Aramex's H1 net profit drops 30%

Net profit in Q2 declined 23 per cent to Dh94.4 million

  
An employee walks at the distribution warehouse unit at the Aramex Emirates head offices in Jebel Ali April 10, 2012.

An employee walks at the distribution warehouse unit at the Aramex Emirates head offices in Jebel Ali April 10, 2012.

REUTERS/Jumana El Heloueh

Aramex's net profit in the first half of 2020 fell by 30 per cent to Dh162 million compared to Dh231 million in H1 2019.

Net profit in Q2 declined 23 per cent to Dh94.4 million, compared to Dh123 million in Q2 2019, impacted by the rise in unforeseen costs prompted by Covid-19 such as challenges in cross-border operations due to border closures, increase in line haul costs which in turn impacted profit margins in both International Express and Freight.

Aramex's Q2 2020 revenues grew by 4 per cent to Dh1,332 million, driven mainly by a surge in e-commerce activities resulting from increased online shopping during Covid-19 related lockdowns. Aramex's Revenues in the H1 2020 increased by 1 per cent to Dh2.52 billion.
 

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