Alpha Group Confirms 27% Revenue Jump in 2022
Alpha Group
International (AIM:ALPH), previously known as Alpha FX Group, released its 2022
full-year results on Wednesday, revealing a robust revenue and net income gain compared to the previous year. The Group’s earnings came in at £98.3m, increasing
by 27% on a yearly basis.
Alpha Group Reports Strong
2022 Numbers
According
to the London Stock Exchange’s (LSE) filing made by Alpha Group, the company delivered ‘strong financial performance’ alongside a ‘significant year
of investment’. The profit before tax, including other operating income, was
up 42% from £33.2 million to £47.2 million year-over-year (YoY).
Alpha Group
saw visible growth in both of its principal divisions. FX Risk Management
Risk Management
One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class,
One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class,
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revenue grew 22% to £69.5 million, while Alternative Banking Solutions grew 41%
to £28.8 million. Overall, the net profit for the year came in at £39.05
million, rising by £13 million YoY. This
confirms information that Alpha Group shared with the market in the second half
of January. At that time, in a trading update, it projected that revenue growth
for last year would come in at 27%.
Source: Alpha Group
“We
achieved these results alongside a significant year of investment in our
people, processes, and technologies, with a 67% increase in employee headcount,
taking our team to over 350 people across eight global offices, strengthening
the foundations for future growth,” Morgan Tillbrook, the Alpha Group Founder
and CEO, commented in the financial report.
In
reaction to the 2022 report, Alpha Group shares on the LSE rose 3% during
Wednesday’s opening session to £1850.
Source: Tradingview.com
Alpha Boosts FX Risk
Management
In the FX
Risk Management sector, the company was able to increase the number of its
clients by 19% YoY, from 881 reported in 2021 to 1,047. Additionally, the average
revenue per FX Risk Management client continued to increase.
Continued
growth led the company to boost its headcount from 214 to 357 employees in
2022. The FX Risk Management Front Office grew by 52% YoY, from 67 to 102.
Throughout
the year, the company opened new international offices in Sydney, Milan, Bristol and
Luxembourg, with another expected to open in Madrid as early as Q2 2023.
“In FX
Risk Management meanwhile, the team’s passion and belief in our ‘Selling
Standards’ framework has meant there were often moments in 2022 where revenue
was left on the table, as we doubled down on our risk management principles,
and challenged clients even further on what they need, versus what they want;
an essential business conversation that in times of heightened FX volatility
Volatility
In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders
In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders
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can often be even more challenging,” Tillbrook added.
Alpha Group,
utilizing advanced technology and expertise, offers FX risk management and
alternative banking solutions to institutions and corporates in Canada, Europe,
and the UK. At the end of 2022, the company decided to change its name from
Alpha FX, stating that “the change reflects where we are today as a
business, as well as our ambition to be a leading provider of a growing range
of financial solutions.”
Additionally,
the company has announced the appointment of Tim Powell to its team. Powell serves
as the Chief Financial Officer (CFO) and an Executive Director of the Board.
