ADELAIDE, Australia — Shares of Australian technology company Codan soared nearly 24% to a record high on Tuesday after the company sharply raised its profit outlook, citing exceptionally strong demand for its communications equipment from conflict regions.

Codan stock closed at 64.43 Australian dollars, up 12.44 Australian dollars, or 23.93%, making it the best performer on the benchmark S&P/ASX 200 index. The shares had closed at 51.99 Australian dollars on Monday.

The rally lifted the Adelaide-based company's market value to about 11.7 billion Australian dollars ($8.2 billion), based on Tuesday's closing price, cementing its position as the largest company in the ASX technology sector. Earlier in the session, Codan overtook logistics software giant WiseTech Global for that title.

Profit set to more than double

In a trading update released before the market opened, Codan said it now expects group net profit after tax of at least 160 million Australian dollars for the first half of fiscal 2027, the six months ending in December. That would be more than double the 71.2 million Australian dollars it reported for the same period a year earlier, subject to final product mix and shipments.

The first-half figure alone would equal about 91% of the 175.2 million Australian dollars in net profit the company earned for the entire fiscal year that ended in June.

The upgrade was driven by Codan's communications business, which supplies equipment to defense, military and public-safety customers. The company now expects first-half........

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