Market Contraction and Intensified Price Competition Due to Declining Public Investment
First written in FY2016. 17 of 30 entries say "Restated". Latest entry: 2026-08-07.
S E moved to the "Worse" side of this theme in 2016, 4 years before the typical company in this theme (2020).
The whole theme swung hardest in 2024: 4 of 10 companies on the "Worse" side.
2 other companies' latest entry also says "Mitigated".
- 2026-08-07MitigatedResults
「「国土強靱化実施中期計画」等を背景に公共投資が底堅く推移するとともに、大型都市開発を中心とした民間建築需要も良好に推移しました。」
公共投資の減少や民間需要の低迷に関する足元の市場環境は、公共投資と民間建築需要が堅調とされ、短期的には緩和している。 - FY2026RestatedAnnual report
「During the period of the Medium-Term Management Plan 2030, we expect public investment budgets to be allocated to promote national resilience and measures to address aging infrastructure, but over the long term, public investment is expected to trend gradually downward.」
While public investment related to national resilience and similar measures is expected over the medium term, the report continues to identify a long-term gradual decline in public investment and dependence on the domestic construction market as risks. - 2026-05-15RestatedResults
「「防災・減災、国土強靱化のための５か年加速化対策」のもと公共投資が底堅く推移するとともに、都市部の再開発や物流施設、データセンター等の民間設備投資も堅調に推移しました。」
公共投資と民間設備投資が堅調である一方、人口減少に伴う市場の成熟化や公共投資の選別化を構造的課題として記載しており、長期的な市場リスクの認識は継続している。 - FY2026-H1MitigatedAnnual report
「In the architecture and civil engineering markets closely related to our Group, resilient public works supported by measures such as the Five-Year Acceleration Plan for Disaster Prevention, Disaster Mitigation and National Resilience continued for the time being, while private-sector construction demand, particularly for large-scale urban development, remained firm.」
Although the recognition of the risk of a long-term decline in public investment remains unchanged, it states that public works have been resilient and private-sector construction demand has remained firm in the near term. - FY2025RestatedAnnual report
「Approximately 60% of our group's net sales comes from sales and other activities serving the domestic construction market, centered on civil engineering. We expect public investment budgets to be allocated during the period of the medium-term management plan to advance national resilience and infrastructure earthquake resistance, but public investment is expected to trend gradually downward over the long term.」
The Group continues to recognize its dependence on the domestic construction market and the risk of a long-term gradual decline in public investment. - FY2024-Q3MitigatedAnnual report
「In the architecture and civil engineering markets closely related to our Group, public-sector construction has remained at the high levels seen in recent years, private-sector capital investment has finally begun to show signs of recovery, and local economic activity in Asia and Africa is gradually returning to pre-COVID-19 levels.」
It describes public-sector construction remaining at a high level, signs of recovery in private-sector capital investment, and the recovery of overseas economic activity, indicating that near-term market environment risks have eased somewhat. The view that public investment will decline over the long term remains unchanged. - FY2024-Q1MitigatedAnnual report
「In the architecture and civil engineering markets closely related to our Group, public-sector construction has remained at the high levels seen in recent years, private-sector capital investment has finally begun to show signs of recovery, and local economic activity in Asia and Africa is gradually returning to pre-COVID-19 levels.」
It describes public-sector construction remaining at a high level, signs of recovery in private-sector capital investment, and the recovery of economic activity in Asia and Africa, indicating that near-term market environment risks have eased somewhat. The view that public investment will decline over the long term remains unchanged. - FY2023RestatedAnnual report
「Approximately 60% of our group's net sales comes from sales and other activities serving the domestic construction market, centered on civil engineering. We expect public investment budgets to be allocated during the period of the medium-term management plan to advance national resilience and infrastructure earthquake resistance, but public investment is expected to trend gradually downward over the long term.」
The company continues to identify its dependence on sales to the domestic construction market and the long-term gradual decline in public investment as key risks. - FY2023-Q3MitigatedAnnual report
「In the architecture and civil engineering markets closely related to our Group, public-sector construction has remained at the high levels seen in recent years, while private-sector capital investment is finally showing signs of recovery and local economic activity in Asia and Africa is gradually resuming.」
The risk of a long-term decline in public investment remains unchanged, but it states that public-sector construction remains at a high level and that private-sector capital investment and overseas economic activity are showing signs of recovery and resumption. - FY2023-Q2MitigatedAnnual report
「In the architecture and civil engineering markets closely related to our group, government construction projects have remained firm, signs of a recovery in private-sector capital spending have emerged, and local economic activity in Asia and Africa is gradually resuming.」
Regarding the market environment, including declining public investment and weak private-sector demand, the company notes firm government construction activity, signs of a recovery in private-sector capital spending, and the resumption of local activity in Asia and Africa, indicating that the immediate impact has eased somewhat. There has been no change in the recognition that public investment will contract over the long term. - FY2023-Q1RestatedAnnual report
「In the architecture and civil engineering markets closely related to our group, government construction projects have remained firm and signs of recovery have finally begun to emerge, but demand for private-sector construction has weakened due to sluggish capital spending, and the effects on local economic activity in Asia and Africa remain.」
The company describes government construction projects as firm but notes a market environment in which demand for private-sector construction and the effects on overseas economic activity remain weak. It states that there has been no material change in the risk of declining public investment. - FY2022RestatedAnnual report
「Approximately 60% of our group's net sales comes from sales and other activities serving the domestic construction market, centered on civil engineering. We expect public investment budgets to be allocated during the period of the medium-term management plan to advance national resilience and infrastructure earthquake resistance, but public investment is expected to trend gradually downward over the long term.」
The company continues to identify its dependence on sales to the domestic construction market and the long-term gradual decline in public investment as key business-environment risks. It cites new earnings pillars, product diversification, and overseas expansion as responses to a sharp decline in public investment and a contraction in private-sector capital spending. - FY2021RestatedAnnual report
「Approximately 60% of our group's net sales comes from sales and other activities serving the domestic construction market, centered on civil engineering. We expect public investment budgets to be allocated during the period of the medium-term management plan to advance national resilience and infrastructure earthquake resistance, but public investment is expected to trend gradually downward over the long term.」
The company continues to identify its dependence on sales to the domestic construction market and the long-term gradual decline in public investment as key risks. - FY2020RestatedAnnual report
「60% of our group's net sales comes from sales and other activities serving the domestic construction market, centered on civil engineering. We expect public investment budgets to be allocated during the period of the medium-term management plan to advance national resilience and infrastructure earthquake resistance, but public investment is expected to trend gradually downward over the long term.」
The company continues to identify its dependence on sales to the domestic construction market and the long-term gradual decline in public investment as business-environment risks. - FY2020-Q3RestatedAnnual report
「As public investment is expected to trend downward over the medium to long term」
The company continues to identify the downward trend in public investment as a market condition underlying the transformation of its business structure. - FY2020-Q2RestatedAnnual report
「As public investment is expected to trend downward over the medium to long term, to reduce dependence on public works」
The company continues to identify the downward trend in public investment and dependence on public works as market conditions underlying the transformation of its business structure. - FY2020-Q1RestatedAnnual report
「As public investment is expected to trend downward over the medium to long term」
The company continues to identify the downward trend in public investment as a market condition underlying the transformation of its business structure. - FY2019RestatedAnnual report
「In the construction industry, centered on civil engineering and including the markets in which our group operates, the contraction in market size and intensification of price competition have continued year after year due to declining public investment, and the business environment is expected to become increasingly challenging.」
The company continues to identify declining public investment, market contraction, and intensifying price competition as key market-environment risks. - FY2019-Q3RestatedAnnual report
「As public investment is expected to trend downward over the medium to long term, to reduce dependence on public works」
The company continues to identify the downward trend in public investment and dependence on public works as business-structure challenges. - FY2019-Q2MaterialisedAnnual report
「As a result, consolidated net sales for the first six months of the current fiscal year increased to ¥9,859 million, up 9.3% year on year. Although the decline in supplementary budgets had an impact, sales benefited from strong deliveries of cable products used in bridge repair and reinforcement work in the cable products business and from sales in the concrete products business.」
Although the impact of declining supplementary budgets continued to be noted, consolidated net sales increased 9.3% year on year, supported by sales of cable products for bridge repair and reinforcement and concrete products. - FY2019-Q1MaterialisedAnnual report
「As a result, consolidated net sales for the first quarter of the current fiscal year increased to ¥4,470 million, up 13.1% year on year. Although the decline in supplementary budgets had an impact, sales benefited from strong deliveries of cable products used in bridge repair and reinforcement work in the cable products business and from sales in the concrete products business.」
Although the impact of declining supplementary budgets was explicitly noted, consolidated net sales increased 13.1% year on year, supported by sales contributions from cable products and concrete products. - FY2018RestatedAnnual report
「In the construction industry, centered on civil engineering and including the markets in which our group operates, the contraction in market size and intensification of price competition have continued year after year due to declining public investment, and the business environment is expected to become increasingly challenging.」
The company continues to identify declining public investment, market contraction, and intensifying price competition as key market-environment risks. - FY2018-Q3RestatedAnnual report
「To address difficult issues, including the contraction of the construction market caused by the long-term decline in public investment」
The company continues to identify the contraction of the market caused by declining public investment as a business-environment challenge. - FY2018-Q2RestatedAnnual report
「To address difficult issues, including the contraction of the construction market caused by the long-term decline in public investment」
The company continues to identify the contraction of the market caused by declining public investment as a business-environment challenge. - FY2018-Q1RestatedAnnual report
「To address difficult issues, including the contraction of the construction market caused by the long-term decline in public investment」
The company continues to identify the contraction of the market caused by declining public investment as a business-environment challenge. Meanwhile, sales increased this quarter due in part to the effects of implementing a large supplementary budget. - FY2017MaterialisedAnnual report
「As a result, consolidated net sales for the current fiscal year declined to ¥17,742 million, down 9.0% year on year. In the manufacturing and sale of construction materials and equipment, we shifted to a policy focused on earnings from this fiscal year and reduced sales of certain related products, which lowered net sales. In addition, although public works contract awards were trending slightly upward, unsuccessful bids and the leveling of construction schedules also affected sales.」
Unsuccessful bids for public works and the leveling of construction schedules, together with reduced sales of handled products, resulted in a 9.0% year-on-year decline in consolidated net sales. - FY2017-Q3MaterialisedAnnual report
「As a result, consolidated net sales for the first nine months of the current fiscal year declined to ¥11,970 million, down 13.0% year on year, despite a slight increase in public works contract awards during the period, due to unsuccessful bids and the leveling of construction schedules, as well as a decline in the volume of private-sector construction work.」
Although public works contract awards increased slightly, unsuccessful bids and the leveling of construction schedules resulted in a 13.0% year-on-year decline in consolidated net sales. - FY2017-Q2MaterialisedAnnual report
「As a result, consolidated net sales for the first six months of the current fiscal year declined to ¥7,574 million, down 12.2% year on year, partly because, although public works contract awards during the period increased slightly, budget execution was slightly below the previous year and orders received for private-sector construction were delayed.」
Although public works contract awards increased slightly, budget execution was below the previous year, and delays in orders received for private-sector construction contributed to the 12.2% decline in net sales. - FY2017-Q1MaterialisedAnnual report
「As a result, consolidated net sales for the first quarter of the current fiscal year declined to ¥3,287 million, down 12.9% year on year, partly because public works investment continued to decline gradually and orders received for private-sector construction remained sluggish.」
The continued decline in public works investment, together with weak private-sector construction demand, has been reflected in lower net sales. - FY2016First statedAnnual report
「The long-term decline in public investment has led to an annual contraction in market size and intensifying price competition, making the business environment increasingly challenging.」
The company states that its high dependence on public investment, the contraction of the public works market, and price competition with competitors may affect business performance.