Aramex Pjsc · DFM:ARMX
Aramex Pjsc — Aramex — Q1 2023 Earnings Presentation
25 slides from Aramex Pjsc's earnings presentation, May 11, 2023
Slide 1: Investor Presentation Q1 2023 Financial Results
INVESTOR PRESENTATION Q1 2023 Financial Results
Slide 2: 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: Table of contents
Disclaimer | Table of contents 1. Aramex at a Glance 2. Key Highlights of Q1 2023 3. Q1 2023 Product Breakdown 4. Q1 2023 Group Financial Results Page 3
Slide 4: Aramex is a Global Provider of comprehensive Logistics and Transportation Solutions
Aramex Overview | Aramex is a Global Provider of comprehensive Logistics and Transportation Solutions 16,000+ 65+ +600 USD 390M USD 1.31 B Employees Countries Offices Revenues Q1 2023 Market Cap on 31 March 2023 International Express Freight Forwarding With Aramex International Express, sending time
Slide 5: Aramex Global Footprint
Regions | Aramex Global Footprint Eu Czech Republic Ireland Netherlands United Kingdom NORTH America MENAT United States of America Canada North Asia China Algeria Libya Hong Kong Egypt Morocco Georgia Iran Palestine Sudan GCC Bahrain Iraq Tunisia Kuwait Jordan Turkey Oman Lebanon Qatar Saudi Arabia
Slide 6: Key investment highlights
Aramex Overview | Key investment highlights Product Competitive Growth diversification advantage prospects A leading transportation player, with Our end-to-end service offering - Well -positioned to capture domestic and cross border expertise, across courier express, freight, growth at a higher rate
Slide 7: In the Middle East of It All
IN THE MIDDLE EAST OF IT ALL AN ARAMEX DOCUMENTARY | 40 YEARS OF OPERATIONS Click here to watch the video.
Slide 8: Q1 2023 Key Highlights
Q1 2023 Key Highlights
Slide 9: Key highlights Q1 2023
Business Highlights | Key highlights Q1 2023 • Amid softening of global shipment volumes, Aramex continued to deliver a resilient performance in the first quarter of 2023, while making further progress in executing its strategy. Revenue was USD 390m, down marginally by 1% YOY, outperforming global p
Slide 10: Product Breakdown
Product Breakdown
Slide 11: International Express Volumes
Financial & Performance Highlights | International Express International Express Volumes (in million of shipments) Geographic contributions to int’l express volumes in Q1 2023 +4% +1% +0.1 5.9 5.8 5.3 5.4 5.3 5.1 5.4 4.9 5.1 -0.2 0.4 0.0 -0.2 0.0 0.0 0.0 0.0 Q1 Q2 Q3 Q4 Q1 Q1 Q1 Q1 2022 GCC MENAT SS
Slide 12: International Express Quarter Financials
Financial & Performance Highlights | International Express Quarter Financials (in USD thousands) GP Margin and Commentary Q1 2022 Q1 2023 Change 32% 40 32% 32% 31% 32% Revenue 152,202 154,272 1% 30 Total Direct Cost 103,794 104,227 0% 20 Gross Profit 48,408 50,045 3% 10 0 GP% 32% 32% Q1 2022 Q2 2022
Slide 13: Domestic Courier Quarterly Domestic Volumes
Financial & Performance Highlights | Domestic Courier Quarterly Domestic Volumes (in million of shipments) Geographic contributions to domestic volumes in Q4 2022 +1% -2% 25.0 24.6 0.1 0.2 -0.2 0.0 0.0 -0.1 -0.5 -0.4 14.4 14.6 25.0 24.1 24.5 26.5 24.6 Q1 Q2 Q3 Q4 Q1 Q1 Q1 Q1 2022 GCC MENAT Africa Eu
Slide 14: Domestic Courier Quarter Financials
Financial & Performance Highlights | Domestic Courier Quarter Financials (in USD thousands) GP Margin and Commentary GP Margin Q1 2022 Q1 2023 Change Revenue 102,554 98,473 (4%) Total Direct Cost 77,295 74,611 (3%) 30 25% 22% 26% 26% 24% Gross Profit 25,259 23,862 (6%) 20 10 GP% 24.6% 24.2% 0 Q1 202
Slide 15: Courier Services Quarter Financials
Financial & Performance Highlights | Courier Services (consolidated Domestic and International Express) Quarter Financials (in USD thousands) Courier Margins Q1 2022 Q1 2023 Change GP% Revenue 254,756 252,745 (1%) EBITDA% Total Direct Cost 181,089 178,838 (1%) Gross Profit 73,667 73,907 0% 30% 29% 2
Slide 16: Freight Forwarding Quarter Financials and Volumes
Financial & Performance Highlights | Freight Forwarding Quarter Financials (in USD thousands) and Volumes Freight Margins and Volumes Q1 2022 Q1 2023 Change GP% EBITDA% Revenue 106,500 104,948 (1%) 20 16% Total Direct Cost 92,327 88,297 (4%) 13% 13% 14% 15% 15 Gross Profit 14,173 16,651 17% 7% 7% 10
Slide 17: Logistics Quarter Financials
Financial & Performance Highlights | Logistics Quarter Financials (in USD thousands) Logistics Margins GP% EBITDA% Q1 2022 Q1 2023 Change Revenue 30,525 29,147 (5%) 30 26% 23% Total Direct Cost 26,938 24,735 (8%) 25 21% Gross Profit 3,586 4,412 23% 20 15% GP% 12% 15% 15 12% 10 15% EBIT 1,577 585 (63
Slide 18: Group Financial Results
Group Financial Results
Slide 19: Revenues by Segment (USD m)
Financial & Performance Highlights | Product Contribution to Revenue Revenues by Segment (USD m) Y-o-Y Growth 1% -4% -1% -5% 7% 1% 7% 1% 8% -1% 395 390 2 -4 -2 -1 0 39% 25% 40% 26% Q1 2022 Q1 2023 27% 27% Express Domestic Other* Freight Forwarding Logistics Q1 2022 Express Domestic Freight Logistics
Slide 20: Revenues by Geography (USD m)
Financial & Performance Highlights | Strong performance in GCC markets; 39% of total revenues Revenues by Geography (USD m) Group Revenues – Geographic Contribution 9% 9% -1% 9% 7% 395 390 -1 -4 -1 3 21 -14 -7 -2 0 3% 39% 39% 6% 5% Q1 2022 11% Q1 2023 6% 6% 13% 14% 13% 12% GCC America Q1 2022 GCC ME
Slide 21: Regional Breakdown Q1 2023 vs Q1 2022
Regional Breakdown | Q1 2023 vs Q1 2022 Regions (in thousands USD) GCC MENAT Europe America Rev Ctrb to Group 39% Rev Ctrb to Group 12% Rev Ctrb to Group 14% Rev Ctrb to Group 11% Rev & Grth 152,623 (1%) Rev & Grth 47,420 (8%) Rev & Grth 53,023 7% Rev & Grth 41,370 104% GP & Grth 36,976 24% GP & Grt
Slide 22: Group Highlights Q1 2023
Financial & Performance Highlights | Group Highlights Q1 2023 Revenue (USD m) Gross Profit (USD m) SG&A (USD m) • Revenue was USD 390m, down marginally by 1% YOY, outperforming -1% 23.7% 25.0% 19.1% 20.5% industry peers. 394,525 389,777 • Gross profit improved 4% YoY Q1 +4% +6% 2023, driven by conso
Slide 23: Group Free Cash Flow
Financial & Performance Highlights | Group Free Cash Flow FCF Evolution 𝐹𝑟𝑒𝑒 𝐶𝑎𝑠ℎ 𝐹𝑙𝑜𝑤 = 𝐶𝑎𝑠ℎ 𝐹𝑙𝑜𝑤 𝑓𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 − 𝐿𝑒𝑎𝑠𝑒 𝑅𝑒𝑝𝑎𝑦𝑚𝑒𝑛𝑡𝑠 + 𝐼𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝐸𝑥𝑝𝑒𝑛𝑠𝑒 𝑅𝑂𝑈 + 𝐶𝑎𝑠ℎ 𝐹𝑙𝑜𝑤 𝑓𝑟𝑜𝑚 𝐼𝑛𝑣𝑒𝑠𝑡𝑖𝑛g • Free Cash Flow in Q1 2023…
Slide 24: Healthy balance sheet, conservative leverage, and strong cash position
Financial & Performance Highlights | Healthy balance sheet, conservative leverage, and strong cash position Balance Sheet Highlights (in USD thousands) 31 March 2023 31 Dec 2022 Change Change % Current assets 573,600 594,401 (20,801) -3% Assets held for sale 1,684 1,789 (105) -6% Non-current assets
Slide 25: Investor Relations Contacts
Investor Relations Contacts Nicolas Sibuet InvestorRelations@aramex.com Chief Financial Officer Investor Tel + 971 4 211 8464 Relations Dubai - UAE aramex.com/investors Anca Cighi Investor Relations Officer Page 25