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Aramex rides the 2020 e-commerce wave towards a record year in profitsMENA

Aramex rides the 2020 e-commerce wave towards a record year in profits

Aramex (ARMX), the Dubai-based logistics and package delivery giant, recorded its highest-ever revenue numbers at Dh5.5b. It benefited from the fact that COVID-19 lockdown restrictions had people shopping online more than ever, and those packages needed to be delivered – those fancy kitchen gadgets that you’ll use one time only aren’t going to make it to your doorstep themselves, right?!

The company’s International Express unit also saw terrific growth in Q4, which caters to logistics across the US, Europe, and Asia.

why it matters
Though the boom in e-commerce is good news for logistics firms like Aramex, the company still faces threats in the immediate future. Aramex expects a “consolidation of market participants” on the supply side as the global economy recovers. Meaning, more efficient, tech-driven startups will likely threaten existing players unless they invest in innovation.