Aramex has announced its financial results for three month (Q3) and nine month (YTD) periods ending 30 September 2016. The company’s Q3 revenues increased to AED1,050m, up by 15% compared to AED917m in Q3 2015. Net profits decreased by 3% to AED72.2m, down from AED74.6m in Q3 2015.
Adjusting to include results for the full nine month YTD period, Aramex’s revenues increased to AED3,185m, up by 15% compared to AED2,773m in the first nine months of 2015. Net profits increased by 16% to AED294.8m, up from AED253.7m during the same period last year.
Aramex stated that its strong revenue performance in the third quarter was driven by growth across most of its geographies, with Asia Pacific being a key contributor to this growth. Net profit was impacted by the reduced number of working days due to public holidays, in addition to slower economic activity in the Gulf Cooperation Council region.
Commenting on the results for the third quarter, Hussein Hachem, Aramex CEO said, “Revenue growth was positive, with most geographies and business segments performing strongly. Cross border e-commerce was the key driver of this growth and will continue to drive Aramex’s business strategy and expansion plans forward. Looking ahead, we are pursuing partnerships with innovative logistics and technology companies to further transform Aramex into a leading technology enterprise, grow our e-commerce proposition and sustainably expand the business. While we remain confident in this approach, we are also cautious in our outlook due to global economic uncertainties.”
Aramex stated that it is committed to building on its core asset light model by integrating digital platforms and capabilities to give the business greater speed, improved customer experience and enhanced efficiencies. The company announced that it will continue to develop its international cross-border e-commerce offering and pursue strategic investments in its products and services across growth markets for the remainder of 2016 and into 2017.
The strategic e-commerce alliance with Australia Post announced in June 2016 reflects Aramex’s commitment to develop its international cross-border e-commerce offering. A key part of this strategic alliance is the announcement that Australia Post’s Managing Director and CEO, Ahmed Fahour, will take a position on the board of directors of Aramex. The appointment is subject to Aramex shareholder approval, which will be sought at the next Annual General Meeting in April 2017.
The strategic relationship between Australia Post and Aramex includes a Singapore-based joint venture targeting the global e-commerce market, with a particular focus in Asia.
Source: Aramex and Australia Post