Dubai-based logistics firm Aramex has reported stable group revenues of AED3.06 billion ($833 million) for the first half of 2025, as growth in domestic and regional logistics offset a decline in international express volumes. It revenues rose 1% supported by increased demand for local and regional delivery solutions amid a global shift in supply chains toward nearshoring.
Last month, Aramex had announced that it was a subsidiary of ADQ, following the completion of regulatory approvals for ADQ’s successful acquisition of 63% of Aramex shares, which are held through Q Logistics and Abu Dhabi Ports.
The company said the new ownership structure positions it to scale operations and innovate amid an evolving global logistics landscape.
Announcing the results for the six-month period ended June 30, 2025, Aramex said the domestic express revenue rose 13% year-on-year, while logistics jumped 22% and freight forwarding grew 8%. However, international express revenue fell 15% due to softer cross-border volumes.
Profitability was weighed down by the shift in revenue mix away from higher-margin international express, resulting in a 6% decline in gross profit to AED 694 million and a recalibrated gross margin of 23%, it stated.
The company posted a significant drop in net income, further impacted by AED 26 million in one-off expenses related to its acquisition of Q Logistics, regional restructuring, and the rollout of its transformation initiative, “Accelerate28.”
Excluding these non-recurring items, normalised ebit stood at AED95 million and normalized net income at AED 33 million, down 32% and 34% respectively.
Aramex said it continues to execute on its Accelerate28 transformation strategy, introduced in the first quarter, which includes a new four-region operating model aimed at enhancing efficiency and long-term growth.
On its Q2 results, Aramex said the group revenues reached AED1.5 billion, unchanged from Q2 2024.
Looking at regional performance, Aramex posted double digit growth in revenues and GP in the GCC in Q2 2025, and single-digit growth in revenues and GP in Asia Pacific, offsetting the softness seen elsewhere across the company’s global operations and with similar trends observed for the half year period.
As global supply chains continue to regionalise, Aramex said it is actively evolving its product mix, adapting to shifting logistics flows as clients reposition inventory closer to key consumption markets—a trend driven by supply chain localization and regional consolidation.
The company continues to navigate this strategic shift with a strong focus on operational efficiency, data-driven performance management, and customer-centric innovation, it added.
On the solid performance, Acting Group CEO Nicolas Sibuet said: "Our H1 2025 results reflect consistent execution and a clear alignment with shifting customer needs. While we face margin pressures and a changing product mix, we have taken decisive actions through our Accelerate28 strategy to realign our operations, enhancing our ability to better serve our customers across key markets, and lay the groundwork for sustainable, long-term value creation. The partnership with ADQ marks a significant milestone, accelerating our transformation program."
The results reflect a period of stable revenues, ongoing margin recalibration, and significant structural transformation as the company responds to evolving industry trends and positions itself for future growth, he added.-TradeArabia News Service
