Aramex Q3 net profit down

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More than half of the decline in net income of the company can be attributed to the interest expenses. (WAM)
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  • It reported a decrease in net profit to $2.61 million in Q3 2023, a notable decline from $10.78 million recorded in Q3 2022
  • Aramex, however, posted a 4% YoY increase in gross profit and a resilient EBITDA of $36.48m for the third quarter of 2023

Dubai, UAE–The company reported revenues amounting to $367 million. This represents a moderate 5 percent year-on-year (YoY) decline, attributed to currency fluctuations, macroeconomic challenges, and subdued global retail activity in certain markets.

It posted a four-percent YoY increase in gross profit and a resilient EBITDA of $36.48 million for the third quarter of 2023. This progress was underpinned by the company’s proactive measures to boost operational efficiencies and optimise General and Administrative expenses (GA) for the organic business (excluding MyUS).

The company reported a net profit of $2.61 million in Q3 2023, a notable decline from $10.78 million recorded in Q3 2022. More than half of the decline in net income can be attributed to the interest expenses related to the acquisition of MyUS due to the steep increase in interest rates since the transaction.

Othman Aljeda, Chief Executive Officer, Aramex, said, “In the face of an ongoing global growth slowdown, Aramex remains steadfast in its commitment to a strategic framework centered on operational efficiency, high-quality sales, and stringent cost management. Our focus on cost optimization has been pivotal in maintaining steady operating margins, even amidst the challenges posed by currency fluctuations and the interest rate environment.

‘’As we continue to execute Q4, historically a stronger quarter marked by increased retail activity during festivals, our primary focus will be to deliver outstanding services to our customers. We will continue enhancing trade lanes, enriching the customer experience and fortifying our operational capabilities across all business lines. Our goal is to expand our quality business lines, focusing on B2B, direct brands, SMEs, and premium offerings such as same and next-day deliveries.”

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