Dubai Alex Block/Unsplash

Dubai's exclusive toll gate operator Salik Company PJSC approved an AED 550 million cash dividend distribution during the Annual General Meeting (AGM) on Tuesday. The AGM was led by Mattar Al Tayer, Chairman of Salik's Board of Directors.

During the meeting, shareholders gave their approval to the Board's report on the company's activity and financial statements for the fiscal year ending on Dec. 31, 2023, including the distribution of AED 550,035,000 in cash dividends, equivalent to 7.3338 fils per share, representing 100% of the net profit for the second half of the fiscal year.

The cash dividends for the fiscal year 2023 amounted to AED 1,097,962,219, equivalent to 14.6395 fils per share, representing about 100% of the distributable net profit for 2023.

"Salik's robust financial performance in 2023 highlights the resilience of its business model, with record total revenue of AED 2.1 billion, increasing by 11.4 percent YoY," Al Tayer was cited as saying by WAM.

"This growth was primarily attributed to toll usage revenue, which grew by 11.7 percent YoY, marking the strongest full-year performance since the start of Salik's operation in 2007," he added.

Al Tayer stressed that distributing 100% of the net profit for the second half of 2023 underscores their commitment to creating long-term value for shareholders. He highlighted the company's role as both a contributor to and beneficiary of Dubai's dedication to growth and diversification, expressing pride in playing a role in the thriving economy.

"Today's AGM resolutions mark a significant step forward for Salik, positioning us for growth and ESG stewardship. The recent introduction of our Corporate Social Responsibility & Volunteering Policy in 2024 further underscores our commitment to achieving sustainable growth and aligning our operations with international best practices," he said.

"We remain committed to collaborating closely with the relevant institutions and stakeholders, to support socio-economic development while prioritizing societal well-being and creating positive change within our community," Al Tayer added.

Ibrahim Al Haddad, CEO of Salik, said, "Salik's second AGM as a publicly listed company marks a notable milestone in our journey of growth and development."

Al Haddad emphasized Salik's commitment to robust governance and transparency practices that have developed confidence among shareholders, who remain dedicated to fulfilling strategic growth plans and aiming to elevate their business to unprecedented success.