Aramex, the Middle East’s biggest courier company, said its first-quarter revenue slipped marginally amid global headwinds although its international express business remained resilient.
Revenue fell by 1 per cent in the first three months of the year to Dh1.43 billion ($389.3 million), from Dh1.44 billion in the same quarter in 2022, Aramex said on Thursday in a filing to the Dubai Financial Market, where its shares are traded.
Net profit in the first quarter slipped to Dh24 million, from Dh46 million, because of currency devaluation in some markets, interest expenses related to its recently-acquired e-commerce platform MyUS and softening at the topline flowing through to the bottom line, the company said.
Aramex moved into more US dollar-denominated contracts to hedge against its exposure to the negative impact of foreign exchange movements and currency devaluation in some markets, it said.
"In a quarter when our industry globally continued to face headwinds from cost inflation, base rate rises, softening shipment volumes and FX fluctuations, we ... present a stable and resilient financial and business performance for the first three months of 2023," chief executive Othman Aljeda said.
The global economy faces a "rocky" recovery as geopolitics, monetary tightening and inflation continue to weigh on growth, the International Monetary Fund said last month.
The fund lowered its global economic growth estimate for this year by 0.1 percentage points to 2.8 per cent, from what it previously projected in January, with the estimate below the 3.4 per cent expansion recorded in 2022 and the historical growth average of 3.8 per cent from 2000 to 2019.
Aramex's international express business posted a 1 per cent rise in revenue to Dh567 million, reflecting the additional volume from MyUS and attractive margins in Aramex’s parcel-forwarding unit.
The revenue of the domestic express business declined by 4 per cent to Dh362 million due to a currency exchange impact in Egypt, Lebanon, South Africa and other countries, as well as a revenue decline in the Oceania region, where a restructuring plan is in progress, Aramex said.
This was partially offset by an increase in domestic revenue from the GCC and cost management.
Freight forwarding revenue dipped 1 per cent to Dh385 million while the logistics and supply chain unit's revenue declined 5 per cent to Dh107 million.
Looking ahead, the company is bullish about growth prospects on the back of economic expansion in its home markets.
"The continued growth in the GCC economies and the expectation that inflationary pressures around the world may peak and then decline significantly show some signs of optimism towards the end of the year," Mr Aljeda said.
"We believe the key differentiator in the months ahead will be our ability to invest in technology, along with our geographic and business line diversification, which offers competitive advantage."
The National's picks
4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young
Start times
5.55am: Wheelchair Marathon Elites
6am: Marathon Elites
7am: Marathon Masses
9am: 10Km Road Race
11am: 4Km Fun Run
Herc's Adventures
Developer: Big Ape Productions
Publisher: LucasArts
Console: PlayStation 1 & 5, Sega Saturn
Rating: 4/5
School counsellors on mental well-being
Schools counsellors in Abu Dhabi have put a number of provisions in place to help support pupils returning to the classroom next week.
Many children will resume in-person lessons for the first time in 10 months and parents previously raised concerns about the long-term effects of distance learning.
Schools leaders and counsellors said extra support will be offered to anyone that needs it. Additionally, heads of years will be on hand to offer advice or coping mechanisms to ease any concerns.
“Anxiety this time round has really spiralled, more so than from the first lockdown at the beginning of the pandemic,” said Priya Mitchell, counsellor at The British School Al Khubairat in Abu Dhabi.
“Some have got used to being at home don’t want to go back, while others are desperate to get back.
“We have seen an increase in depressive symptoms, especially with older pupils, and self-harm is starting younger.
“It is worrying and has taught us how important it is that we prioritise mental well-being.”
Ms Mitchell said she was liaising more with heads of year so they can support and offer advice to pupils if the demand is there.
The school will also carry out mental well-being checks so they can pick up on any behavioural patterns and put interventions in place to help pupils.
At Raha International School, the well-being team has provided parents with assessment surveys to see how they can support students at home to transition back to school.
“They have created a Well-being Resource Bank that parents have access to on information on various domains of mental health for students and families,” a team member said.
“Our pastoral team have been working with students to help ease the transition and reduce anxiety that [pupils] may experience after some have been nearly a year off campus.
"Special secondary tutorial classes have also focused on preparing students for their return; going over new guidelines, expectations and daily schedules.”
MATCH INFO
Uefa Champions League quarter-final second leg:
Juventus 1 Ajax 2
Ajax advance 3-2 on aggregate
The biog
Siblings: five brothers and one sister
Education: Bachelors in Political Science at the University of Minnesota
Interests: Swimming, tennis and the gym
Favourite place: UAE
Favourite packet food on the trip: pasta primavera
What he did to pass the time during the trip: listen to audio books
Know your camel milk:
Flavour: Similar to goat’s milk, although less pungent. Vaguely sweet with a subtle, salty aftertaste.
Texture: Smooth and creamy, with a slightly thinner consistency than cow’s milk.
Use it: In your morning coffee, to add flavour to homemade ice cream and milk-heavy desserts, smoothies, spiced camel-milk hot chocolate.
Goes well with: chocolate and caramel, saffron, cardamom and cloves. Also works well with honey and dates.
Results:
6.30pm: Maiden | US$45,000 (Dirt) | 1,400 metres
Winner: Tabarak, Royston Ffrench (jockey), Rashed Bouresly (trainer)
7.05pm: Handicap | $175,000 (Turf) | 3,200m
Winner: Dubhe, William Buick, Charlie Appleby
7.40pm: UAE 2000 Guineas Group 3 | $250,000 (D) | 1,600m
Winner: Estihdaaf, Christophe Soumillon, Saeed bin Suroor
8.15pm: Handicap | $135,000 (T) | 1,800m
Winner: Nordic Lights, William Buick, Charlie Appleby
8.50pm: Al Maktoum Challenge Round 2 Group 2 | $450,000 (D) | 1,900m
Winner: North America, Richard Mullen, Satish Seemar
9.25pm: Handicap | $175,000 (T) | 1,200m
Winner: Mazzini, Adrie de Vries, Fawzi Nass
10pm: Handicap | $135,000 (T) | 1,400m.
Winner: Mubtasim, William Buick, Charlie Appleby
Match info
Manchester United 1
Fred (18')
Wolves 1
Moutinho (53')
