Declining Construction Demand and Intensifying Competition Following Reconstruction and Olympic-Related Demand
First written in FY2016. 6 of 12 entries say "Restated". Latest entry: FY2026.
The whole theme swung hardest in 2024: 4 of 8 companies on the "Worse" side.
1 other company's latest entry also says "Other".
- FY2026Construction investment is expected to increase, but risks from materials, supply chains and restrained capital investment are also notedAnnual report
「For the next period, overall construction investment is expected to remain firm and increase from the previous fiscal year. However, risks include delays in the delivery of construction materials due to surging material prices and supply chain disruptions amid an unstable international environment, as well as restrained capital investment resulting from growing economic uncertainty.」
Overall construction investment is expected to increase from the previous fiscal year, while surging material prices, delivery delays caused by supply chain disruptions and restrained capital investment are cited as downside factors. - FY2025Overall construction investment remains firm, but slower growth and external downside risks are also notedAnnual report
「For the next period, overall construction investment is expected to remain firm, although its growth rate will be lower than in the previous fiscal year. However, continued attention is required regarding the effects of a downturn in overseas economies, rising prices and U.S. policy developments.」
The disclosure expects construction investment to remain firm while growth slows from the previous fiscal year, and also cites downturns in overseas economies, prices and U.S. policy as downside factors. - FY2025-H1Polarization of construction demand by segment and saturation of logistics facilities notedAnnual report
「Companies' appetite for capital investment remains firm, and demand for new offices in major cities and factory construction is expected to support growth. Meanwhile, large logistics facilities are saturated, particularly in the Tokyo metropolitan area, and are expected to remain broadly at the previous fiscal year's level in real terms.」
While demand for new offices and factory construction is expected to increase, large logistics facilities are described as saturated, particularly in the Tokyo metropolitan area, adding segment-specific differences to the composition of construction demand. - FY2023-Q3RestatedAnnual report
「During the cumulative third quarter of the current fiscal year, there were no material changes in the occurrence of major risks that management recognizes as potentially having a material impact on the Group's financial position, operating results, or cash flows, among matters concerning the business and financial conditions described in the quarterly report, or in the "Business and Other Risks" described in the annual securities report for the previous fiscal year.」
The disclosure states that there have been no material changes in business and other risks, and the previous assessment of risks related to a long-term contraction in domestic construction investment and intensifying competition has effectively been maintained. - FY2023-Q2RestatedAnnual report
「Public construction investment remained firm, supported by measures to prevent and mitigate natural disasters, recovery and reconstruction measures, and measures addressing aging infrastructure under the national resilience policy.」
While public investment is described as firm, no material change is explicitly identified in the previously noted risks, including a long-term contraction in domestic construction investment and restrictions on public investment. - FY2021WorsenedAnnual report
「Domestic maintenance and repair investment is expected to remain firm as domestic construction investment contracts over the long term and infrastructure and buildings age」
The previously identified risk of declining construction demand due to population decline and other factors is explicitly cited as an assumption in the new medium-term plan in the form of a long-term contraction in domestic construction investment. At the same time, an increase in maintenance and repair demand is indicated. - FY2020RestatedAnnual report
「Over the medium to long term, the market is expected to again become highly competitive due to declining construction demand resulting from population decline and restrictions on public investment」
The disclosure reiterates the medium- to long-term risk of declining demand and intensifying competition driven by declining construction demand due to population decline and restrictions on public investment. - FY2019RestatedAnnual report
「Although a certain level of construction demand is expected in the short to medium term, the market is expected to again become highly competitive over the long term due to the completion of post-disaster reconstruction demand, the end of Olympic demand and restrictions on public investment.」
While demand is expected in the short to medium term, the disclosure reiterates the risk of intensifying competition over the long term following the completion of reconstruction and Olympic demand and restrictions on public investment. - FY2018RestatedAnnual report
「Although a certain level of construction demand is expected in the short to medium term due to demand generated by the 2020 Tokyo Olympic and Paralympic Games and the effects of economic policies, the market is expected to again become highly competitive over the long term due to the completion of post-disaster reconstruction demand, the end of Olympic demand and restrictions on public investment.」
The disclosure reiterates the risk that construction demand will decline and the competitive environment will worsen over the long term due to the completion of reconstruction and Olympic demand and restrictions on public investment. - FY2018-Q1WorsenedAnnual report
「In addition to concerns about future construction demand, competition has been intensifying.」
The disclosure states that concerns about future construction demand are accompanied by intensifying competition, indicating a deterioration in the previously identified risks of declining demand and intensifying competition. No specific impact on business performance is indicated. - FY2017RestatedAnnual report
「Although a certain level of construction demand is expected in the medium term from investment related to disaster response, national resilience and the 2020 Tokyo Olympic and Paralympic Games, the market is expected to again become highly competitive over the long term due to the completion of post-disaster reconstruction demand, the end of Olympic demand and restrictions on public investment as Japan works to restore fiscal soundness.」
The disclosure reiterates the risk of declining long-term demand and intensifying competition following the completion of reconstruction and Olympic demand and restrictions on public investment. - FY2016First statedAnnual report
「Over the long term, the market is expected to again become highly competitive due to the completion of post-disaster reconstruction demand, the end of Olympic-related demand and restrictions on public investment as Japan works to restore fiscal soundness.」
While acknowledging medium-term construction demand, the disclosure identifies the completion of demand and restrictions on public investment as risks that will worsen the competitive environment over the long term.