Alpha Group International (LSE: ALPH), a global provider of financial risk management solutions and banking alternatives, reported a 23% increase in revenue to £135.6 million for the year ended December 31, 2024, according to its annual results released today (Wednesday).
Alpha Group International Reports 23% Revenue Growth in 2024
The FTSE 250 company saw its profit before tax rise 6% to £123.1 million while underlying profit before tax (excluding treasury income and non-recurring items) grew 10% to £47.4 million.
“2024 has seen strong growth across both divisions despite a challenging macroeconomic environment,” said Clive Kahn, who succeeded founder Morgan Tillbrook as CEO on January 1, 2025.
The company's performance was significantly enhanced by interest earned on client balances, which contributed £84.0 million in net treasury income, up 14% from £73.7 million in 2023. Client balances increased 10% to £2.3 billion in the fourth quarter.
Corporate, Private Markets, and Cobase
Alpha's business is divided into three segments: Corporate, Private Markets (formerly “Institutional”), and Cobase, a Dutch treasury technology platform acquired in December 2023.
The Corporate division, which focuses on currency risk management for businesses, saw revenue growth of 21% to £63.8 million, with client numbers increasing 16% to 974. The division's international expansion continued to pay dividends, with overseas offices reporting 44% collective revenue growth.
“The strong foundations of Alpha's model and culture, as well as highly knowledgeable and incentivized management teams based across all our overseas offices, fuel confidence that these offices can, over time, scale to mirror the success of our Corporate London operation,” Kahn stated.
The Private Markets division, which serves private equity, credit, venture capital, and infrastructure clients, grew revenue by 20% to £69.0 million despite subdued deal activity in those sectors. The division's risk management client base expanded by 33% to 311 clients.
Cobase, in its first full year under Alpha's ownership, saw revenue increase 70% to approximately €3 million and client numbers rise 59% to 214.
Dividend and Share Buyback
The company's adjusted net cash position increased by £38.7 million to £217.5 million, reflecting what the company described as a “strong cash generation and debt-free position.”
“The Group's positive trading momentum in H2 2024 has continued into 2025, which combined with the increasing benefits of our investments to date, means we remain confident in the outlook for FY25 and beyond,” said Kahn.
Alpha's board has proposed a final dividend of 14.0 pence per share, bringing the total dividend for 2024 to 18.2 pence, up from 16.0 pence in 2023.
The company also completed one £20 million share buyback program during the year and had executed half of a second £20 million program by year-end.
