New toll gates, variable pricing: Total Salik revenue jumps nearly 40% in H1

Dubai’s road-toll operator Salik said two gates added in November 2024 and the rollout of variable pricing at the end of January 2025 propelled a sharp jump in earnings in the first half of the year. Total revenue rose 39.5 per cent year-on-year to Dh1.527 billion in H1 2025. Net profit for the period grew 41.5 per cent year-on-year to Dh770.9 million after taxes. Second-quarter revenue was up 45.6 per cent, as the period captured the first full impact of the new pricing regime.

Earnings before interest, taxes, depreciation and amortisation (EBITDA), a key measure of operating profitability, grew 44.2 per cent in H1 2025 to Dh1.065 billion, giving the company an EBITDA margin of 69.7 per cent.

Trips and toll usage

Recommended For You

UAE minister Reem Al Hashimy appointed to White House's Gaza Executive Board

Indonesia finds one body from surveillance plane wreckage; passenger count revised to 10

UAE President to begin working visit to India on January 19

Look: 'End-of-Rajab crescent' photographed in Abu Dhabi

Reza Pahlavi confident Iran rulers to fall; Trump holds off despite claiming 'help on way'

 

The total number of trips, including discounted trips, made through Salik’s toll gates grew 39.6 per cent year-on-year in H1 2025 to 424.2 million. Chargeable trips reached 160.4 million in Q2, up 1.6 per cent from Q1’s 158 million, driven by strong growth in peak-period trips (Dh6), which yielded 57.7 million trips, up 46.7 per cent from Q1. Trips in the post-midnight free period totalled 16.4 million, up 46.8 per cent.

Stay up to date with the latest news. Follow KT on WhatsApp Channels.

Toll usage fees increased 42.3 per cent year-on-year in H1 to Dh1.357 billion, with Q2 fees rising 49.4 per cent to Dh691.3 million. The growth was largely due to the first full-quarter impact of the variable pricing system, alongside the addition of the two new gates.

Fines and tag activations

Revenue from fines grew 15.7 per cent year-on-year in H1 to Dh134.3 million, with Q2 fines up 15.2 per cent to Dh65.9 million. Net violations rose 20.3 per cent in Q2 to 808,500, representing 0.4 per cent of net toll traffic. Fines accounted for 8.5 per cent of total revenue in Q2.

Tag activation fees rose 16.2 per cent year-on-year in H1 to Dh22.9 million, with Q2 revenue up 15 per cent to Dh11.5 million, contributing 1.5 per cent of total Q2 revenue.

Dividend and outlook

On the back of the results, the board recommended a cash dividend of Dh770.9 million for H1 2025 — equivalent to 10.278 fils per share — representing 100 per cent of first-half profit.

Mattar Al Tayer, Chairman of the Board of Directors of Salik, said Salik has upgraded its full-year 2025 guidance, now expecting revenue growth of 34–36 per cent, compared with the previous forecast of 28–29 per cent, and EBITDA margins of 68.5–69.5 per cent.

"We continue to benefit from the Emirate’s economic momentum, bolstered by sustained growth in tourism, real estate, and infrastructure spending," he said.

Chief executive Ibrahim Sultan Al Haddad said the company’s performance reflected resilience in core tolling and growth in non-toll income from digital mobility-payment partnerships. He highlighted population growth and record tourism — up 7 per cent between January and May, with hotel occupancy rising to 83 per cent from 81 per cent — as key demand drivers.

“With the visibility we now have into the second half, we are highly confident in Salik’s future growth,” Al Haddad said.

Sahim Salim

Staff Writer

• 

sahim@khaleejtimes.com

As Associate Editor, Sahim Salim helps tell the UAE story like no one else does — and leads a team of reporters that asks the questions to get news and headlines that matter.