IPH Ltd. (IPH) Q4 2026 Earnings Report

The call presented more positive operational and financial progress than setbacks: solid cash generation (110% cash conversion), strong Canadian recovery (+11.8% like-for-like EBITDA), improved EPS and higher dividends (+5.5%), effective working capital discipline and successful integration of acquisitions. Headwinds were largely regional and transitory — ANZ and parts of Asia saw weaker filing volumes and reported results were negatively impacted by a stronger Australian dollar and non-cash amortization. Management articulated clear priorities (AI, network integration, efficiency, dividend flexibility) to drive sustainable growth. Overall the positives (cash strength, Canada outperformance, dividend and EPS improvements, AI productivity gains) materially outweigh the regional and FX-driven lowlights.

For FY27 IPH guided to focus on sustainable organic growth through deeper client engagement, expanded services, better cross‑firm referrals and CRM, simplification and scaling of the platform, tighter working‑capital and cost discipline, and selective embedding of AI (a pilot showed a c.75% efficiency gain) and AI agents into workflows; the board set a new dividend payout range of 70–90% of statutory EPSA, with a leverage ceiling of up to 2.0x (net debt was down 9.4% or AUD39.0m to 1.8x at 30 June) and available undrawn facilities of AUD104.7m. These priorities build on FY26 metrics: revenue AUD712.8m (+0.4%), underlying EBITDA AUD205.9m (like‑for‑like +2.9%), underlying NPATA AUD122.7m (+1.7%), underlying basic EPSA +4.2%, statutory NPAT +16.9%, statutory EPS +19.7%, total dividends 38.5c (+5.5%) with a final 19.5c (30% franked), cash conversion 110% and free cash flow +18.3%, low capex AUD2.9m, while segment trends show Canada like‑for‑like EBITDA +11.8% (revenue +5.8%), ANZ like‑for‑like revenue -4.2%/EBITDA -7.2%, and Asia like‑for‑like revenue +2.6%/EBITDA -1.3%.