Decline in construction volume due to the decommissioning of obsolete thermal power plants and the extension of periodic inspection cycles

「In the thermal power field, the market is declining, but projects are planned to modify existing thermal power plants for decarbonization and to construct new LNG-fired power plants on the assumption of decarbonization.」

「Meanwhile, revenue amounted to ¥6,772.2 million, down 23.5% from the previous fiscal year, despite progress on air-conditioning and electrical work at public facilities, on-site PPA equipment construction in the solar power field, business continuity planning measures, disaster recovery work following torrential rains, the launch of operations and maintenance services for biomass power plants, and new construction and capacity expansion of substations. This was due to the completion of safety-related work at nuclear power plants and construction work at thermal and biomass power plants, as well as the completion by the previous fiscal year of work related to treated water from the Fukushima Daiichi Nuclear Power Station.」

「Meanwhile, revenue amounted to ¥3,054.1 million, down 26.1% year on year, despite progress on solar power facility installation, new construction and capacity expansion of substations, and other work, due to the completion of safety-related work at nuclear power plants and construction work at thermal power plants, as well as the completion of work related to treated water from the Fukushima Daiichi Nuclear Power Station.」

「In the thermal power field, demand had been gradually declining amid the shift toward decarbonization, but utilization is expected to continue for the time being to address tight electricity supply and demand. In addition, projects are planned to modify existing thermal power facilities and construct new LNG-fired power facilities following the introduction of the long-term decarbonized power source auction.」

「Revenue amounted to ¥4,961.0 million, compared with ¥3,965.7 million in the same period of the previous year, due mainly to an increase in large-scale construction work for thermal power equipment, including inherited projects, despite declines in repair and maintenance work for thermal power equipment and safety-related work at nuclear power plants from the previous fiscal year.」

「Revenue amounted to ¥10.804 billion, compared with ¥12.622 billion in the same period of the previous year, as construction work for thermal power generation facilities increased, but cogeneration facility construction and scheduled inspection work on thermal power generation facilities decreased year on year.」

「Revenue amounted to ¥5,951.4 million, down 10.5% year on year, despite progress on cogeneration equipment construction and safety-related work at nuclear power plants, due mainly to a decline from the previous fiscal year in construction work for large-scale thermal power and solar power equipment, as well as the postponement or cancellation of customers' construction plans because of the spread of COVID-19.」

「Order intake for the cumulative first quarter of the consolidated fiscal period was ¥9,701 million, down 27.3% year on year, due to decreases in construction work for cogeneration facilities and construction work for thermal power generation facilities, among others.」

「Orders received amounted to ¥64.012 billion, down 13.1% from the previous fiscal year, despite increased participation in hydroelectric power plant redevelopment projects and an increase in orders for cogeneration facility work, due to a decrease in construction work for thermal power generation facilities, postponement of inspection and maintenance work, and extensions to solar power generation facility plans caused by major typhoons.」

「In thermal power-related operations, work volumes have declined year after year due to the retirement of aging thermal power plants and the extension of periodic inspection intervals」