Aramex, a leading global provider of comprehensive logistics and transportation solutions, reported group revenues of AED1.6 billion in Q1 2026, up 2% year-on-year (YoY) from AED1.56 billion ($424.78 billion) in Q1 2025.
Gross profit for the quarter stood at AED342.5 million, with a margin of 21.4%, compared to 23.3% in the prior year. This reflects the ongoing change in product mix, alongside elevated line-haul costs, fuel-related pressures, and continued investment in capacity across key markets, the company said.
Operating costs remained well controlled, with group Selling, General and Administrative Expenses (SG&A) broadly in line with prior periods, reflecting disciplined cost management while continuing to invest in operational capabilities and transformation initiatives.
EBIT for the quarter stood at AED52 million, compared to normalised EBIT of AED63 million in Q1 2025, reflecting underlying operational performance after excluding non-recurring items, and impacted by changes in product mix and higher cost base. Net profit for the period was AED17 million, compared to normalised net profit of AED27.5 million in Q1 2025.
Geographically, the GCC and India Subcontinent remained a core contributor to group revenues, accounting for 46% of total revenues, supported by resilient demand for domestic and cross-border services.
The strong first quarter results were achieved through resilient results in March where the company performance remained very close to business plan despite the outbreak of regional conflict, which disrupted trade activity and business across the region.
Additionally, performance in January and February 2026 exceeded business plan expectations across key products and markets, further helping offset the impact of the disruptions in March, the company said.
Agile network
Agile network ensures continuity: Aramex sustained uninterrupted services with its employees championing innovative solutions to ensure that the company rapidly adapted its network, leveraged flexible routing solutions and activated alternative gateways to maintain global connectivity, with the business maintaining robust continuity of operations throughout the uncertain period.
"We are proud to have delivered uninterrupted service for our customers while prioritizing the safety of our employees," the company said.
Balanced growth across core segments: Revenues for Domestic Express (up 11%), Freight Forwarding (up 7%), and Logistics (up 9%) continued to drive performance, offsetting softer International Express revenues (–9%). Group gross profit margin stood at 21.4%, compared to 23.3% in Q1 2025, reflecting product mix evolution, higher line-haul and fuel costs, and continued investment in capacity.
Accelerate28 delivering results: Continued execution of the Accelerate28 transformation program contributed to strong early-quarter performance with the program's cost efficiency initiatives delivering tangible outcomes and helping to mitigate the impact of the regional conflict. With over 300 initiatives on track across functions and geographies, Accelerate28 is progressing in line with plan and is expected to continue contributing positively to Group performance throughout 2026.
Strong financial position and refinancing milestone: During the quarter, the company completed the refinancing of approximately AED815 million of debt redomiciled to the UAE at competitive terms and structured as a sustainability-linked instrument, enhancing capital efficiency and reducing financing costs. Aramex continues to maintain a robust financial position with a cash balance of AED551 million and a debt to EBITDA ratio of 2.8x (including IFRS16) as of March 31, 2026, it said.
Nicolas Sibuet, Acting Group Chief Executive Officer during the past period, said: “We entered 2026 on a strong footing, building on the momentum established in December with the Company having reported a record month and carrying this into January and February, where performance exceeded expectations across key parts of the business. While, Logistics continued its standout trajectory, Domestic Express maintained strong volume growth, and our Accelerate28 program began delivering tangible cost efficiencies; all of which reflect the hard work of our teams and the progress we have made in igniting transformation across the business.
"The operating environment became more complex in March with the outbreak of regional conflict disrupting trade activity and business confidence across the Gulf, with disruptions affecting parts of the network. Our priority throughout this period was the safety and wellbeing of our people while ensuring the continuity of our operations to serve our Customers and the Middle East region. Our teams responded with speed, adapting routes and leveraging our network flexibility to maintain service delivery.
"Overall, the quarter highlights the resilience of our people, our operating model and the tangible progress being made under Accelerate28. As I hand over leadership to Amadou Diallo, who joins as Group Chief Executive Officer on 1 May, I do so with confidence in the strength of the Group’s foundation. Aramex enters this next chapter with clear strategic direction, and the momentum to deliver sustainable, long-term growth.”
Amadou Diallo, Group Chief Executive Officer, said: “The first quarter of 2026 underscores the resilience of our business and the strength of our network. As we look ahead, we remain focused on disciplined execution, accelerating our strategic priorities, and delivering sustainable value across our operations.” - TradeArabia News Service
