Taking advantage of networks we have built in Asia ahead of others, we support Japanese companies in entering overseas markets and participate in ODA projects in order to play a part in building bases that support the development of international society.
We have an extensive proven track record of execution of construction projects in Asia east of India, beginning with our entry into the Thailand market in 1971. Further, with that track record and history as a backdrop, we have established the foundation of our overseas business by building relationships of trust with contractees and local partners. We will offer proposals that best fit the local environment based on the cutting-edge technologies and optimum process management that we developed in Japan, share the Company’s spirit of building infrastructure, and operate a construction business that is based on high-level safety management and quality control systems. As such we are contributing to the development of various countries.

In civil engineering, we can expect plenty of potential demand for urban and transportation infrastructure improvements with the assumption of rapid population growth and concentration of population into urban areas in Asia and Africa. Meanwhile, in building construction, we are required to employ a business strategy that adapts to changes in the social environment amid the COVID-19 crisis.

We executed a business strategy aiming for the construction of a system for 100.0 billion yen in orders received outside Japan, as set forth in the Medium-term Management Plan. In fiscal 2020, however, consolidated orders received outside Japan decreased 27.9% from the previous fiscal year to 55.8 billion yen. This was attributed to various adverse effects brought about by the ongoing COVID-19 pandemic, including postponement of bidding due to delays in bidding-related work engaged by contractees and consulting firms in civil engineering; and a series of cancellations and postponements of projects for entry into overseas markets owing to sluggish investment in overseas projects by the manufacturing, warehousing and transportation industries in building construction. Also, gross profit declined 2.4 billion yen from the previous fiscal year to 3.6 billion yen.

In civil engineering, we have been making proactive efforts in high-quality ODA projects, especially in Southeast Asia and South Asia, where we can display the Company’s advantage. As a result, we received an order for the CP203 section of the Jakarta Mass Rapid Transit Project (Phase 2) in the Republic of Indonesia. In addition, we began construction under the Jamuna Railway Bridge Construction Project (WD2) in the People's Republic of Bangladesh. We have also been making efforts in Guam with a focus on local public-work projects, including those of U.S. forces, and received orders such as for repair work on runways at the airport.

In building construction, we have been working to enhance our abilities in sales, proposals, and cost competitiveness. As a result, we received order for projects from Japanese companies operating overseas as well as from excellent non-Japanese local companies and foreign-owned companies, and thereby continued making contributions to the development of countries where we have been working. Further, in addition to our efforts to date, especially in factory and commercial facility projects, we received an order for the construction of large office building (Siam Patumwan House) ordered by an excellent local company in Thailand.

Given the circumstances surrounding the COVID-19, the Administration Department at each branch implemented comprehensive healthcare measures, including a service for urgent transportation from abroad. We also embarked on the review of business continuity plans (BCPs) set by offices outside Japan and local subsidiaries.

In fiscal 2021, we will continue constructing a system for 100.0 billion yen in orders received outside Japan, as set forth in the Medium-term Management Plan. We are promoting six important topics for this goal: 1) accomplishment of the Sixth Medium-term Management Plan, 2) improvement of productivity – implementation of DX –, 3) promotion of sustainability – implementation of SX –, 4) promotion of work style reforms, 5) strengthening of corporate governance, and 6) safe culture and supreme quality assurance.