Logistics and transportation global giant, Aramex, has announced its financial results for the second quarter and first half of 2017.
Aramex has seen a 4% growth in revenueto AED1.1bn for its second quarter, compared to AED1.1bn in Q2 2016.
Net profits for Q2 2017 decreased by 23% to AED97mn, compared to AED125.7mn in the corresponding period of the previous year. The Q2 2017 results were negatively impacted by the one-time fair value adjustment related to Aramexs investment in AMC Logistics joint venture in Egypt in Q2 2016. Excluding this adjustment, Q2 2017 net profits would have grown by 15%.
The 2017 half year revenues increased to AED2.2bn, up by 6%, compared to AED2.1bn in the first half of 2016. Net profits in the same period of 2017 decreased to AED188.7mn, down from AED222.5mn in the first half of 2016, a year-on-year decrease of 15%.
Slow performance in GCC for Q2 2017 was attributed to the holiday season and reduced number of working days, as well as the ongoing economic uncertainty. However, Aramex revenues grew at a healthy rate across Asia and the Asia-Pacific, the US, and Africa.
Hussein Hachem, CEO, Aramex, 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.