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Highlights

  • Revenue steady at £50.3 million, with 6% year-on-year growth in H2 following a 4% decline in H1.

  • International expansion gains momentum, with Australia and Dubai operations fully operational.

  • EBITDA margin of 8% exceeds expectations, despite planned investment in business transformation.

Argentex Group PLC (LSE:AGFX), a specialist in currency risk management and alternative banking, has announced its final results for the year ending 31 December 2024. The company maintained revenue at £50.3 million, supported by a 9% increase in client numbers, though this was offset by a 9% decline in average revenue per client due to market volatility and product mix.

Financial Performance

Argentex saw improving trading momentum in H2 2024, with revenue growth of 6% YoY, compared to a 4% decline in H1. Despite strategic investments affecting short-term profitability, the company’s EBITDA margin of 8% exceeded expectations.

However, the operating loss stood at £0.2 million, compared to an £8.1 million profit in FY23, reflecting the planned investment in business transformation. The company remains debt-free with £18.4 million in net cash, strengthening its ability to invest in growth initiatives.

Given the investment phase, no dividend was declared for FY24, following 0.75p per share in the previous year.

Operational Developments

Argentex expanded its client base by 9% to 2,113, with international operations in Australia and Dubai now fully operational. The company is set to launch its Argentex Global Platform in summer 2025, integrating new and existing services to enhance revenue diversification.

Board and Leadership Changes

  • Digby Jones will step down as a Non-Executive Director at the AGM in June.

  • Jeff Parker has joined the Board as a Non-Executive Director from 1 April 2025.

The company has implemented a long-term incentive plan (LTIP) for executives and a company share option plan (CSOP) for select employees to align management incentives with shareholder interests.

Outlook and Growth Strategy

Argentex remains optimistic about its growth trajectory, with strong momentum from H2 2024 continuing into FY25. The launch of digital accounts and payments in summer 2025 is expected to support a return to revenue growth.

Looking ahead, the company aims for 15%–20% revenue growth in FY26, with EBITDA margins in the mid-teens, driven by expansion into new products and services.