IPH leads ASX 200 losses after flagging drop in US patent filings
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The news: Patent and trademark firm IPH was the worst performer on the ASX 200 in morning trade after chief executive Andrew Blattman warned of a decline in US market patent filings.
The numbers: IPH shares were down 18.6% to $4.55 at 11am AEST.
The company reported $68.8 million in statutory net profit after tax for the year, marking a 13.2% rise on FY24. Revenue was up 16.5% year on year to $710.3 million.
However, on a like-for-like basis, adjusting for foreign exchange movements, revenue was flat year on year, while underlying earnings fell 3.9%.
The context: Blattman said that revenue increased in Australia and New Zealand "despite the decline in market patent filings." He also said that IPH is "disproportionately impacted" by its larger exposure to US patent filings, which declined by 7.9% compared to an overall market fall of 1.7% in FY25.
However, Blattman noted that IPH's market share among higher-value international filers remains "relatively stable", while in-bound filings from China increased by 18% compared to the prior year.
What they said: "Despite short-term economic disruptions, the medium-term fundamentals for IP remain supportive for growth," said Blattman.
"Companies' intellectual property remains one of their most valuable assets and that requires protection across global markets."
The source: ASX
