IP Group FY profits more than double

Intellectual property company IP Group said on Wednesday that full-year profits had more than doubled following solid increases in both its net asset and total portfolio values.

IP Group stated full-year after-tax profits had surged 142% to £449.3m, driven by a "strong performance" across all sectors, while its net asset value had increased 30% to £1.73bn and its total portfolio value grew 27% to £1.5bn. Cash realisations of £213.4m were up 11.7%.

As a result of the solid performance, IP Group recommended a final dividend of 0.72p per share, which, when including the £27.2m of shares bought back by the firm in its buyback programme to date, meant that it had returned £42.8m in total capital to shareholders in 2021.

The FTSE 250-listed firm also highlighted its "sustained investment" in its portfolio, with the group pouring £103.7m into 65 different companies in 2021, up from £67.5m in 2020.

Chief executive Greg Smith said: "2021 was a landmark year for IP Group as we celebrated our 20th anniversary by recording our best set of financial results to date, including record profits, cash realisations, portfolio investment, and a return on NAV of almost half-a-billion pounds.

"Science as a driver for innovation is now widely understood and there is widespread recognition that scientific solutions, and the new technologies they inspire, are needed to address the major challenges facing the world. IP Group's strategy is to increasingly focus on companies tackling those challenges and contribute to a more sustainable, healthier future that is enriched by technological advances."