AI infrastructure deals drove the week’s biggest technology share moves, led by X2M’s 350% surge and fresh data-centre contracts for DXN. Strong company results were mixed with investor reactions, as profitable growth lifted several stocks while losses, legal issues and weak outlooks punished others.
- X2M jumped 350% after signing a contract worth more than $250 million for a Queensland GPU data centre.
- Articore rose 51.79% after returning to a full-year EBIT profit and entering India through an acquisition.
- Nuix gained 46.67% as Nuix Neo contract value rose 179% and core EBITDA increased 60.4%.
- DXN added 34.55% after winning a $12.2 million contract for a 2MW AI computing facility.
- SiteMinder fell 17.46% despite strong growth, showing that good results must still meet investor expectations.
AI infrastructure produced the week’s largest share moves. X2M Connect (ASX:X2M) soared 350.00% after signing its first binding Australian GPU data-centre contract, worth more than $250 million over three to five years. Investors paid for the size of the deal and the company’s stated pipeline of about 150 megawatts in Queensland. The main risk is delivery: X2M must design, build, commission and manage the site before that contract can produce the expected benefits.
Articore Group (ASX:ATG) rose 51.79% after reporting a $10.3 million EBIT profit. This was its first full-year profit since listing outside the pandemic period. Nuix (ASX:NXL) gained 46.67% as Nuix Neo contract value climbed 179% to $78.5 million. Its core EBITDA also rose 60.4%. Both companies gave investors a clearer profit story, although Articore’s marketplace revenue still fell 6.5% and Nuix faces an appeal in its ASIC case.
Data centres attract fresh capital
DXN (ASX:DXN) added 34.55% after securing a $12.2 million contract for a 2MW modular AI computing facility. The project is targeted for early 2027 and lifts DXN’s AI high-performance computing order book to about $21 million. The stock opened sharply higher, but much of that move faded after reopening. That suggests early buyers did not keep pushing the price at the same pace.
NEXTDC (ASX:NXT) reported an $82.1 million statutory profit, 740MW of contracted utilisation and $3.4 billion of capital spending. Its first international data centre, in Kuala Lumpur, is part of the expansion plan. Pro forma liquidity rose to $8.7 billion, giving the company more money for construction. The result also included a $128.8 million fair-value gain after an accounting policy change, so not all of the profit came from day-to-day operations.
Across the sector, Data#3 (ASX:DTL) rose 18.60% after sales reached $3.4 billion and profit rose 13.1%. Dicker Data (ASX:DDR) gained 22.40% after first-half profit increased 54.1%. These businesses benefit from demand for AI equipment, cloud services and cyber security. Their results offer more evidence of spending on computing systems, rather than just plans for future projects.
Growth did not guarantee a higher share price
SiteMinder (ASX:SDR) fell 17.46% despite 22% revenue growth, a 96% rise in adjusted EBITDA and a 24.1% increase in annual recurring revenue. Investors may have wanted stronger near-term profit delivery before supporting the shares. Veris (ASX:VRS) dropped 14.00% as statutory profit fell 67% to $639,000. PEXA Group (ASX:PXA) lost 17.53% while investors weighed a proposed 20% fee cut in a regulatory review.
Several smaller technology companies improved their finances or won new work. Camplify (ASX:CHL) rose 33.33% after cutting its loss by 95% and recording a second-half profit. Credit Clear (ASX:CCR) gained 30.77% after revenue rose 28%, although ACCC court proceedings remain a serious issue. Its shares kept most of their gain after reopening, unlike some other gap-up stocks.
AI claims meet real costs
Weebit Nano (ASX:WBT) increased revenue to $15.3 million after licensing wins and product tape-outs, but lost $54.9 million while spending heavily on research and expansion. DroneShield (ASX:DRO) grew half-year revenue 74% to $125.8 million, yet posted a $32.2 million loss after tax. Nanoveu (ASX:NVU) advanced a 16-nanometre chip into fabrication, but revenue fell 98% to just $7,000. These results show why investors must separate a technology milestone from sales and cash generation.
Bottom Line?
The next test will be delivery. X2M and DXN need to turn their newly announced data-centre contracts into operating facilities, while NEXTDC continues its $3.4 billion expansion and Kuala Lumpur opening. Software companies will need to convert FY26 revenue growth into stronger margins during FY27. Investors will also watch PEXA’s fee review, Credit Clear’s ACCC case and Nuix’s pending appeal.
Questions in the middle?
- Can X2M and DXN deliver their AI data-centre projects on time and within the stated cost ranges?
- Will SiteMinder’s FY27 margin target and ARR growth be enough to rebuild investor confidence after the share-price fall?
- How will PEXA respond if the proposed 20% fee reduction becomes policy?