Codan stock raises its FY27 outlook on unmanned demand

Published on 10/08/2026 at 05:13 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Codan stock guides to H1 FY27 communications revenue of AUD 400 million to AUD 410 million on September 29. H1 net profit guidance is at least AUD 160 million.

Codan, AU000000CDA3, Illustration mit AI erstellt.

Codan stock was trading at AUD 64.67 on the ASX on October 8, 2026, at 1:52 p.m. AEDT, down 1.19 percent from the prior close. The company raised its fiscal 2027 outlook after demand for unmanned communications systems lifted its first-half expectations.

Revenue guidance moves higher

According to Kapitales Research on September 29, 2026, Codan expects H1 FY27 Communications revenue of AUD 400 million to AUD 410 million, compared with AUD 221.8 million in the prior corresponding period. The company also raised its FY27 Communications revenue growth target to 30%-40% from 20%.

That guidance puts the communications division at the center of the investment case. The same update said conflict-region customers could provide half of first-half Communications revenue, compared with 20% in the prior corresponding period, while supply-chain execution remains a key operating issue.

Profit outlook reinforces operating leverage

Codan's H1 FY27 net profit after tax guidance is at least AUD 160 million, versus AUD 71.2 million in the first half of FY26, according to Kapitales Research. The comparison shows why margin performance matters as much as unit demand for the next reporting period.

Morningstar lifted its fair value estimate by 13 percent to AUD 31 on October 2, 2026, but warned that current drone communications demand may not persist at the same level, according to Morningstar. The counter-factor is material because the market price is already above that valuation measure.

Stock remains below yearly high

Codan stock traded between an ASX 52-week low of AUD 25.18 and a high of AUD 70.14, with a market capitalization of AUD 11.8 billion and volume of 211,012 shares on October 8, 2026. The price therefore remains below its yearly high even as the FY27 outlook points to faster communications growth.

Codan's annual general meeting is scheduled for October 20, 2026, according to FinScry. That meeting is the next dated checkpoint for the revenue and profit outlook.