Personal Group Holdings reported a drop in first half profit as the employee benefits provider heavily invested in a restructuring programme.
Pre-tax profit for the six months to the end of June came to £3.7m, down from £4.9m, reflecting the costs of overhaul and higher claims.
The company has been investing in improving its technology and increasing its sales capacity, which led to higher overheads.
Revenue increased by 2.1% to £13.7m as the firm started to see the green shoots from its investment programme.
Chief Executive Officer Mark Scanlon said the expansion was starting to pay off but the company would not realise the full-benefits until next year.
"It will take 12 months to feed through because of the upfront costs at the beginning," he said in an interview with Sharecast/ Digital Look.
Also set to provide a boost to organic growth over coming months is a contract signed with Network Rail in May. It marks one of the largest tender wins in the group's history.
"The pipeline remains very strong," Scanlon added.
"As the benefits of the investment programme and the Network Rail contract come on, we will be in full force in about a year."
The group paid a dividend of 9.3p during the period, a 4.5% increase on the prior year.
Looking ahead, Scanlon said the company was close to announcing an acquisition to complement the existing business.
African low-cost airline Fastjet booked a wider interim loss after start-up losses associated with launching Fastjet Tanzania, but said it is confident in the potential of its long-term strategy.
The London-listed group reported an operating loss before exceptionals of US$24.9m, including $13.3m of trading losses in the Tanzanian operation, in the six months ended June 30th compared to a loss of $2.1m a year earlier.
Its Tanzanian operation reported an earnings before interest and tax (EBIT) loss of $9.1m in the first quarter and $4.2m in the second quarter, a 54% reduction quarter on quarter.
"These interim results include start-up losses associated with launching Fastjet Tanzania. Of particular note was that losses more than halved in Q2 compared to Q1. Our performance is expected to considerably improve in the second half of 2013," the group said in a trading update.
Fastjet Tanzania achieved $81 revenue per passenger in June, almost double from January's rate of $46.
"As our planned network expansion progresses and scale covers fixed operating costs, we fully expect fastjet Tanzania to become profitable," it said.
Last week the airline was forced to postpone its inaugural international flight from Dar es Salaam in Tanzania to Johannesburg due to "unexpected administrative delays".
"Once Tanzania is fully established and profitable we will turn our attention again to the South African market. Regional routes from South Africa to Sub-Saharan destinations lack effective competition and are both under-served and overpriced and ready for an alternative," it explained.
"Based on our success in Tanzania to date, fastjet is confident in the potential of its long-term strategy to become the pan-African low cost airline of choice."