LONDON (ShareCast) - (Sharecast News) - Alpha FX shares stumbled despite the corporate foreign exchange services provider's revenues and profits steamed ahead in the first half.
The AIM-listed group saw revenues shoot up 55% to £9.7m in the six months ended 30 June, pushing operating profits up 60% to £3.9m. Basic earnings per share rose 14% to 9.8p.

Alpha said its revenue growth was spearheaded by more client business secured in its core UK market alongside increased traction from international clients and justified its investment decisions of a year earlier.

Underlying operating profit margins, however, fell to 42% from 50% as Alpha upped staff numbers from 51 to 61 following the launch of its institutional division in March.

Chief executive Morgan Tillbrook said revenue growth in the half was the justification of the investment decisions made in the prior financial year, he said, summing up the first half as have seen "considerable progress across all facets of the business".

Investment in the first-half on headcount, new income streams and technology, as well as obtaining regulatory approvals to "future proof the business and ensure we have an open runway to deliver compelling new innovations" has reduced profit margin for the period, but Tillbrook said Alpha was already seeing a positive impact from these investments and the group "will look to invest further where the opportunity exists to deliver long-term and sustained shareholder value".

Looking forward, Alpha said that trading in the second half had been positive and that it remains "highly confident" of delivering a full-year outcome in line with expectations.

As of 0830 BST, Alpha shares had slumped 7.04% to 502p.

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