Walker, 26, made his first grade debut for the Rabbitohs against the Roosters in round one this year, going on to play seven top grade games so far this year.
Walker’s versatility has seen him play in numerous positions in the South Sydney backline this year including five-eighth, halfback, fullback and wing.
Rabbitohs Coach Michael Maguire is delighted to see Walker extend his time with the Club.
“Cody has shown that hard work and persistence pays off,” Coach Maguire said.
“We have seen him grow with his opportunities in first grade and I believe he has a lot more growth in him as he progresses in his career.
“He’s a very versatile player that has shown he has what it takes to play regular first grade football and we’re all looking forward to continuing to work with him on his game over the next few seasons.”