Dubai toll gate operator Salik Company reported a net profit of AED 544.8M for H1 2024, driven by strong revenue growth and strategic expansion.
Salik recorded 238.5M revenue-generating trips in H1 2024, a 4.9 per cent increase year-on-year. Total revenue for the period reached AED 1.1B, with toll usage contributing 87.1 per cent at AED 953.8M, up 4.9 per cent YoY.
EBITDA rose 6.5 per cent to AED 738.4M, and profit before tax increased by 9.2 per cent to AED 598.6M. An interim dividend of AED 544.8M, or 7.263 fils per share, was approved to be paid on September 5.
Al Tayer expressed satisfaction with the 5.6 per cent revenue growth and outlined the company’s goals to enhance global mobility solutions. He noted ongoing expansion plans, including two new toll gates by November 2024 and a new parking partnership with Emaar Malls starting in July.
In Q2 2024, Salik saw a 1.6 per cent YoY increase in revenue-generating trips, reaching 115.7M. Despite a 9 per cent corporate tax in the UAE affecting net profit, Salik’s EBITDA remained strong at AED 361.5M. The company’s balance sheet is solid, with a net debt/EBITDA ratio of 2.05x, well within its debt covenant.
Looking ahead, Salik will update its financial guidance later this month, factoring in new toll gates, additional revenue, and the reduced RTA concession fee.
