Aramex reports revenue of AED 1.35 billion for Q3 2023

In the third quarter of 2023, Aramex maintained its performance with group revenue reaching AED 1.35 billion.

This represents a modest 5 percent year-on-year decline, attributed to currency fluctuations, macroeconomic challenges and subdued global retail activity in certain markets.

The quarter was testament to the company’s enduring resilience, as evidenced by a notable 4 per cent year-on-year increase in gross profit and resilient EBITDA of AED 134 million for Q3 2023. This progress was supported by company proactive measures to drive operational efficiency. and optimize the General and Administrative (GA) expenses of the organic business (excluding MyUS).

The Company reported a net profit of AED 9.6 million in the third quarter of 2023, a notable decrease from the AED 39.6 million recorded in the third quarter of 2022. More than half of the decline in net income can be attributed to interest expenses related to the acquisition of MyUS due to the sharp increase in interest rates since the transaction. Therefore, normalized net income, excluding currency impact and increased financial borrowing expenses, was AED 30.4 million in the third quarter of 2023, a decrease of 23 percent year-on-year.

Othman Aljeda, CEO, Aramexsaying,

“In the face of the current slowdown in global growth, Aramex remains steadfast in its commitment to a strategic framework focused on operational efficiency, high-quality sales and strict cost management. Our focus on cost optimization has been fundamental to maintaining margins stable operating conditions, even amid the challenges posed by currency fluctuations and the interest rate environment.

”As we continue to execute the fourth quarter, historically a stronger quarter marked by increased retail activity during festivals, our primary focus will be on providing outstanding services to our customers. We will continue to improve trade routes, enrich customer experience and strengthen our operational capabilities across all lines of business. “We aim to expand our quality business lines, focusing on B2B, direct brands, SMEs and premium offerings such as same-day and next-day deliveries.”

News source: Emirates News Agency