The Codan Ltd (ASX: CDA) share price is in focus today after the company delivered a 30% jump in annual revenue to $875 million and a 69% rise in net profit after tax to $175.2 million for FY26.
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What did Codan report?
- Revenue up 30% to $874.97 million
- Net profit after tax (NPAT) up 69% to $175.18 million
- EBIT up 67% to $244.08 million
- Fully franked full-year dividend of 48.5 cents per share (up 70% on FY25)
- Net cash position of $35.7 million at 30 June 2026
- Earnings per share up 69% to 96.5 cents
What else do investors need to know?
Codan's Communications business (including DTC and Zetron) reported revenue of $506.2 million, up 22%, with segment profit up 45% and margins beating long-term targets. The order book jumped 50% to $380 million, underpinned by momentum in unmanned radio systems and strong defence demand.
Minelab, the company's Metal Detection division, achieved record results, with revenue rising 42% to $362 million and segment profit up 65%. New product launches, like the flagship GPZ8000 gold detector, helped drive growth, particularly in Africa and the rest of the world.
Codan also completed the acquisition of US-based Adaptive Dynamics after year-end, further strengthening its technical offerings for defence customers. Codan finished FY26 with a solid net cash position and significant undrawn debt facilities, giving the board flexibility for future investment and growth initiatives.
What's next for Codan?
For FY27, Codan is targeting revenue growth of around 20%, supported by high defence spending and continued demand for both unmanned communications systems and advanced gold detectors. A full-year contribution from recently launched Minelab products and new client wins in Communications are expected to underpin momentum.
The company says it will continue investing in people, systems, and new product development, with an eye for further acquisitions aligned with its technology and market strategy. The board is optimistic about ongoing growth opportunities and plans to update investors further at the annual general meeting in October.
Codan share price snapshot
Over the past 12 months, Codan shares have surged 84%, significantly outpacing the S&P/ASX 200 Index (ASX: XJO).
