Why is Data3 stock surging today?

Data#3 stock experienced a significant surge of 14.7% to reach a record high of AUD 10.79 on Monday. This increase came after the company released impressive full-year FY2026 results, showcasing remarkable performance. Revenue growth for the year was robust, climbing by 12.7% to reach AUD 3.4 billion. Additionally, the company's earnings before interest, taxes, depreciation, and amortization (EBIT) expanded by 16.6% to AUD 69.8 million, while net profit before tax increased by 14.0% to AUD 78.8 million.

These impressive figures highlighted the operating leverage the management team had been anticipating. The Basic Earnings Per Share (EPS) also rose by 13% year-on-year to AUD 0.3516. In response to the strong performance, the company declared a final fully franked dividend of 18.25 cents per share, resulting in total FY2026 dividends reaching 31.75 cents, which represented a 13.0% increase.

Data#3 attributed the earnings growth to strong demand across various sectors, including infrastructure, artificial intelligence, and cybersecurity. The broader Australian market provided a modestly supportive environment, with the S&P/ASX 200 gaining around 0.6%.