Slide 1: Investor Presentation Q2 2021 Results
INVESTOR PRESENTATION Q2 2021 RESULTS Q2 2021 Financial Results Highlights | Management Update and Strategic Priorities | Outlook |Regional Performance |Financial statements highlights
Slide 2: Disclaimer | Cautionary Note Regarding Forward Looking Statements
Disclaimer | Cautionary Note Regarding Forward Looking Statements This presentation has been prepared solely for informational purposes. The presentation may contain forward looking statements, which reflect our beliefs or current expectations and assumptions regarding the future of the business, fut
Slide 3: Aramex is a Global Provider of Logistics and Transportation Solutions
Aramex Overview | Aramex is a Global Provider of Logistics and Transportation Solutions 17,000+ 65+ 600+ AED 3+ AED 5+ 64m 1.1M 175M KGs Employees Countries Offices Billion Revenues Billion Market Cap Express Volumes SQM global Moved in H1 2021 H1 2021 owned, leased and H1 2021 managed Aramex works
Slide 4: Table of contents
Disclaimer | Table of contents 1. Q2 2021 Financial Results Highlights 2. Management Update and Strategic Priorities 3. Outlook H2 2021 Appendices: Appendix 1 – Regional Performance Appendix 2 – Financial Statements Highlights Page 4
Slide 5: Q2 2021 Financial Results Highlights
Q2 2021 Financial Results Highlights Q2 2021 Financial Results Highlights | Management Update and Strategic Priorities | Outlook |Regional Performance |Financial statements highlights
Slide 6: Financial Performance | Strong Top Line Performance
Financial Performance | Strong Top Line Performance Performance across key indicators Q2 2021 Results (AED "000") 1,293,777 1,466,534 1,598,345 1,424,933 1,570,923 Revenues 21% growth Year on year Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 209,391 169,496 179,604 169,844 192,711 EBITDA -8% EBITDA growt
Slide 7: Management comments: Q2 2021 Group Highlights
Financial & Performance Highlights | Q2 2021 Group Highlights Management Revenue (AED m) Cost of Services (AED m) comments 1,425 1,571 -1066 -1182 1,294 -925 Continued to deliver a strong topline performance, with revenue growth across all segments and geographies. Notably, cross border express and
Slide 8: Revenues by Segment (AED m)
Financial & Performance Highlights | strong performance across all segments Revenues by Segment (AED m) Y-o-Y Growth 26% 23% 9% 28% 44% 31 24 10 1,571 Logistics Other 151 61 7% 2% 1,294 Domestic 23% Express Q2 2021 47% Freight Forwarding 21% Q2 2020 Express Freight Domestic Logistics Other Q2 2021 F
Slide 9: Revenues by Geography (AED m)
Financial & Performance Highlights | Solid growth across all geographies Revenues by Geography (AED m) 32 -7 1,571 16 41 33 41 47 26 1,294 47 GCC MENAT 35% 13% Europe Others Q2 2021 13% 1% Sub-Saharan and Americas South Africa 5% 5% North Asia Oceana South Asia 9% 11% 8% Q2 202 0 GCC MENAT Eur ope A
Slide 10: Gross profit by Geography (AED m)
Financial & Performance Highlights | strong performance from MENAT, sub-Saharan and south Africa and Oceana Gross profit by Geography (AED m) 368 16 9 4 11 6 -18 13 -0.4 389 MENAT -20 GCC 15% 27% Europe 9% Q2 2021 Americas 2% Others Oceana 11% 11% Sub-Saharan and South Asia South Africa North Asia 5
Slide 11: Financial Ratios
Financial & Performance Highlights | Q2 2021 Group Highlights Financial Ratios Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y EPS (AED) 0.045 0.031 0.064 45% -31% Gross Profit Margin % 24.7% 25.2% 28.5% -0.5% -3.8% Net Profit Margin % 4.2% 3.2% 7.3% 1% -3.1% EBITDA Margin % 12.3% 11.9% 16.2% 0.4%
Slide 12: Balance Sheet Remains Strong and Liquid
Financial & Performance Highlights | Balance Sheet Remains Strong and Liquid Balance Sheet Highlights Asset Movement Y-o-Y (AED m) Movement Current Assets Non - Current Assets 30 Jun 2021 31 Dec 2020 Actual Change % 6,115 -4 5,880 -350 48 34 7 21 5 Current assets 2,352 2,621 -268 -10% 6,000 Assets h
Slide 13: Management Update and Strategic Priorities
Management Update and Strategic Priorities Q2 2021 Financial Results Highlights | Management Update and Strategic Priorities | Outlook |Regional Performance |Financial statements highlights
Slide 14: Management Update | Operating model redesign
Management Update | Operating model redesign Operating model has been redesigned to focus on two of our main clusters: 1) Express (international and domestic) and 2) Logistics (air freight, sea freight, land freight and warehousing & distribution) • Two Chief Operating Officers, with deep industry e
Slide 15: Strategic Priorities | Aramex Express
Strategic Priorities | Aramex Express Cross Border Express • Continues to be the main growth driver for the business. • We continue to see consumer preference for international shopping and we expect this trend to continue. • We aim to significantly increase the flow from major hubs in the US, UK, A
Slide 16: Strategic Priorities | Aramex Logistics: Warehousing and Freight Forwarding
Strategic Priorities | Aramex Logistics: Warehousing and Freight Forwarding Warehouse infrastructure • Identified significant potential in the logistics sector which we intend to pursue aggressively. • Invest in specialized warehouses to cater for high potential verticals such as cold chain, pharma,
Slide 17: Strategy | Strategic Drivers
Strategy | Strategic Drivers Operational Excellence Service Management & Excellence Data Driven Processes Automation & Digitization Operations Capacity & Peak Planning Operational Agility & Scalability Customer Journey Customer Experience Strategic Last Mile Transformation Drivers Market & Customer
Slide 18: Digital | Enabling Growth and High Performance
Digital | Enabling Growth and High Performance Customer Journey Digital Products Core Modernization & Cloud Migration Digitize the end to end customer led by modern application development Re-imagine core landscape and business engagement experience product teams. Teams are lean, multi logic to prom
Slide 19: Digital | Artificial Intelligence and Machine Learning
Digital | Artificial Intelligence and Machine Learning Mission: Empower operations and business at Aramex to take data-driven decisions at scale to meet Aramex Goals. Data Science Address Route Consumer Capacity Data Business prediction Optimization Intelligence Planning enablement intelligence prog
Slide 20: Strategic Priorities | Long-Term Focus Areas
Strategic Priorities | Long-Term Focus Areas Focus Area Management Remains Focused on Long Term Growth Drivers Vertical Diversification Intensify growth and diversify into high potential verticals including Pharma, FMCG, Retail, O&G, Automotive, E-commerce Infrastructure Investments Hub, facility, t
Slide 21: Outlook | Key considerations for H2 2021
outlook | Key considerations for H2 2021 • Management remains focused on exploring M&A opportunities with two key targets identified in the MENAT region. Further details to be communicated in Q4 2021. • The robust top line growth of the first six months leaves us well placed for 2021, despite a chal
Slide 22: Appendix 1: Regional Performance
Appendix 1: Regional Performance Q2 2021 Financial Results Highlights | Management Update and Strategic Priorities | Outlook |Regional Performance |Financial statements highlights
Slide 23: Regions | Aramex Global Footprint
Regions | Aramex Global Footprint Eu Czech Republic France Ireland Malta Netherlands Slovakia United Kingdom N&S America MENAT United States of America Canada & GSO Algeria Libya North Asia China Hong Kong Egypt Morocco Georgia Iran Palestine Sudan GCC Bahrain Iraq Tunisia Kuwait Jordan Turkey Oman
Slide 24: Regional Performance | GCC
Regional Performance| GCC Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 550,657 503,747 503,307 9% 9% Express (incl SnS) 186,334 181,316 179,770 3% 4% Domestic 143,632 138,390 166,201 4% -14% Freight Forwarding 158,640 127,448 119,051 24% 33% Logistics 59,735 54,
Slide 25: Regional Performance | MENAT
Regional Performance| MENAT Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 198,043 188,039 150,713 5% 31% Express (incl SnS) 62,292 57,288 36,769 9% 69% Domestic 48,005 50,427 38,495 -5% 25% Freight Forwarding 56,125 49,006 44,763 15% 25% Logistics 29,702 29,760 2
Slide 26: Regional Performance | Europe
Regional Performance| Europe Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 205,073 186,917 179,171 10% 14% Express (incl SnS) 107,388 91,215 91,924 18% 17% Domestic 12,924 12,257 10,617 5% 22% Freight Forwarding 72,458 70,468 65,019 3% 11% Logistics 11,739 12,537
Slide 27: Regional Performance | Americas
Regional Performance| Americas Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 74,786 73,576 33,286 2% 125% Express (incl SnS) 70,132 68,992 30,207 2% 132% Freight Forwarding 4,408 4,353 2,526 1% 75% Other 246 230 553 7% -56% Gross Profit (AED "000") 7,993 11,964 4
Slide 28: Regional Performance | Oceana
Regional Performance| Oceana Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 143,987 137,089 111,132 5% 30% Express (incl SnS) 1,748 1,918 1,285 -9% 36% Domestic 119,373 114,044 92,420 5% 29% Other 22,866 21,127 17,427 8% 31% Gross Profit (AED "000") 41,229 36,796
Slide 29: Regional Performance | South Asia
Regional Performance| South Asia Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 127,259 110,072 86,191 16% 48% Express (incl SnS) 101,480 82,305 58,626 23% 73% Domestic 2,798 2,852 3,339 -2% -16% Freight Forwarding 18,133 20,143 19,990 -10% -9% Logistics 4,764 4,5
Slide 30: Regional Performance | North Asia
Regional Performance| North Asia Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue (AED "000") 180,041 140,814 163,831 28% 10% Express (incl SnS) 178,136 137,712 161,319 29% 10% Domestic 10 10 6 -5% 73% Freight Forwarding 1,816 2,995 2,436 -39% -25% Logistics 79 98 66 -20% 19% O
Slide 31: Regional Performance | Sub-Saharan and South Africa
Regional Performance| Sub-Saharan and South Africa Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue 82,923 74,719 51,368 11% 61% Express (incl SnS) 18,435 16,486 7,930 12% 132% Domestic 40,485 37,637 25,180 8% 61% Freight Forwarding 17,015 13,867 13,791 23% 23% Logistics 2,789
Slide 32: Regional Performance | Others
Regional Performance| Others Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Total Revenue 8,156 9,959 14,777 -18% -45% Express (incl SnS) 7,611 9,294 14,335 -18% -47% Other 546 665 442 -18% 24% Gross Profit (AED "000") 42,500 37,503 42,974 13% -1% Gross Profit Margin 521% 377% 291% 38% 79%
Slide 33: Appendix 2: Financial statements highlights
Appendix 2: Financial statements highlights Q2 2021 Financial Results Highlights | Management Update and Strategic Priorities | Outlook |Regional Performance |Financial statements highlights
Slide 34: Income Statement (AEDm)
Financial & Performance Highlights | Q2 2021 Group Highlights Income Statement (AEDm) Quarter Movement (%) Q2 2021 Q1 2021 Q2 2020 q-o-q y-o-y Revenue 1,571 1,425 1,294 10% 21% Cost of Services (1,182) (1,066) (925) -11% -28% Gross Profit 389 359 368 8% 5% Overheads (296) (287) (245) -3% -21% Profit
Slide 35: Balance sheet (AEDm)
Financial & Performance Highlights | Q2 2021 Group Highlights Income Statement (AEDm) Movement 30 Jun 2021 31 Dec 2020 Actual in % Cash and cash equivalents 905 1,255 -350 -28% Receivables (net) 1,142 1,094 48 4% Other current assets 305 272 33 12% Total current assets 2,352 2,621 -268 -10% Assets h
Slide 36: Investor Relations Contacts
Investor Relations Contacts Arun Singh InvestorRelations@aramex.com Acting CFO & Corporate Treasurer Investor Tel + 971 4 211 8464 Relations Dubai - UAE aramex.com/investors Anca Cighi Investor Relations Officer Page 36
Slide 37: Thank You
THANK YOU Q2 2021 Financial Results Highlights | Management Update and Strategic Priorities | Outlook |Regional Performance |Financial statements highlights