Tuesday 20 August 2019 3:17 pm

Travelex-owner Finablr profit rise bolsters shares above float levels

Travelex-owner Finablr enjoyed a nearly 10 per cent rise in half-year profits, in its second financial report since floating on the London stock exchange earlier this year.

Shares in the United Arab Emirates-based payment solutions firm jumped as much as nine per cent this morning, above its original initial public offering price of 175p in May, after it revealed profit was at the upper end of its predictions.

Read more: Travelex owner Finablr launches London IPO at reduced price in tough market conditions

Finablr reported adjusted profit of $742m (£613.5m) for the first six months of the year, a 9.1 per cent rise from $680.5m this time last year.

The firm owns UAE Exchange, Travelex and Xpress Money, and is chaired by 76-year-old Indian billionaire Bavaguthu Raghuram Shetty, who owns all of the apartments on the 100th and 140th floors of the Burj Khalifa, the world’s tallest building.

Chief executive Promoth Manghat said: “Finablr delivered strong results at the upper end of our guidance, with growth in each of our three segments and across our channels and products.”

Adjusted income across its business-to-business and payment technology arm rose 20.5 per cent to $161m in the first half. 

Read more: Travelex-owner Finablr to raise $200m in London listing

Manghat said the company spent $30m on two acquisitions in the first half of the year, buying Saudi digital payment firm BayanPay and Indian software developer Product Engineering-as-a-Service.

The news has bolstered Finablr’s shares after a disappointing float earlier this year, in which they fell well below their original asking price. In June they sank as low as 140p, but have since rallied.

Main image: Getty