Dubai Taxi Firm PJSC (“DTC” or the “Firm”), a number one supplier of complete mobility options in Dubai, as we speak introduced its monetary outcomes for the 9 months ended 30 September 2024 (“9M 2024” or the “Interval”).
DTC maintained robust momentum throughout the first 9 months of 2024 because it continued to execute on its technique of fleet enlargement and increasing its profitable exclusivity agreements. Income for the interval elevated 13% year-on-year to AED 1.60 billion, pushed by optimistic efficiency throughout all its segments. Dubai’s optimistic macroeconomic atmosphere, elevated tourism and inhabitants development continues to assist demand for DTC’s numerous transportation companies.
Income in DTC’s taxi section elevated 12% year-on-year to AED 1.39 billion, pushed by an elevated variety of journeys and common journey size. The Firm expanded its working fleet by 444 autos for the reason that begin of the yr, taking its complete operational taxi fleet to five,660 on the finish of the interval. This doesn’t embrace the lately awarded 300 new taxi licences which have been rolled out post-period. The limousine section noticed income enhance by a gradual 3% year-on-year to AED 89.1 million in 9M 2024. The Firm’s taxis and limousines accomplished 36 million journeys throughout the interval, up 5% year-on-year.
DTC’s bus section achieved stable development throughout the interval, with new service contracts secured and 77 autos added to its fleet. Because of this, income elevated 27% year-on-year to AED 87.7 million. Partnerships with main supply aggregators within the UAE, together with Talabat, the area’s main supply platform, supported the fast enlargement of the Firm’s supply bike section, which noticed income develop 2.5 instances.
The Firm’s robust topline efficiency resulted in a 20% year-on-year enhance in EBITDA to AED 432.2 million, at a sexy margin of 27%. DTC continues to concentrate on value optimisation by operational efficiencies and the adoption of fuel-efficient autos in step with its sustainability commitments. DTC’s taxi and limousine fleet is now greater than 85% environmentally pleasant, consisting of both hybrid or electrical autos.
Revenue earlier than tax and curiosity prices elevated 19% year-on-year to AED 319.3 million. It is a comparable metric year-on-year as company tax was not payable in 2023. Reported web revenue declined 7% year-on-year to AED 247.1 million, because of the introduction of company tax within the UAE and elevated curiosity prices.
DTC maintains a wholesome steadiness sheet, with a extremely engaging web debt to EBITDA ratio of 1.3x and a money steadiness of AED 272.3 million, together with Wakala deposits, as of 30 September 2024.
Commenting on the Firm’s 9M 2024 outcomes, DTC’s CEO, Mansoor Rahma Alfalasi, stated: “DTC delivered a powerful set of outcomes throughout the nine-month interval as we continued to ship on our development priorities and place the Firm for future development. Income elevated 13% year-on-year with EBITDA margin rising 2 proportion factors to 27%, as we consolidated our market management, rising our Dubai taxi market share to 46%, and expanded our fleet throughout all our segments.”
“DTC continues to be an innovator within the mobility sector, supporting Dubai’s transportation infrastructure and guaranteeing the emirate stays a number one enterprise and tourism vacation spot. With accessibility and innovation a precedence for DTC, we partnered with mobility chief Bolt to launch its cutting-edge platform in Dubai. This partnership will considerably broaden our buyer base to incorporate Bolt’s current world customers, unlocking new potential income streams for DTC.”
“Our optimism for the long run is underpinned by our ongoing strategic execution and Dubai’s main place as a household, enterprise and leisure vacation spot, with robust macroeconomic tailwinds enabling inhabitants development and concrete enlargement. Collectively, these elements will contribute to our long-term and sustainable development.”
9M 2024 Operational Highlights
DTC continued to make strides throughout its operation. The Firm was awarded 300 new taxi licences on the Highway and Transport Authority public sale throughout the third quarter, which will increase its Dubai taxi market share to 46%. The extra taxis are anticipated to generate a further AED 100 million in annual income, with 25% of the brand new licences to be allotted to electrical taxis. This underlines the Firm’s dedication to sustainability and assembly the UAE’s web zero by 2050 emissions goal.
Put up-period, the Firm introduced its partnership with Bolt, the worldwide shared mobility platform, which can see Bolt launch its e-hailing platform in Dubai, with DTC receiving unique operational rights within the emirate. The partnership will allow DTC to unlock a higher share of the general taxi and e-hailing sector, whereas contributing to Dubai’s directives to transition 80% of taxi journeys to e-booking within the coming years. DTC will utilise infrastructure and expertise created by Bolt and can profit from Bolt’s world footprint, permitting it to faucet right into a worldwide buyer base of vacationers and enterprise travellers that go to Dubai.
Outlook
DTC has a optimistic outlook throughout all its enterprise segments, enabled by Dubai’s robust financial outlook and a forecast resident inhabitants Compound Annual Development Charge (CAGR) of two.8% between 2023 and 2040, in addition to a vacationer customer CAGR of 20.5% between 2023 and 2025. Throughout the interval, Dubai Airports raised its annual passenger forecast to 93 million in 2024, with passengers whose remaining vacation spot is Dubai making up 60% of the airport’s complete site visitors as we speak, in comparison with 40% earlier than the pandemic, underscoring the town’s standing as a rising tourism and enterprise vacation spot. Moreover, the Worldwide Financial Fund (IMF) projected that the UAE economic system would broaden by 4% this yr, rising to five.1% in 2025. In the meantime, Dubai unveiled its largest authorities funds for the interval 2025 to 2027, totalling bills of AED 272 billion, with 46% of subsequent yr’s funds allotted to infrastructure, together with the highway community.
DTC is positioned to seize worth from the emirate’s sturdy development whereas its investments in expertise and partnerships will proceed to unlock thrilling new development alternatives.
Monetary Highlights
|
AED million |
Q3 2024 |
Q3 2023 |
YoY development (Q3 24 vs Q3 23) |
9M 2024 |
9M 2023 |
YoY development (9M 24 vs 9M 23) |
|
Income |
507.4 |
457.1 |
11% |
1,596.9 |
1,413.7 |
13% |
|
Taxi * |
439.4 |
405.8 |
8% |
1,391.9 |
1,246.7 |
12% |
|
Limousine |
27.5 |
28.5 |
(4%) |
89.1 |
86.6 |
3% |
|
Bus |
15.7 |
12.0 |
31% |
87.7 |
69.1 |
27% |
|
Supply Bike |
24.8 |
10.8 |
2.3x |
28.2 |
11.4 |
2.5x |
|
EBITDA |
123.0 |
115.6 |
6% |
432.2 |
359.0 |
20% |
|
EBITDA Margin (%) |
24% |
25% |
(1 p.p.) |
27% |
25% |
2 p.p. |
|
Web Revenue |
59.7 |
80.8 |
(26%) |
247.1 |
267.1 |
(7%) |
|
Web Debt (Money) |
722.5 |
(591.6) |
– |
722.5 |
(591.6) |
– |
* Consists of income from My Driver companies