Dubai's Parkin announces H2-24 dividend ahead of new parking rates taking effect

Dubai: The Dubai parking space operator Parkin will release Dh280.9 million to shareholders on April 23. This is related to its performance for the second-half of last year.

On a per share basis, the H2-2024 dividend works out to 9.36 fils per share.

Starting Friday (April 4), Parkin will introduce its variable pricing based on peak- and off-peak usage of its parking spaces. The new rates will represent a significant boost for the DFM-listed company, with the first signs showing up in the Q2-25 results itself.

As per the company's dividend policy, Parkin gets to distribute the higher of net income or free cash flow to equity.

The company's dividends are paid out semi-annually, in April and October.

For H1-2024, the dividend payout was Dh198.77 million, which on a per share basis is 6.63 fils per share.

The dividend distribution will be reviewed annually by the Board of Directors and at the general assembly, 'taking into account the cash management needs for operating expenses, finance costs and planned capital expenditures and investments', said a statement.

"Additionally, the Board will consider market conditions, the current operating environment and future outlook."

When it comes to the outlook, the new variable rates from April 4 will have a decisive say.

New rates

The variable pricing policy - based on peak and off-peak hour usage - will take effect across 100% of Parkin's public parking portfolio and to about 35% of spaces it manages on behalf of developers. The tariff is also based on 'standard parking' or 'premium parking spots.

These are what vehicle owners looking for spots need to keep in mind:

Peak hours: 8am to 10am and 4pm to 8pm

• Dh6 per hour for premium parking spots.

• Dh4 per hour for all other public paid parking spaces.

Off-peak hours: 10am to 4pm and 8pm to 10pm

• The tariffs remain unchanged.

The free parking status quo remains for overnight parking, Sundays, and public holidays.