Aramex reports “strong” Q2 performance
Aramex has reported that its revenues for the second quarter (Q2) of 2017 were up 4% to AED 1,148m. Net profits dropped by 23% to AED 97m, but Aramex said this was due to currency fluctuations and a one-time fair value adjustment related to the company’s investment in AMC Logistics joint venture in Egypt in Q2 2016.
“Excluding this adjustment,” said Aramex, ” Q2 2017 Net Profits would have grown by 15%.”
Revenues for the half year were up 6% to AED 2,254m and net profits were down 15% to AED 188.7m.
Commenting on the results, Hussein Hachem, Aramex CEO said: “Despite the ongoing global and regional economic uncertainty, we delivered strong results in Q2 2017. Our asset-light business model and use of innovative technologies to upgrade our operations enable us to successfully manage capacity through a variable cost model, both regionally and globally and maintain our position as the disruptive logistics player. Looking towards the second half of 2017, we are excited about our future prospects for growth, and will be actively identifying acquisitions and strategic partnerships to expand our global reach.”
Aramex said that its Express services recorded double-digit growth in Q2 2017 and continue to be the main contributor to the company’s financial performance.
The company added: “Cross-border e-commerce in particular was the key driver for revenue growth especially in Asia-Pacific where customer demand for package delivery services across the region continues to rise.”