The Codan Ltd (ASX: CDA) share price is in focus today after the technology company reported a 22% increase in group revenue to $674.2 million and a 27% rise in net profit after tax to $103.5 million for FY25.
What did Codan report?
- Revenue grew 22% to $674.2 million, supported by strong organic growth and the Kägwerks acquisition
- Net profit after tax (NPAT) increased 27% to $103.5 million
- EBIT rose 28% to $146.0 million
- EBITDA up 25% to $183.7 million
- Fully franked annual dividend of 28.5 cents per share, up 27%
- Group NPAT margin improved to 15.3% of sales
What else happened in FY25?
Codan's Communications division delivered 26% revenue growth, benefiting from robust DTC performance and the Kägwerks acquisition. Defence customers made up 38% of segment revenue, and the Communications order book expanded to $253 million.
Minelab, Codan's metal detection segment, grew revenue by 16%, with a strong performance in Africa and improved segment profit margins. The company invested roughly $69 million in engineering, focusing 74% of this spend on Communications to drive future growth.
What's next for Codan?
Looking ahead to FY26, Codan expects Communications revenue to grow 15–20%, underpinned by increased defence spending, further gains in unmanned systems, and the first full-year contribution from Kägwerks. Four new Minelab product releases are scheduled, and the company sees favourable market conditions, particularly in West Africa.
The board plans to provide further updates at the Annual General Meeting in October, with Codan aiming to deliver sustained growth and expand its global technology leadership.
Codan share price snapshot
Over the past 12 months, the Codan shares are up 104%, far outpacing the S&P/ASX 200 Index (ASX: XJO), which has increased 12% over the same timeframe.
