​​​​​Dubai toll operator Salik posted a net profit of 255 million dirhams ($69.43 million) for the third quarter of 2023, up 5.3%, compared to AED 242 million a year earlier.

The results beat analysts’ mean estimate of AED 244.22 million, according to LSEG data.

Revenue surged 14% in the quarter to AED 509 million from AED 445 million in the same period last year.

Toll usage revenue, representing 87% of total income, increased 14.6% year-on-year (YoY), the highest third-quarter performance since Salik commenced operations in 2007.

For nine-month 2023, the company’s profit fell 22.7% to AED 803 million.

Revenue rose 11.2% YoY to AED 1.54 billion, driven by Dubai’s continued attraction to tourists and business-as-usual commercial activities.

The number of vehicles registered with Salik increased 8.8% YoY to 3.9 million as of September 30, 2023. In addition, registered active accounts increased 13% YoY to 2.4 million. Tag activations reached 226,000 in the third quarter of 2023, a 17% increase YoY.

“We reiterate our full-year financial guidance and expect underlying revenue-generating trips to grow 9-10% compared to 2022 with an EBITDA margin in the range of 66-67%,” said Ibrahim Sultan Al Haddad, CEO of Salik.

In August, Salik’s board of directors approved cash dividends of nearly AED 548 million for the first half of 2023.

(Editing by Brinda Darasha; brinda.darasha@lseg.com)