Salik Reports Strong Q1 2025 Financial Performance

Salik Company PJSC, Dubai's exclusive toll gate operator, has announced a remarkable financial performance for the first quarter of 2025, with revenue surging by 33.7% year-over-year to AED 751.6 million. This impressive growth is attributed to the introduction of variable pricing and the launch of two new toll gates in late 2024, which have significantly increased the total chargeable trips to 158 million.

The company's EBITDA saw an even more substantial rise, climbing 37.9% year-over-year to AED 519.6 million, resulting in an industry-leading EBITDA margin of 69.1%. This robust performance underscores Salik's strategic focus on enhancing operational efficiencies and expanding its revenue streams.

His Excellency Mattar Al Tayer, Chairman of the Board of Directors of Salik, highlighted the company's commitment to delivering long-term value to shareholders and its ambition to become a global leader in smart and sustainable mobility solutions. The company's strategic initiatives, including the exploration of new partnerships and expansion into geographies outside of Dubai, are expected to drive further growth, with revenue projected to grow by 28-29% by the end of 2025.

CEO Ibrahim Sultan Al Haddad emphasized the strong momentum with which Salik has entered 2025, noting the continued success of its core tolling business and the positive traction of its ancillary revenue streams, such as partnerships with the Dubai Mall and Parkonic parking. The strategic introduction of variable pricing has played a crucial role in boosting profitability, with net profit before tax rising by 33.6% to AED 407.2 million.

Given Salik's robust financial performance and strategic growth initiatives, the future outlook for the company appears promising. Investors may consider this as an opportunity to buy into a company that is well-positioned for sustainable growth in the mobility solutions sector.