Dubai Taxi Company Achieves Strong FY 2024 Results With 19% EBITDA Growth To AED 584.4 Million

Dubai Taxi Company PJSC (DTC) has reported its financial outcomes for the year ending 31st December 2024. This marks its first complete operational year post-IPO. The company experienced a 12% rise in revenue, reaching AED2.20 billion, driven by Dubai's population and tourism growth. This increase was consistent across all segments.

The taxi segment saw a 12% revenue boost, totalling AED1.92 billion, due to more trips and an expanded fleet. DTC added 744 vehicles, increasing its operational fleet to 5,960 taxis. Additionally, the company obtained 994 new licence plates, enhancing its market share to 47% in Dubai.

The limousine segment also performed well with an 8% revenue increase to AED124.5 million in FY 2024. This growth was supported by adding more vehicles to the fleet. Together, taxis and limousines completed over 49 million trips during the year, marking a 6% rise from the previous year.

In the bus segment, revenue grew by 11% to AED119.2 million due to new service contracts and fleet expansion. Meanwhile, the delivery bike segment saw remarkable growth with revenue increasing by 2.3 times as it partnered with major delivery aggregators in the on-demand delivery market.

DTC's EBITDA rose by 19% year-on-year to AED584.4 million, maintaining a margin of 27%. The company focuses on operational efficiencies through technology and scale optimisation while adopting fuel-efficient vehicles for sustainability. Over 85% of its taxi and limousine fleet now consists of hybrid or electric vehicles.

Despite these achievements, net profit fell by 4% to AED331.3 million due to corporate tax introduction and higher interest costs in the UAE. However, excluding these factors, net profit increased by a robust 18%. The company's balance sheet remains strong with a net debt to EBITDA ratio of 1.13x and a cash balance of AED336.1 million as of December end.

Strategic Vision and Dividend Announcement

DTC's Chairman Abdul Muhsen Ibrahim Kalbat stated that their performance reflects their ability to leverage Dubai's growth while delivering top-notch mobility solutions aligned with urban development goals. He announced a new five-year strategy aiming for double-digit growth through investments in eco-friendly vehicles.

The Board has recommended a final dividend of AED122.3 million for FY 2024, bringing the total dividend payout to AED281.6 million, adhering to their policy of distributing at least 85% of annual net profit.

With inputs from WAM