23 C
Dubai
Tuesday, April 16, 2024
spot_img

Aramex H1 2023: Revenue -5% (Dh2.8B), Net Profit -53%

Dubai’s logistics and transportation provider, Aramex, reported H1 2023 revenue of Dh2.8 billion, marking a 5% YoY decline, as revealed on Wednesday. Net profit for the period reached Dh42.87 million, showing a substantial 53% drop from the previous year.

This decrease was attributed to a combination of softened revenue and increased finance expenses linked to the MyUS acquisition.

Othman Aljeda, Aramex’s CEO, acknowledged the company’s robust performance amidst a challenging landscape marked by cost inflation, lower freight rates, shipment volume reductions, and foreign exchange fluctuations.

In the International Express business, H1 2023 gross profit reached Dh372 million, reflecting a 1% YoY growth.

However, the Domestic Express business faced downward pressures in both revenue and gross profit, primarily due to foreign exchange translation.

Excluding this impact, revenue demonstrated a 3% growth in the second quarter.

Amidst the industry trend of decreased volumes, Aramex’s Q2 2023 revenue experienced an 8% decline, although excluding currency exchange influence, the reduction was 5%.

The company pointed out that the fewer working days in Q2 2023, caused by the shift of Islamic public holidays, contributed to this pattern.

Despite a 3% and 9% reduction in gross profit for H1 and Q2 2023 respectively, the overall gross profit margin remained steady at 25% for both periods.

Next Article

Related Articles

DXB Issues Advisory Amid Impending Unstable Weather

DXB Issues Advisory Amid Unforeseen Weather As UAE residents gear up to face the anticipated onslaught of unstable weather conditions sweeping across the country, travelers...

Sheikh Mohammed Extends Condolences for Students Lost in Oman Flash Floods

Sheikh Mohammed Extends Condolences for Students' Tragedy in Oman Flash Floods Dubai's esteemed leader, Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of...

UAE Braces for Double Wave of Unstable Weather on Tuesday and wednesday

UAE Braces for Dual Waves of Unstable Weather on Tuesday and wednesday Residents of Dubai, Abu Dhabi, and Sharjah are urged to brace themselves for...

Dubai: Private Schools and Government Employees Embrace Remote Learning and Work from Home

Dubai: Private Schools and Government Employees Embrace Remote Learning and Work from Home Due to unstable weather conditions, public schools nationwide are shifting to online...

UAE Set to Soar with More Electric Vehicles and Flying Cars, Accelerating Innovation

UAE's Journey with Electric Vehicles and Flying Cars, Accelerating into the Future In a world where sustainability and innovation intersect, the United Arab Emirates (UAE)...

Latest Articles