Salik to distribute Dhs544.8m Interim Dividend; H1 2024 revenues up 5.6%

Staff Reporter, Gulf Today

The Board of Directors of Salik Company (Salik or the Company), Dubai’s exclusive toll gate operator, chaired by Mattar Al Tayer, Chairman of the Board, on Tuesday announced the Company’s financial results for the three-month and six-month periods ended June 30, 2024 (“Q2 2024” and “H1 2024”).

Salik delivered very healthy financial performance in the first half of 2024, registering 238.5 million revenue-generating trips which increased by 4.9% YoY to record a total revenue of Dhs 1.1 billion. Revenue from toll usage, comprising 87.1% of total revenue, rose by 4.9% YoY to Dhs953.8 million.

During the first half of 2024, Salik reported EBITDA of Dhs 738.4 million, up 6.5% year-on-year, and profit before tax of Dhs 598.6 million, up 9.2% year-on-year. Salik generated net profit after tax of Dhs 544.8 million during the same period. In view of the strong financial results, the Company’s Board of Directors approved an interim dividend distribution of Dhs 544.8 million, equivalent to 7.263 Fils per share, payable on 5 September 2024.

Mattar Al Tayer, Chairman of the Board of Directors of Salik, said: “We are very pleased with our performance during the first half of the year, with strong revenue growth of 5.6% year-on-year, further supporting our ambition to become a global leader in mobility solutions. Since the beginning of 2024, we have focused on expanding our core tolling business while diversifying our revenue streams through new strategic initiatives. The addition of two new toll gates in Dubai, scheduled to be operational by the end of November 2024, and our recent parking solutions partnership with Emaar Malls, which became operational in July this year, underscore our commitment to diversification and growth. These initiatives further support the company’s ability to continue creating value for all stakeholders while directly supporting Dubai’s position as a leading destination to visit, live and work.”

Ibrahim Sultan Al Haddad, Chief Executive Officer of Salik, commented: “We are delighted to report another very robust quarter, with Salik’s performance a clear demonstration of the resilience of our business model and our commitment to enhancing mobility in Dubai. The increase in revenue-generating trips and active accounts achieved in Q2 2024 reflects our strategic efforts to meet growing demand for efficient transportation. Dubai continues to strengthen its position as a global tourism hub, attracting more international visitors than ever before. The city continues to attract new residents and businesses, and we are proud to play a pivotal role in making Dubai one of the most accessible cities in the world.”

Salik posts 1.6% YoY growth in revenue-generating trips in Q2 2024, reaching 115.7 million.

The total number of trips, including discounted trips, made through Salik’s eight toll gates grew by 1.2% YoY in the second quarter.