Salik Q1 2026 results: Revenues dip to AED 728.9m as March traffic decline hits toll income
Salik Q1 2026 results — Dubai toll operator posts AED 728.9m revenue and AED 369.3m net profit, strong cash flow and partnerships despite March traffic fall
Salik reported its Q1 2026 results showing revenues of AED 728.9 million and a net profit of AED 369.3 million, underlining resilience amid softer traffic in March. The Salik Q1 2026 results reflect a 3.0% year‑on‑year decline in total revenue largely driven by lower toll use, while profitability and cash generation remained robust.
Revenue and traffic performance
Total revenue for the quarter stood at AED 728.9 million, down 3.0% from the same period last year, with toll‑use income at AED 625.5 million. The company recorded 197.2 million total trips, a 6.4% decline year‑on‑year, and 145.7 million trips subject to tolls, which fell 7.7% compared with Q1 2025.
Peak‑period toll journeys numbered 53.7 million and off‑peak journeys 75.9 million, highlighting continued commuter demand despite the downturn. Management attributed the March shortfall to an exceptional event that reduced traffic volumes, partially offset by gains from card activations and new non‑toll revenue streams.
Profitability and cash generation
Salik delivered EBITDA of AED 507.2 million, yielding a healthy margin of 69.6%, an improvement on the prior quarter and up 44 basis points year‑on‑year. Net profit after tax remained solid at AED 369.3 million, with a net margin of 50.7%, reflecting tight cost control and operational efficiency.
Free cash flow was AED 636.5 million for the quarter, up 1.6% year‑on‑year, producing an exceptional free cash flow margin of 87.3%. Lower net financing costs, which fell by about 14.6% year‑on‑year, also helped preserve bottom‑line strength during the softer traffic period.
Balance sheet and leverage
Net debt declined to AED 4,226.4 million as of 31 March 2026, down around 11.9% from the end of Q4 2025, reducing the company’s leverage. On a trailing‑12‑month basis, net debt to EBITDA stood at 1.98x, comfortably below the company’s 5.0x covenant ceiling and well inside peer ranges.
Working capital moved to a net deficit of AED 846.0 million, driven chiefly by semi‑annual concession payments for two new gates, while liquidity and access to credit remain solid. The company’s credit profile has been supported by upgrades and confirmations from ratings agencies, which reflect predictable cash flows and prudent financial management.
Digital expansion and strategic partnerships
Salik continued to broaden its digital payments ecosystem, securing and expanding partnerships that diversify revenue beyond tolls. Notable agreements include a 10‑year integration with Dubai Airports implemented from 22 January 2026 and a network rollout with Valtrans that will enable Salik wallet payments for valet and parking services across more than 100 sites.
The company is also advancing mobility‑adjacent services with Parkonic and Emaar Malls integrations, and has agreements to pilot wallet payments for fuel and other services with ENOC. Salik’s collaborations with Schneider Electric and Vcharge aim to deploy integrated EV charging payments, targeting a commercial roll‑out from the third quarter of 2026.
Operational metrics and customer base
Active Salik accounts rose to 2.8 million during Q1, up 7.5% year‑on‑year, and vehicle registrations linked to the service increased by 8.4%. Activation fee revenue grew 6.1% to AED 12.2 million, supporting recurring revenue diversity alongside the core toll business.
Non‑toll revenue streams showed pronounced momentum: additional revenue from parking and other services reached AED 8.0 million, a 147% jump year‑on‑year, while fines income was stable at AED 69.1 million and constituted roughly 9.5% of total revenue. These trends underline the value of Salik’s expanding electronic wallet and platform strategy.
Strategy, sustainability and community initiatives
Company leadership emphasised the resilience of Salik’s business model and the strategic priority of long‑term value creation for shareholders. Management reiterated a disciplined capital allocation approach and continued investment in technology to support Dubai’s smart‑mobility ambitions.
Salik also highlighted social and governance initiatives, including a partnership with Dubai Charity to support orphans and an 11.1% increase in full‑time employees to 60 staff, with Emiratisation at 35.0% and female representation reaching 23.3%. These actions align with the company’s stated ESG commitments as it scales new services.
Salik’s Q1 2026 results show a toll operator balancing short‑term traffic volatility with durable margins, ample cash flow and a clear path to diversify revenues. As Dubai’s transport ecosystem evolves, Salik’s focus on digital payments, parking and electrification services positions it to capture long‑run growth while maintaining financial resilience.
