Investor Presentation - Q1 2012

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    Aramex PJSC

    Investor Presentation

    1st quarter 2012

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    Company Profile

    Company Structure

    Strategic Direction

    Financial Analysis

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    FinancialPerformance

    Year 2011

    Background

    Revenue (2011): US$701 million

    Gross Margin (2011): 53%Net Income (2011): US$57.6 millionNet Margin: 8.2%Shareholders Equity (2011): US$516 millionTotal Assets (2011): US$679 millionCash (2011): US$86 million

    Highlights

    Established: 1982, 27 years in operationHubs: Main hubs in Amman, Dubai, Hong Kong, Liege, London, New York and Singapore.

    Offices: 309 offices in 200 major cities worldwideStaff: Over 10,295 employeesFounder of the Global Distribution Alliance (GDA) and co-founder of the WFA World Freight Alliance.

    Activities: Aramex is a logistics and supply chain management company providing total transportationsolutions One Stop Shop.

    Aramex Quick Overview

    FinancialPerformance1 st Q12

    Revenue (1 st Q12): US$203 millionGross Margin (1 st Q12): 54.6%Net Income (1 st Q12): US$16.6 millionNet Margin: (1 st Q12 ) 8.2%Shareholders Equity (1 st Q12): US$535 millionTotal Assets (1 st Q12): US$697 millionCash (1 st Q12): US$90 million

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    2004

    2005200219971982

    First Arab-basedCompany onNASDAQ

    Returned toPrivateOwnership

    Public on DubaiFinancial Market

    Established as aPrivately HeldCompany

    Aramex Background History

    Ownership

    1997198519841982

    ExpressRetail

    ExpressWholesaleDelivery

    Product Progression

    MultipleProductOffering

    Value AddedServices

    Supply ChainSolutions

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    Shareholders Value Creation

    Growth in Aramexs Value (US$ Million)

    0

    100

    200

    300

    400

    500

    600

    700

    800

    900

    1997 - Listingon Nasdaq

    2002- De-listing from

    Nasdaq

    2005- Listingon DFM

    Dec-09 Dec-10 Dec-11 Mar-12

    25 65

    185

    569

    829718 726

    Value

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    Aramex Geographic Coverage

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    Aramex People

    Growth in Number of Staff in the past 7 years

    2005 2006 2007 2008 2009 2010 2011

    4,002

    6,0316,600

    7,6008,100 8,675

    10,295

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    Sustainability

    Aramex is one of the first companies in the region to report on its sustainable business practices

    K e y

    S u s

    t a i n a

    b i l i t y I s s u e s

    Community Empowerment: Community based projects that target

    community and youths needs through a highly interactive participatoryapproach. Partners include NGOs, private sector, public sector,community centers, etc.

    Youth Empowerment & Education: Providing internship and trainingopportunities to students, as well as developing applied trainingprograms in partnership with universities.

    Sports: Sponsorship of sports events, the Riyadi Club (Basketball andSquash) in Jordan, Jeddah United (the first women basketball team inSaudi Arabia, etc.)

    Environment: Introduction of Hybrid cars into aramex fleet, change to

    unleaded gas, using biodegradable and recycled material, commitmentto become the first carbon neutral company in the region, etc.

    Emergency Relief : Providing logistics support and aid donationcampaigns to disaster stricken areas such as: Asia Tsunami, PakistanEarthquake, Lebanon War, Gaza War, etc.

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    Asset Light Model

    Aramex asset-light business model translated into a high degree of flexibility andagility in pursuing opportunities as well as efficient cost management.

    During the recession, Aramex asset-light business model allowed the company tocreate considerable efficiencies improving both the gross profit and net profit margins.

    0%

    10%

    20%

    30%

    40%

    50%

    60%

    2008 2009 2010 2011 1st Q'12

    M a r g i n s

    Years

    (Gross Profit) & (Net Income) Margins

    GP%

    N.I%

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    F e

    d e r a

    l S y s

    t e m

    FrontLine

    Federation of interdependent companies, that function as anindependent unit managed by a local CEO

    Each unit sets its own business plans, objectives and budgets in linewith the corporate strategy

    The Aramex Model

    Highlights

    Manages interaction among members of the federation

    Sets policies, procedures, & monitors compliance Provides marketing, network infrastructure & IT infrastructure

    Global

    ServicesOffice

    Aramex geographic regions are divided into five areas: Levant, Gulf, Africa, Asia and West (Europe and US)

    Each area has a board composed of the senior regional manager, andother functional directors etc

    Area boards are responsible for the areas strategic direction,budgeting, performance, and operations

    AreaBoards

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    C u

    l t u r e a n

    d V a

    l u e s

    UniqueCorporateCulture

    Belief that people are Aramexs most significant asset.

    Encouraging creativity, innovation and entrepreneurship. Empowering employees through continuous development &

    training. Promotion from within

    Committed to economic and social development as well asenvironmentally friendly practices.

    KeyValues

    The Aramex Model

    Highlights

    Customer centric and dedication to service excellence

    Decentralized and flat organization

    Trust based system that empowers the front line

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    Company Profile

    Company Structure

    Strategic Direction

    Financial Analysis

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    Emerging markets: Capitalizing on experience, technology, product offering

    and international network by expanding the geographic reach into emergingeconomies with high growth potential.

    Core markets: Leveraging and expanding infrastructure in existing geographiclocations to strengthen market positioning by introducing new products andservices.

    Mediums of geographic expansion:

    Franchising which will provide Aramex with a revenue stream, requiring minimal

    capital and management. Small and medium-sized attractive acquisitions and Joint Ventures which can be

    integrated.

    Vision: To enable and facilitate regional & global trade & commerce

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    Aramex has extensive knowledge and experience in underdeveloped and developing

    markets and sees tremendous value in developing its global network by introducing itsasset light model and product offering into new markets with high growth potential.

    Taking the Aramex model to new markets will strengthen its position as a key globalprovider specialized in emerging markets while operating a global independentnetwork:

    Potential areas for expansion

    1. Africa and CIS: Aramex is looking to invest in key African and CIS markets that enjoy political stability andeconomic growth potentials by working with partners that possess industry knowledge and can benefit from

    Aramexs network and know-how.

    2. Asia: Aramex will further expand its current operations in locations like Singapore, Hong Kong, Indonesia,Vietnam, while developing its gateways in China and looking for investment opportunities in other South East

    Asian countries. The Asian presence aims at servicing important trade routes between Asian markets andother markets.

    3. India: Aramex has a sizable operation in India that offers international and domestic express service, and islooking to further enlarge its geographic presence and product offering.

    Regions Identified for Geographic Expansion

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    Profitable company with margins in line with Aramexs margins.Capacity to support reasonable levels of leverage to allow for financing.Proper financial disciplines with accredited auditors.Non-asset based companies.

    Advantage Highlights

    P e r

    f o r m a n c e

    Financial

    Management /

    Employees

    Experienced management teams that are willing to continue post acquisitionTrack history of having met projections and budgetsDiversified client base with minimal reliance on top clients or on network ofagents

    Not part of or affiliated with an already established networkStrong corporate culture that is in line with Aramexs

    Ability to change and incorporate the Aramex Accounting and IT systems.

    Expansion through Acquisitions

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    Supply chain solutions outsourcing is expanding in the Middle East and South Asia;warehousing is a critical pre-requisite for offering these services and where appropriatewarehousing space is not available Aramex will invest in purpose built facilities

    Expansion ofWarehousingFacilities

    There are a number o