Softening in global shipment volumes & currency devaluation dragged profitability
Aramex PJSC (Aramex/the Company) net profit declined 49.4% YOY to AED 24 Mn in 1Q23, lower than our estimate of AED 47 Mn. The net profit is impacted due to a mix of factors including currency devaluation in some markets, higher interest expense due to the acquisition of MyUS, and softness in topline flowing to the bottom line partially offset by a decline in cost of revenue and lower in come tax expense.
