrites, and generally each team had one service with its own DB in the end. Dunno if you'd call that microservices or not.
