Record growth continues at Aramex
International express and logistics firm Aramex has continued delivering record growth, with 10% year-on-year revenue growth in 2014.
The latest results from the Jordan-based, Dubai-listed company show revenue grew to AED 3.65bn in the full year.
Net profits grew 15% compared to the year before, to AED 318.4m.
The company said it’s year’s performance was boosted by a “robust” fourth quarter when revenue was up 13% year-on-year, to AED 959m, and net profits rose 17% compared to 2013’s final quarter, to AED 76.4m.
Aramex said the year capped off a decade of record growth.
The company has benefited from the soaring popularity of e-commerce within emerging economies, and its acquisition trial within emerging regions like Africa and Asia.
The year saw a number of franchise agreements, joint ventures and acquisitions including the joint venture with InPost, acquisition of Mail Call Couriers, Leo Global Logistics and franchise agreements with PostNet South Africa.
“Solid”
Hussein Hachem, the Aramex chief executive, said: “Aramex has had another very strong set of results in 2014. Our performance was driven by solid revenue growth primarily in international and domestic express, as well as the continued expansion of our innovative e-commerce platform across key growth markets.
“Aramex also achieved solid growth across its geographies, with the Gulf Cooperation Council [countries] remaining the largest contributor to revenues in 2014,” added Hachem.
Aramex said its international express business achieved 18% growth in revenues in the fourth quarter, to AED 335m, thanks to e-commerce growth in its core markets, along with express growth in Europe and the United States.
The company’s domestic express division – which provides in-country services – saw revenues growing 26% year-on-year to AED 203m in the fourth quarter. Along with increased demand for domestic services from businesses and individuals, the company acquired Australian courier firm Mail Call Couriers to boost the division’s numbers.
Aramex also saw double-digit revenue and profit growth in its logistics and supply chain business, along with slight growth in its freight business in the fourth quarter.
Looking ahead, the company is looking to continue its acquisition trail when suitable targets are found.
Hachem said he was “very confident” of extending the growth momentum into 2015.
“Our asset light model will remain a key factor for Aramex’s business expansion supported by our strategic investments in innovative and transformational technologies to enhance customer experience and improve our operational efficiencies,” he said. “Furthermore our aggressive acquisition strategy will set the pace for our growth in 2015 supporting the expansion of global connectivity by deepening trade links between high-growth markets.”
