Saleh Abdulaziz Al Rashed & Sons aims to boost market share, keep pace with expanding projects in Saudi Arabia: CEO

Saud Abdulaziz Al-Rashed, board Member and CEO of Saleh Abdulaziz Al Rashed & Sons (SAR)

Saud Abdulaziz Al-Rashed, board Member and CEO of Saleh Abdulaziz Al Rashed & Sons (SAR), said the company’s upcoming strategy focuses on introducing new products such as silica and calcium carbonate, alongside ramping up production capacity and enhancing operational efficiency.

In an interview with Argaam, Al-Rashed explained that the company manages a diverse portfolio of activities, including sales of construction materials (aggregate and asphalt), spare parts, crushers, and heavy equipment. This integrated model reinforces its position as a comprehensive solutions provider for the infrastructure and contracting sectors.

He added that the company has played a pivotal role in supplying essential materials and services to major national projects, including Riyadh Metro, King Abdullah Financial District (KAFD), Port of Ras Al-Khair, Jafurah Field, Diriyah, Red Sea, Qiddiya, King Salman Park, Al-Murabba, and Riyadh Expo.

These contributions, he noted, have boosted revenues and contract volumes, while the company continues to expand its market share in line with the Kingdom’s rapid infrastructure and construction growth.

Here is the full interview:

Q: In which market sector do you classify the company? Would you define it as a specialized manufacturer or a full-service solutions provider for infrastructure and contracting?

A: Saleh Abdulaziz Al Rashed & Sons is a closed joint-stock Saudi company dating back to 1975, when it was established as a sole proprietorship. It was converted into a limited liability company in 2010 under the name "Saleh Abdulaziz Al-Rashed & Sons for Trading", before assuming its current name in 2011.

The company has since expanded steadily, raising its capital to SAR 186 million in 2023 and transforming into a closed joint-stock company.

The company boasts a strong track record. Starting with a single quarry in Riyadh, the company's business has grown into a wide network of quarries and diversified products.

In 1996, the company entered the spare parts and crusher sales business by opening its first branch in Jeddah. In 2011, the firm established a specialized transport and logistics arm. In 2020, it enhanced its asphalt presence by building two plants in Rumah, followed by opening new sites for the extraction of aggregate and establishing a new asphalt factory.

Between 2022 and 2024, the company secured two exploration licenses for silica, a strategic step to support its growth and diversification.

Q: What are the key sectors the company focuses on? How do you assess your current performance in the market in terms of demand and profitability and the integration between them?

A: The company operates across a diversified portfolio, including sales of construction materials (aggregate, asphalt), spare parts, crushers, heavy equipment, and specialized manufacturing industries. This reflects the company's strong foothold in the Kingdom's infrastructure and construction sectors.

Its business activities are built around two segments, sales of construction materials (aggregate and asphalt) and sales of spare parts, crushers, and heavy equipment. These segments complement each other, ensuring a robust and reliable supply chain.

The company currently operates seven quarry sites housing 13 crushers, four asphalt-mixing plants, a fleet of over 563 trucks and about 700 pieces of heavy equipment, and a distribution network covering 17 wholesale outlets across Saudi Arabia. This reflects an operational positioning that enables fast delivery and supply continuity.

The aggregate segment is a cornerstone for construction, concrete, and roads projects, delivering solid profitability supported by price improvement and growing sales, with adherence to both national and international quality standards. As for the asphalt segment, it maintains stable margins, backed by vertical integration with the company’s own quarries. The segment's products meet global standards; hence, they are used in roads, airport runways, and major infrastructure projects.

Meanwhile, the spare parts and heavy equipment segment provides steady revenue streams, reinforced by exclusive partnerships with global brands such as ASTEC, SPECO, Wolf, and MEKA, along with technical support and assembly services.

Thanks to this diversification and strong presence, the company looks ahead with optimism, aiming to increase its market share in building materials and expand its spare parts and services network in line with the Kingdom’s booming project pipeline.

Q: What about the company’s current capital? How are your investments allocated between operational assets and future development projects?

A: The company’s capital currently stands at SAR 186 million. It holds 100% ownership in three subsidiaries and an 80% stake in another, ensuring income diversification and sustainable growth.

On the operational side, the firm focuses on developing quarries, asphalt plants, expanding its logistics fleet, which includes more than 563 trucks and 700 pieces of heavy equipment. In addition, it seeks to strengthen production and distribution networks. Meanwhile, the company targets investments in new development projects, including additional quarry and asphalt sites in key locations, and the production of industrial minerals such as silica and calcium carbonate.

Q: How do you assess the company’s participation in giga national projects over the past years? What are your plans to capitalize on upcoming opportunities in the infrastructure sector?

A: Over the past three years, SAR has contributed to several major projects tied to Saudi Vision 2030, most notably Riyadh Metro and other giga-projects, which reflects its main contribution in the national development.

At the same time, the company has increased its production capacity and modernized equipment to boost its operational efficiency. In addition, it adopted sustainability and digital transformation initiatives to enhance competitiveness. The firm also seeks to broaden its client base and product portfolio to minimize risk and strengthen supply chain resilience.

The company’s future strategy focuses on strengthening its market share, diversifying revenue streams, and enhancing operational efficiency while reducing costs. This approach aligns with Vision 2030 objectives and positions the company to capitalize on major opportunities in the infrastructure and construction sector.

Mega national projects have played a central role in driving the company’s growth, providing essential materials and services that directly boosted revenues and contracts.

Among the most notable projects are:

- Riyadh Metro – supply of core materials and services

- KAFD – supply of high-quality aggregate

- Port of Ras Al-Khair Port & Jafurah Field – contribution to energy and heavy industry projects

- Diriyah, Red Sea, Qiddiya – provision of materials for early construction phases

- King Khalid International Airport, King Salman Park, Al-Murabba, Al-Dhahia, Riyadh Expo

These contributions highlight the company’s capability to meet the demands of giga-projects that underpin Vision 2030, cementing its role as a strategic supplier of construction and infrastructure resources.