Dubai Taxi Company PJSC, the leading provider of comprehensive transportation solutions in Dubai, today announced its financial results for the three months ending 31 March 2024, hereinafter referred to as the first quarter of 2024 or the quarter.
The company continued to achieve rapid and strong growth in the first quarter of 2024, while delivering excellent financial performance and continuing to execute on its strategy to expand its fleet and increase its profit margin. Its revenue for the quarter increased by 16% to reach 558.4 million dirhams, thanks to better financial performance in all its divisions.
The taxi division of Dubai Taxi Company achieved strong growth this quarter, with revenue increasing by 15% compared to the previous year, thanks to the increase in the number of trips and the implementation of a new tax for transport services , which was also supported. by adding new taxi vehicles. The airport taxi service is just for those arriving at Dubai airports, as it provides world-class services at a reasonable cost. The exclusive agreements concluded by Dubai Taxi Company with many organizations in areas with high demand for passenger transport services with taxi vehicles in Dubai also provide a significant competitive advantage compared to companies operating in the city’s transportation department. The limousine segment also saw a strong performance with revenue increasing 7% compared to the previous year and 17% compared to the previous quarter. The company’s taxis and limousines completed 12 million trips this quarter, an increase of 8% compared to the previous year, as they received 94 new taxi licenses in the recent RTA auction.
The revenue of the bus sector increased by 28% compared to the previous year, reaching 37 million dirhams, due to an increase in the size of the fleet and new service contracts. The delivery bike segment achieved outstanding performance, with revenue more than quadrupling over last year, and Dubai Taxi Company benefited from the rapid growth of e-commerce and the increasing demand for delivery services on demand.
The company’s strong income contributed to the increase of earnings before interest, taxes, depreciation and amortization by 40% compared to the previous year to reach 169.9 million dirhams, with an exceptional profit margin of 30%, and an increase of 5 percentage points compared to the previous year. Dubai Taxi Company continues to benefit from its business size and market position to achieve greater efficiency in its operations and use the latest innovative technologies to achieve further progress and leadership. Net profit in the first quarter of 2024, which was affected by the cost of corporate tax and financing, increased by 15% compared to the previous year to reach 108.0 million dirhams. After taking out the effect of taxes, net profit increased by 26%, and free cash flow in the first quarter came to 122.7 million dirhams.
Dubai Taxi maintained a healthy balance sheet in the first quarter, with a net debt to EBITDA ratio of 1.1 times, with a cash balance including group investments of 412.5 million dirhams.
Commenting on these prestigious results, Mansoor Rahma Al Falasi, CEO of Dubai Taxi Company, said: “We maintained a strong performance in the first quarter of 2024, and continued to implement our strategy focused on plans grow, to increase. in our revenue by 15% compared to the previous year licenses in the recent Roads and Transport Authority auction, which strengthened our position as the largest operating companies in the taxi sector in Dubai areas in the emirate, providing solutions that meet the diverse needs of Dubai residents, and implementing smart technologies that improve the operational efficiency of our business and improve the transportation experience and make it smoother and more efficient. “
Al Falasi said: “Our outlook for the future is optimistic and stems from the continued growth in the emirate’s population, Dubai’s strong and thriving economy, and its prestigious position as a major business and entertainment destination as due to our plans for further growth in Dubai, we see attractive and unique opportunities for expansion in the neighboring emirates. “
2024-05-08 08:33:44
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