Parkin posts record Q3, sees better full-year growth on strong revenues

07/11/2025 02:26 AST

Parkin Company PJSC, Dubai's largest provider of paid public parking, reported record third-quarter results, with revenues up 43% year-on-year to Dh343.3 million, driven by higher tariffs, network expansion, and robust enforcement income.

Net profit rose 50% to Dh157 million, while EBITDA climbed 36% to Dh199.8 million, maintaining a 58% margin. The company raised its full-year 2025 revenue guidance, citing sustained performance across all business lines.

The introduction of a variable parking tariff in April 2025 proved pivotal, lifting the average hourly rate by 51% to Dh3.03 and revenue per parking space by 21%. Even as average utilisation dipped to 21.3% from 26.4%, revenue growth remained strong, helped by an expanded portfolio of 219,000 parking spaces, up 6% year-on-year.

Seasonal card sales surged 126% to a record 81,000, as drivers switched from daily passes to longer-term options following tariff adjustments. The Roads and Transport Authority (RTA) is reviewing seasonal card pricing to align with the new system.

Enforcement revenues jumped 59% to Dh103 million, supported by a 63% increase in fines issued to 682,000 and a 169% rise in license plate scans through 27 smart inspection vehicles. Parkin also added new drivers to boost field enforcement during peak periods.

CEO Eng. Mohamed Abdulla Al Ali said the results reflect "disciplined execution and continued operational strength," adding that partnerships such as the on-demand fuel and car wash service with CAFU underscore Parkin's innovation drive.

The company's free cash flow to equity more than doubled to Dh433 million, with a 99% cash conversion rate, highlighting its asset-light model. Liquidity stood at Dh654.8 million, including a fully undrawn Dh100 million revolving credit line.

Parkin also revised up its 2025 enforcement revenue forecast to between Dh360 million and Dh390 million, while public parking revenue is now expected to reach Dh520-550 million for the year.

Operating under a 49-year concession with Dubai's Roads and Transport Authority, Parkin continues to strengthen its position as a leader in smart mobility, combining tariff reform, technology upgrades, and digital services to redefine Dubai's urban parking ecosystem.

Gulfnews