Salik approves Dhs491 million in cash dividends for H2 2022

Salik Company (Salik), Dubai’s exclusive toll-gate operator, has agreed to distribute cash dividends of Dhs491 million (6.5521 fils per share). This came as the company’s board concluded today its first Annual General Meeting (AGM) as a publicly listed company, headed by Mattar Al Tayer, Chairman of Salik’s Board of Directors.

The shareholders approved the Board of Directors’ report on the Company’s activity and its financial statements for the fiscal year ended on 31 December 2022.

The AGM also saw the approval of the Board of Directors’ proposal to distribute cash dividends of Dhs491,407,500 (6.5521 fils per share) which represents 100 per cent of the net profit of the second half of the fiscal year ended on 31 December 2022, after deducting a one-time statutory reserve of Dhs37.5 million, in line with Salik’s dividend policy.

Salik’s impressive financial performance in 2022 demonstrates the strength of its business model. Salik reported a net profit of Dhs 529 million for the second half of 2022, covering the period since the start of Salik’s concession agreement with the Roads & Transport Authority (RTA) until December 31, 2022. In 2022, Salik’s revenue increased 11.8 per cent YoY to Dhs1,892 million, primarily driven by a 12.6 per cent rise in the number of revenue-generating trips resulting from ongoing recovery after the lifting of COVID-19 restrictions in Dubai.

Commenting on the Company’s performance and outlook, Mattar Al Tayer, Chairman of Salik’s Board of Directors, said, “Our solid performance in 2022 is a testament to the trust that our shareholders and the wider business community have in our company.as well as Dubai’s commitment to ongoing growth as part of its overarching development strategies. We are honoured to be a key player within this thriving economy.” Al Tayer further stated: “2022 marked a new chapter in Salik’s journey, and we are pleased to play a central role in Dubai’s ambitious IPO programme, including the momentous listing of Salik in September 2022. We remain dedicated to collaborating closely with the government and other stakeholders in order to achieve our aspirations.” Ibrahim Al Haddad, CEO of Salik, said, “Salik’s first AGM as a publicly listed company marks a significant milestone in our journey of growth and development.

Our commitment to strong governance and transparency standards has been mirrored in the trust of our shareholders which was evident in today’s meeting. Among key resolutions passed is the Board of Directors’ proposal to distribute 100 per cent of Salik’s net profit of the second half of 2022, marking the beginning of our commitment to ensuring tangible return and long-term value to our shareholders. We are committed to delivering on our promises and taking our business to new heights.”