Order Acquisition Focused on Reconstruction-Related Works and Tokyo Metropolitan Redevelopment

「Revenue increased by ¥160 million year on year to ¥4.564 billion due to the construction of a large-scale power-related project in the area covered by the Sapporo Branch.」

「In Japan, some branches fell short of plan due to postponed construction starts and intensifying competition for orders, but orders for major highway repair work in Hokkaido and power-related construction work resulted in orders exceeding plan. The U.S. subsidiary also exceeded plan despite losing an order for environmental protection work at an aging dam, as ground improvement work for Train 4 (Work Section 4) at an LNG refining plant site was ordered ahead of schedule. As a result, total domestic and overseas orders increased by ¥2.220 billion, or 8.0%, year on year to ¥29.992 billion.」

「Total orders received in Japan and overseas rose by ¥2.220 billion, or 8.0%, year on year to ¥29.992 billion.」

「In Japan, despite the impact of postponed construction starts, steady progress on major highway repair work in Hokkaido resulted in revenue of ¥9.388 billion, up ¥685 million year on year, and operating profit of ¥569 million, up ¥34 million year on year.」

「In Japan, some branches fell short of plan due to postponed construction starts and intensifying competition for orders, but orders for major highway repair work in Hokkaido and other projects resulted in orders exceeding plan. The U.S. subsidiary also significantly exceeded plan by winning major contracts for ground improvement work at an LNG refining plant site and for dam ground improvement work. As a result, total domestic and overseas orders increased by ¥11.858 billion, or 56.3%, year on year to ¥32.934 billion.」

「For the cumulative third quarter of the consolidated fiscal year, domestic revenue was ¥14.441 billion, down ¥1.865 billion year on year, and operating profit was ¥732 million, down ¥149 million, due to postponed construction starts, intensifying competition for orders and the completion of power-related construction work in the Tokyo metropolitan area.」

「For the cumulative second quarter of the consolidated fiscal year, revenue was ¥10.64 billion, down ¥723 million year on year, as power-related construction work in the Tokyo metropolitan area approached completion.」

「For the three-month period of the current consolidated fiscal year, net sales in Japan were ¥5,431 million, down ¥130 million year on year, as some large-scale projects in the Tokyo metropolitan area were approaching completion.」

「In Japan, redevelopment projects in urban areas and national resilience, energy, and railway-related projects progressed steadily, enabling domestic net sales to meet the initial plan. At the U.S. subsidiary, construction was postponed because orders for large-scale projects were delayed, resulting in performance below the plan.」

「For the nine-month period of the current consolidated fiscal year, net sales were ¥17,587 million, an increase of ¥825 million year on year. In Japan, although performance differed among branches because of delays in the start of projects and intensified competition for orders, large-scale mechanized construction in urban areas and energy- and railway-related projects progressed steadily.」

「In Japan, although performance differed among branches because of factors such as delays in the start of projects, large-scale mechanized construction in urban areas, energy-related projects, and railway-related projects progressed steadily. As a result, orders and construction overall exceeded the initial plan.」

「During this period, in Japan’s construction industry, initiatives continued to advance in line with the Basic Policy for National Resilience, and related public works remained firm.」

「In Japan, some private-sector capital investment projects were scaled back or delayed in being ordered because of the spread of COVID-19. However, orders related to national resilience projects and businesses contributing to the public sector remained solid, resulting in total orders exceeding the initial plan overall.」

「During this period, in Japan’s construction industry, some private-sector projects experienced delays in being ordered because of the impact of the COVID-19 pandemic, but public works, including projects related to national resilience and disaster prevention and mitigation, remained broadly solid.」

「Completed construction revenue exceeded the Group’s initial plan, including domestic affiliates, as urban redevelopment, disaster-prevention and disaster-mitigation, and energy-related projects progressed steadily. At overseas subsidiaries, construction progressed broadly as scheduled, resulting in performance in line with the plan.」

「Completed construction revenue exceeded the initial plan at each branch, supported by steady progress in urban redevelopment, disaster recovery, and energy-related projects. In particular, additional work arising from design reviews was carried out on disaster recovery and disaster-prevention projects and Chuo Shinkansen-related projects.」

「Completed construction revenue remained solid, supported by large-scale projects including ground-improvement work related to reconstruction following the Great East Japan Earthquake and the Kumamoto Earthquake in Kyushu, heavy machinery projects associated with Olympic-related and urban redevelopment and infrastructure projects centered on the Tokyo metropolitan area, and Chuo Shinkansen construction projects.」

「Looking ahead, the order environment is expected to improve as related projects such as the Chuo Shinkansen enter full-scale implementation, in addition to reconstruction projects following the Kumamoto Earthquake.」

「During the consolidated fiscal year, the Company focused primarily on reconstruction-related projects following the Great East Japan Earthquake and urban redevelopment and infrastructure projects centered on the Tokyo metropolitan area.」