Dubai's Salik 2024 net profit gets a lift; 2 new toll-gates help

Dubai: Salik, the Dubai toll-gate operator, lifted its 2024 profit to Dh1.16 billion from just over Dh1 billion a year ago, with the two new gates that went live in November adding to the numbers. Salik operates 10 toll locations in the city and this year introduced variable rates for users passing through depending on the time of the day.

“The performance and profitability of the company has improved as evident from the fact that net profit has grown 6.1% despite introduction of corporate tax of 9% effective from January 1, 2024,” said a statement.

Reduced concession fee

Also, the profit tally has been helped by a cut in the concession fee being paid to the parent entity RTA from 25% to 22.5%, which became effective April 1, 2024. This was part of the inflation adjustment under the terms with the RTA.

Revenues for Salik came to Dh2.229 billion, again a solid gain on the Dh2.1 billion from 2023.

“Salik’s revenue increased 8.7% mainly driven by increase in toll-usage due to the improved economic activity (witnessed in Dubai), growth in traffic and commencement of operations of two new toll-gates,” said the statement.

This led to a growth in revenue generating trips by 8% to around 498.1 million trips made through the Salik gates in the city.

On the DFM, the stock is trading at Dh5.17.