Euromoney Institutional Investor shares slumped in late morning trading after the publisher of business to business (B2B) magazines, journals, data products, and events revealed that the first half of this year remained "challenging."

The Euromoney Institutional Investor stock price fell to 1,126.00p, by over 1%, after the Daily Mail & General Trust (DMGT) owned group revealed that its main subscriber base- financial institutions- were cutting costs.

Overall, Euromoney Institutional Investor posted a 5% increase in revenues to £195.8m.

"Trading conditions have remained challenging, particularly in the investment banking sector where both cyclical and structural pressures have caused sharp falls in fixed income trading revenues for leading global financial institutions, causing them to continue to cut costs and exit capital intensive businesses," said Euromoney Institutional Investor in a statement.

"In contrast, the group's businesses in the asset management industry have remained resilient and are starting to benefit from increased budgets for research and information services."

Meanwhile, the group also revealed that the strength of sterling versus the dollar began to have a negative impact on profit towards the end of the first half of this year.

Euromoney Institutional Investor generates two-thirds of its revenue outside the UK and DMGT owns a 68% stake in the group.

"The recent strength of sterling against the US dollar started to have a negative impact on the translation of overseas profits towards the end of the first half and is expected to have a more significant impact in the second half," said the group in its interim results statement.

"The average sterling-US dollar rate for the six months to March 31 was $1.64 (2013: $1.59). This reduced headline revenue growth rates for the period by approximately two percentage points and adjusted profit before tax by approximately £1.5m.

"The recent US dollar rate of nearly $1.70 compares with an average of $1.53 for the second half of financial year 2013, and each one cent variation from last year's rate will reduce profits on translation by approximately £0.6m on an annualised basis."