AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Xenith Ip Group Limited (ASX:XIP) is based out of Sydney and provides a wideranding intellectual property (IP) services to clients worldwide including multinationals, Fortune Global 500 companies, research institutes, domestic and foreign corporations, educational institutions, small and medium enterprises (SMEs) as well as entrepreneurs. It is the holding company for businesses of Shelston, Griffith Hack, and Glasshouse Advisory.
On February 27th, 2019, the company announced its results for the half-year ended December 31st,2018 (1H FY2019), reporting revenues of $ 60.2 million, a decline of 4% on the prior corresponding period (1H FY2018). [optin-monster-shortcode id="swikrbu1d9j9aq0o4cko"]
However, the underlying EBITDA of $ 8.2 million was up 10% on 1H FY2018. The Underlying net profit after tax (NPAT) also improved by 8% to $ 4.3 million as compared to the prior corresponding period.
The net debt (borrowings less cash and cash equivalents) increased by $ 2.07 million (16%) on account of the timing of capital expenditure on the new Shelston IP office fit-out, which was almost offset by a lease incentive receivable from the landlord due in March 2019. Besides, the trade receivables and contract assets were also down 7%, primarily because of the collection of two sizeable aged debtor balances that were due as at June 30th, 2018.
There was also a staggering rise of 107% in other current assets resulting from the $ 2.08 million receivable from the landlord relating to Shelston IP lease settlement.
The non-current assets increased by $ 144,000, with property, plant and equipment rising by $ 2.34 million.
During the half year, the performance of Griffith Hack and Watermark was reasonably good and on target for the year to date. As for the Shelston business, there was a temporary softness in revenue and filings for the first half, but the results have bounced back in January 2019, and the company is aiming and expecting to deliver a strong second half through the entire business.
The company also entered into a Scheme Implementation Deed in November 2018, with QANTM Intellectual Property Ltd (ASX:QIP) to bolster the market presence in Australia where in the industry witnessed sustained growth in patent filings in 1H FY2019 (+3.9% relative to 1H FY2018). Together, they aim to strategise for further expansion in the high-growth Asian markets. Under the scheme, the eligible Xenith shareholders were expected get 1.22 QANTM shares for each Xenith share that they hold.
In September 2018, the Group paid out fully franked dividends totalling $ 3.99 million (4.5 cents per share) for the FY2018 ended June 30TH, 2018. It has also declared a fully franked dividend of 3.25 cents per share to be paid on March 29th, 2019, for the half-year ended December 31st, 2018.
Xenith Ip has a market cap of AUD 134.85 million with ~ 88.72 million outstanding shares. At the close of the market session on February 27th, the XIP stock traded at a sell-off price of AUD 1.500, down 1.3165, indicating an intra-day fall of AUD 0.020. XIP has generated a positive YTD return of 13.43% so far.
Disclaimer
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.
