Aramex posts 23% rise in Q3 profit

Aramex said on Sunday that Q3 profit increased 23 percent, even as revenue was hit by the global recession.

The global logistics solutions provider said net profit in the three months ended September 30 rose 23 percent to AED41.7m ($11.3m) from AED33.9m in the corresponding period last year, despite revenue slumping 11 percent to AED487.6m ($132.8m).

The company did not give a reason for the rise in profit. The revenue decline was primarily due to a marked reduction in global freight forwarding activity, resulting in a decline of 20 per cent in freight revenues across the network, it said.

Ramadan business hours and the Eid Al Fitr holiday also impacted activity in the MENA region.

Chief executive Fadi Ghandour said that despite “extremely challenging” conditions in the quarter, Aramex continues to eye expansion in some markets.

“We continue to review expansion opportunities in underserved markets, especially in Africa and Central Asia,” he said.

“As Aramex adjusts its long-term growth strategy in line with evolving market dynamics, we are also determined to upgrade and expand our existing logistics infrastructure in core markets.”

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