Dubai Taxi Company (DTC), announced its financial results for the year ended 31st December 2023, delivering a strong performance while also completing its landmark listing on the Dubai Financial Market (DFM) in December.

Revenue for the year increased 11 per cent year-on-year (YoY) to Dhs1.95 billion, primarily driven by the strong performance of its Taxi segment as the number of trips increased during the period, supported by the strong growth of Dubai and DTC’s exclusivity agreements in high-volume areas of the city, including Dubai International Airport (DXB).

DTC’s fleet size at the end of 2023 was more than 7,400 vehicles, with its Taxis and Limousines completing 46 million trips in 2023, an increase of 8 per cent YoY.

The strong revenue performance resulted in a 55 per cent YoY increase in EBITDA to Dhs490.5 million, a margin of 25 per cent and an increase of 7 percentage points year-on-year, supported by DTC’s continued focus on driving operational efficiencies through technology adoption, with initiatives including its state-of-the-art control centre optimising fleet distribution and the increased adoption of e-hailing improving the customer journey.

Net Profit was Dhs345.3 million in FY 2023, up 54 per cent YoY, with Free Cash Flow of Dhs129 million.

DTC maintained a healthy balance sheet during the year, with a highly attractive net debt to EBITDA ratio of 1.3x. The Company secured a Dhs1.0 billion term loan in FY 2023 with a maturity of 5 years as well as a revolving credit facility of Dhs 200 million, from which there were no drawdowns in FY 2023.

Commenting on DTC’s FY 2023 results, DTC’s Chairman Abdul Muhsen Ibrahim Kalbat said, “Our strong inaugural set of results following our successful IPO on DFM in December 2023, highlights the strength of our business, which is underpinned by the growth of Dubai, our market leading position and a supportive regulatory environment. DTC has a well-defined vision and strategy that capitalises on Dubai’s ambitious urban development and robust resident and tourism growth, ensuring we are well positioned to deliver long-term growth and value creation for our shareholders. I am also pleased to confirm that DTC’s Board has recommended a dividend payout of Dhs71 million for Q4 2023, in line with our IPO commitment and subject to shareholder approval.”