Logistics firm Aramex announced second-quarter revenues of Dh1.148 billion, a 4 per cent increase over the same period last year. Half yearly revenues increased 6 per cent year on year to Dh2.254 billion.
At the same time, second-quarter net profit declined 23 per cent to Dh97 million, due to a one-time fair value adjustment related to the firm’s investment in AMC Logistics joint venture in Egypt in the second quarter of 2016, Aramex said in a press statement.
Excluding that adjustment, the firm said its quarterly net profits would have been up by 15 per cent.
Currency fluctuations, particularly in the Egyptian pound, also affected revenue growth, the firm said.
Aramex CEO Hussein Hachem 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.”
Revenues grew at a healthy rate across Asia and the Asia-Pacific, the US and Africa, the firm said.
Aramex’s Express services recorded double-digit growth in the second quarter and continue to be the main contributor to the company’s financial performance. Cross-border e-commerce in particular was the key driver for revenue growth, especially in Asia-Pacific.
The firm said it will continue to leverage innovative technology in 2017, and remained committed to upgrading business operations and improving last-mile delivery.