(Alliance News) - Ten Lifestyle Group PLC on Monday bemoaned fluctuating foreign exchange rates, as pretax profit fell in the first half of the year.

For the six months ended February 29, the London-based lifestyle and travel services company reported pretax profit of GBP300,000, down 25% from GBP400,000 a year prior.

This decline came in part as net finance expenses increased to GBP400,000 from GBP100,000 a year prior, due to interest on an additional GBP1.1 million of loan notes, and foreign exchange differences of GBP200,000.

Revenue, meanwhile, rose 3% to GBP33.3 million from GBP32.4 million. Net revenue, which is Ten Lifestyle's key revenue measure, was GBP30.9 million, unchanged from a year prior.

Corporate revenue fell 1% to GBP27.1 million from GBP27.5 million, thanks to a fluctuation in foreign exchange rates, while supplier revenue rose 15% to GBP3.8 million from GBP3.3 million the previous year.

Looking ahead, Ten Lifestyle expects contracts developments at the beginning of the second half to underpin revenue growth in the remainder of the year and into 2025.

"We have continued to build on the step change in net revenue and profitability achieved in FY 2023. This has been achieved whilst maintaining a net cash position, improving service levels, enhancing our technology platform and winning new corporate clients, underpinning expected revenue growth and improved adjusted [earnings before interest, tax, depreciation and amortisation] profitability in the remainder of the year and into 2025," said Chief Executive Officer Alex Cheatle.

Ten Lifestyle Group shares were trading 7.1% lower at 65.00 pence each in London on Monday morning.

By Holly Beveridge, Alliance News reporter

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