Alpha Reports Solid Results For First Half of Fiscal Year

Alpha Reports Solid Results For First Half of Fiscal Year

Alpha Capital Markets or at it is also known ACM Group, reported on the first six months of its fiscal year that end on the 31st of March. The company registered a 123 percent increase in revenues year-on-year with client assets growing 60 percent to about £75 million at the end of the period, increasing £30 million in the first three months of the year.

Despite an expected increase in its cost of sales to £7.1 million, which is a rise of 78 percent year-on-year, revenues growth outpaced at 123 percent, turning the company a net profit of almost £1.8 million.

Commenting to Finance Magnates, the CEO of Alpha, Muhammad Rasoul said: “The second quarter was very challenging from a market making perspective – markets were predominantly rangebound and volatility was low. We have a good balance of fee-based income and risk-based income which helped mitigate the impact for us.”

The company has focused its business on the institutional side and is therefore better positioned to weather the storm in the retail space that impacted retail brokers in the industry in Q1.

“We are working only with professional investors, introducing brokers or small and mid-sized brokers that are looking for liquidity. Our model is to sell B2B instead of going out there and competing with major retail brokers,” the CEO of Alpha explained.

Looking ahead, Alpha is expecting to close the fiscal year on a strong note amid improved market conditions and additional efficiencies in its Chinese business that will take hold in the second half of the company’s fiscal year.

Source: Finance Magnates

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