Revenue rises for Alpha Group, statutory profit hit by M&A costs

(Sharecast News) - Alpha Group International reported strong revenue growth in the first half of 2025 on Tuesday, underpinned by a sharp increase in corporate division sales, although statutory profit before tax was hit by charges linked to share-based payments and M&A costs. Group revenue rose 34% year-on-year to £86.2m in the six months to 30 June, with corporate division revenues up 68% to £50.1m

Private markets revenues edged 2% higher to £34.1m, while Cobase, its treasury management platform, saw a 63% increase to £2.1m.

Total income increased 17% to £125.4m.

Underlying profit before tax advanced 25% to £27.9m, though the margin narrowed to 32% from 35%.

On a statutory basis, profit before tax fell 20% to £48.5m, reflecting an £11.9m non-cash, share-based payment charge and £1.7m in M&A costs.

Basic underlying earnings per share climbed 34% to 49.7p, supported by a strong cash position, with adjusted net cash of £234.5m at the end of June.

Client growth was also strong, with corporate FX risk management clients rising 9% to 1,029 and private markets FX risk management clients up 23% to 332.

Private markets account numbers increased 6% to 7,431, and Cobase clients jumped 45% to 245.

The FTSE 250 group also expanded its front-office headcount by 32% to 207 and opened a new corporate office in Austria.

Alpha also noted its recommended all-cash takeover by Corpay, expected to complete in the fourth quarter of 2025 subject to regulatory approvals.

"Total revenues in the first half of the year continued to show strong growth rates despite ongoing macroeconomic uncertainty," said chief executive Clive Kahn.

"Our risk management businesses benefited from increased market volatility as well as benefiting from significant prior-year investments, robust growth strategies, and market-leading teams.

"The recommended acquisition of Alpha by Corpay, expected to complete in the fourth quarter of 2025, subject to regulatory approvals, recognises the value of Alpha's performance, people and potential.

"We now remain focused on capitalising on our growth opportunities in the second half."

At 0814 BST, shares in Alpha Group International were up 0.08% at 4,178.36p.

Reporting by Josh White for Sharecast.com.