Record profitability as restructuring efforts pay off and digitisation strategy successfully implemented
Aramex recently announced its financial results for the Fourth Quarter and Full Year ending 31 December 2018.
Aramex’s Q4-2018 Revenue grew by 8% to AED 1,425mn, compared to AED 1,324mn in Q4 2017. Q4 net profit dropped by 7% to AED 154mn, compared to AED 165mn in the corresponding period of 2017.
2018 Full Year Revenue increased by 8% to AED 5,086mn, compared to AED 4,721mn in FY-2017. Aramex’s net profit in 2018 increased by 13% to AED 492.6mn compared to AED 435.4mn for 2017.
“Our 2018 financial results reflect the success to date of our digital transformation efforts and the strong growth experienced across all verticals, particularly within our International Express business, which has been well positioned to benefit from the global boom in e-commerce,” commented Bashar Obeid, Chief Executive Officer, Aramex.
“Moving forward, we will continue to leverage new innovations such as Aramex Fleet, our crowdsourcing model; and WhatsApp for Business, to create more personalized interaction channels with our customers that deliver the transparency, visibility and flexibility they demand,” remarked Iyad Kamal, Chief Operating Officer, Aramex.
Q4-2018 performance highlights included Aramex’s International Express business which witnessed double-digit growth of 15% to AED 702mn, compared to AED 608mn in Q4-2017. This is attributed to the significant growth in cross-border e-commerce across all regions.
Aramex’s Logistics and Supply Chain Management business grew by 23% to AED 84mn, compared to AED 69mn in Q4-2017, as a result of the growth of business across the company’s key markets. This growth was largely fueled by the rise of Omni-channel sales from traditional retailers in GCC.
Logistics and Supply Chain Management operations over the year grew by 16% to AED 302mn, compared to AED 260mn, due to the strong demand for Aramex’s warehousing and other value-added services across key markets.
“In 2019, we will remain focused on implementing a lean and efficient business model, enabling Aramex to remain resilient against global geo-economic challenges,” added Obeid.
