Salik Company (SALIK) Investor presentation summary

Business overview and strategy

• Operates as Dubai's exclusive toll gate operator with a 49-year concession, managing 10 gates and serving 4.85 million active vehicles as of March 2026.

• Asset-light model with high EBITDA margins, strong free cash flow, and a focus on ancillary revenue streams such as parking payments, data monetization, and advertisements.

• Strategic pillars include thriving in tolling, ESG stewardship, sustainable growth, and future-proofing the company.

• Expansion into smart mobility solutions and partnerships for parking, insurance, and EV charging.

• Committed to ESG, with solar-powered gates, digital transformation, and social initiatives.

Financial and operational highlights

• Q1 2026 revenue was AED 728.9 million, down 3.0% YoY; EBITDA was AED 507.2 million with a 69.6% margin.

• Net profit for Q1 2026 was AED 369.3 million, with a net profit margin of 50.7%.

• Total chargeable trips in Q1 2026 were 145.7 million, a 7.7% YoY decline, reflecting softer traffic trends.

• Free cash flow for Q1 2026 reached AED 636.5 million, with a margin of 87.3%.

• Net debt stood at AED 4.2 billion, with a conservative leverage ratio of 1.98x EBITDA.

Market conditions and outlook

• Dubai's population, tourism, and infrastructure spending continue to grow, supporting long-term demand.

• Variable pricing implemented since early 2025, with peak, off-peak, and midnight tariffs to optimize traffic and revenue.

• FY 2026 guidance revised downward due to geopolitical impacts: revenue growth now expected at -3% to 0%, with EBITDA margin at 67.5%-68.5%.

• Ancillary revenues from parking, data, and insurance expected to grow significantly by 2030.

• Dividend policy remains at 100% of net profit, with AED 1.66 billion distributed for FY 2025.