SAUDI ARABIA — Scientific & Medical Equipment House Company has been awarded two contracts at an aggregated value of SAR 280.85 million (US$74.7 million) from the Saudi Ministry of Human Resources on 21 November 2022, according to a bourse filing.
Under the SAR 154.33 million (US$41.05) contract, the firm will handle the maintenance, cleaning, and personal care works of the comprehensive rehabilitation centers and social care homes for the sixth group in Medina and Yanbu.
Global Medical Equipment Maintenance Market is expected to witness market growth at a rate of 8.95% in the forecast period of 2022 to 2029 and is estimated to reach a value of US$44.38 billion by 2029 according to Data Bridge Market Research.
The rise in the healthcare sector globally is escalating the growth of medical equipment maintenance market.
In addition, Scientific & Medical Equipment will perform the maintenance, cleaning, and personal care works for the third group in Makkah, Taif, and Al Qunfudhah at a value of SAR 126.52 million (US$33.65 million).
The adoption of innovative funding mechanisms across the globe acts as one of the major factors driving the growth of medical equipment maintenance market.
The increase in the use for treatment, diagnosis, analysis, and educational purposes across the healthcare industry, and surge in purchase of refurbished medical systems accelerate the market growth.
The two projects, which hold a 24-month duration period, are expected to reflect on the Tadawul-listed company’s income statements during the second quarter (Q2) of 2023.
Scientific & Medical Equipment pointed out that it will disclose any further developments regarding the awarded agreements in due time.
Last October, the Saudi Ministry of Education awarded the company an operation project worth SAR 13.46 million (US$3.58 million).
On September, Scientific & Medical Equipment House Company signed a maintenance and operation contract worth SAR 117.97 million (US$ 31.38 million) with the Saudi Ministry of Education.
According to a bourse filing, the Saudi-listed firm will handle the operation, maintenance, and cleaning services for an educational health center at Najran University over a three-year period.
The project, according to Scientific & Medical Equipment House, will be reflected in its income statements during the fourth quarter (Q4) of 2022.