OFX Group (ASX:OFX) has announced its half-year financial results for the period ended Sept. 30.
The group reported a stable fee and trading income of $114.5 million, comparable to the previous corresponding period, amidst challenging macroeconomic conditions.
Net operating income decreased 3.5% to $111.2 million due to subdued business confidence and low consumer confidence affecting transaction volumes.
Despite a challenging environment, the corporate segment saw a growth of 3.5%, driven by significant growth in Australia, the US, and Europe.
Revenue for the enterprise segment increased 6%, sustaining a robust prospect pipeline.
Meanwhile, the consumer segment experienced a minor decline in revenue by 3.6% on lower transaction volumes but showed improvement compared to the latter half of 2024.
The introduction of the new client platform in June for Australian corporate clients revealed promising early results.
Corporate revenue increased by 26.6% year-on-year, highlighting OFX's innovation in product offerings.
OFX's CEO and Managing Director, Skander Malcolm, commented on the challenging macroeconomic environment.
"The first half was impacted by tough macroeconomic conditions as shifts in the interest rate cycle happened later than we expected," he said, noting the impact on corporate confidence and transaction values.
The outlook for OFX predicts a stronger second half, supported by improving market conditions and client activities.
The company has dedicated an additional $1 million for the NCP rollout in Canada and the UK, emphasising its commitment to achieving long-term growth targets.