Aramex, a provider of comprehensive transportation and logistics solutions,
announced its financial results for the first nine months of the year with
net profit up 2% to AED 9,344 million compared to AED 6,338 million for the
same period in 2018.Net profit for the first nine months of the year It
would have grown by 8% had it not been for the negative impact of the
application of IFRS which led to a decrease in net profit by AED 3 21
million.
The results showed, Aramex third-quarter revenue grew by 2% to AED 1,270
million compared to AED 1,239 million in the same period in 2018. Revenues
were adversely affected by the strategic restructuring of
Aramex domestic operations in India and the exchange rate fluctuations
of some currencies. Growth of 5% Despite the increase in the number of
shipments within the international express services during the third quarter
by 13%, revenue growth was less than expected due to lower margins of
e-commerce activities due to pricing pressures and for the first nine months
ended 30h Temper revenue which increased by 3% to 3.782 million dirhams,
compared with 3.661 million during the same period last year
Net profit for the third quarter of 2019 increased by 1% to AED 8,113
million compared to 9,122 million in the same period last year due to lower
profit margins and pricing pressures for delivery services for global
e-commerce activities in addition to the application of the International
Standard for Financial reports No. (16) for leases, which would not have
been the company's net profit during the third quarter has increased by 7%
Bashar Obaid, CEO of Aramex, said: `` The number of e-commerce shipments
handled by Aramex during the third quarter recorded strong growth rates
despite the increasing pressure imposed by this vital sector on the prices
of services provided and based on our expectation that profit margins will
continue to decline during the next quarter. Our efforts to enhance the
efficiency levels of our services and prioritize quality during the process
of delivery of goods and improve costs in all our operations to enhance
levels of flexibility in the performance of the company
Iyad Kamal, Chief Operating Officer, said: “During the third quarter, we
invested in expanding our business and enhancing our operational
capabilities to achieve our ultimate goal of reducing delivery times and
improving our customer experience.
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