Dubai: Dubai Taxi Company (DTC) delivered a robust set of results in Q1 2025, with strong underlying performance across its core business lines. The Company’s fundamentals remain strong supported by Dubai’s population and tourism growth as well as urban expansion which continued to drive demand for mobility services.
According to Emirates News Agency, revenue for the quarter increased 5 percent year-on-year to AED588.3 million, and by 7 percent like-for-like, driven predominantly by fleet expansion across segments and the strong performance of DTC’s taxi and delivery bike operations. DTC’s taxi segment revenue increased 7 percent year-on-year to AED515.0 million, driven by increased trip numbers, as the Company expanded its fleet to better serve its customers.
Since the beginning of the year, the Company has added 250 fully electric vehicles to its operational fleet, bringing the total to over 6,200 taxis as of March 2025. With more than 86 percent of the fleet now consisting of hybrid or electric vehicles, this milestone underscores DTC’s firm commitment to sustainability and aligns with the Dubai 2040 Urban Master Plan and the Dubai Government’s strategic objectives for the transportation sector.
The limousine segment saw revenue increase by 3 percent year-on-year to AED34.3 million in Q1 2025, supported by additional fleet expansion. DTC’s taxis and limousines completed 12.8 million trips during the quarter, up 8 percent year-on-year. Across segments, DTC’s total operational fleet rose 26 percent year-on-year to 9,872.
DTC’s bus segment was affected by contractual changes that altered the revenue recognition cycle during the first quarter, resulting in a 14 percent year-on-year revenue decrease to AED31.6 million. However, the delivery bike segment continued to deliver significant growth with revenue up 110 percent, leveraging partnerships with major delivery aggregators.
Other services, primarily comprising DTC’s digital arm Connectech including Bolt e-hailing operations, were impacted by promotional discounts as part of Bolt’s launch campaign. These investments, aimed at accelerating customer acquisition and driving long-term growth, were strategically front-loaded into the first quarter.
The Company’s EBITDA decreased to AED154.4 million, down 9 percent year-on-year, while maintaining a margin of 26 percent. Excluding the impact of Connectech, EBITDA increased 4 percent year-on-year with a robust margin of 30 percent, as DTC remained focused on driving operational efficiencies.
Reported net profit declined by 23 percent year-on-year to AED83.6 million, primarily due to the promotional discounts offered during Bolt’s launch. Excluding Connectech, the core business delivered a resilient operational performance with a slight decline of 2 percent year-on-year.
DTC maintains a strong balance sheet, with a net debt-to-EBITDA ratio of 1.2x and a cash balance of AED287 million as of 31 March 2025. Shareholders approved a final cash dividend of AED122.3 million for the second half of the financial year ended 2024.
DTC’s CEO, Mansoor Rahma Alfalasi, expressed confidence in the fundamentals of the business and highlighted the company’s strategic partnership with Dubai Airports to remain the exclusive taxi service provider at Dubai International and Dubai World Central airports. This partnership is expected to facilitate over 8 million annual trips by 2029, with projected revenues of AED2.5 billion over five years.
Bolt’s integration into DTC’s airport fleet has delivered innovative and digital transportation solutions, enhancing convenience for travelers. Since the partnership’s launch, Bolt’s app has seen 279,000 downloads, and 267 fleet partners have been onboarded, maintaining an average estimated time of arrival under three minutes.
DTC looks forward to continued growth, supported by Dubai’s strong economic outlook, population growth, and the emirate’s status as a leading global tourist destination. The continuous fleet expansion and strategic investments in technology and partnerships position DTC to capture significant value from Dubai’s robust growth.