In a move that strengthens its position in the operational and logistics services sector in Saudi Arabia, Dar Al-Madaat Medical and Scientific Company last Thursday that it had received official approval from the Ministry of Human Resources and Social Development to be awarded a major project. This project aims to supply uncooked meals to shelters across the Kingdom, as well as provide cooked meals to several anti-begging offices, specifically for groups one through six.
According to the official statement published by the company on the Saudi Stock Exchange (Tadawul) website, the total value of this contract is SAR 260.9 million , and the contract extends for a period of 24 months. The company indicated in its statement that it expects the financial impact of this project to begin appearing in the company's financial statements starting from the fourth quarter of fiscal year 2026, reflecting the company's long-term financial planning.
Strengthening the partnership between the public and private sectors
This step comes within the framework of strengthening the strategic partnership between the private sector and government entities in the Kingdom, in line with the objectives of Vision 2030 , which encourages increased efficiency in government spending and improved quality of services provided to beneficiaries by outsourcing operational services to highly efficient specialized companies. Dar Al-Madaat is one of the leading companies listed on the Saudi Stock Exchange with a proven track record of executing major government projects, particularly in the medical and operational sectors.
Project importance and geographical scope
This project is of particular importance due to its wide geographical scope, covering all regions of the Kingdom, which necessitates high logistical and administrative capabilities to ensure continuity of supply and quality. The residential branches and anti-begging offices are vital facilities that the Ministry of Human Resources prioritizes, as they serve vulnerable social groups in need of special care. This contract guarantees the provision of basic food and living necessities according to strict health and nutritional standards, thus contributing to improving the quality of life within these facilities.
Positive economic repercussions
From an economic perspective, Dar Al-Mada’a’s winning of this contract reflects the growing confidence in the capabilities of national companies to manage large-scale catering projects. Furthermore, the investment of over a quarter of a billion riyals in this sector will contribute to stimulating the local economy and supporting the Kingdom’s food supply chains. This contract is expected to stabilize the company’s cash flow and strengthen its existing project portfolio, benefiting shareholders and enhancing the company’s financial position in the market.
