Overseas Business

Business Overview

Understanding the Business Environment and Initiatives in FY2022

Due to exchange rate fluctuations and rising prices, country-specific risks in some of our overseas expansion countries have become apparent, leading to instability in our overseas business environment. On the other hand, COVID-19 restrictions have eased globally, facilitating the movement of people and goods across borders. Official Development Assistance (ODA), as well as investments from Japanese and foreign private sectors, have become very active in our expansion countries, especially in India, the Philippines, and Guam.

To maintain the scale of our overseas business and achieve steady growth in line with our Mid-term Management Plan, we will systematically assess risks. We will accelerate the recruitment, training, and onboarding of diverse foreign national employees and local staff, strengthening our construction capacity and management capability visibly. Additionally, as a medium-term goal, we will expand our business into regions such as Tanzania in Africa.

Overseas COVID-19 restrictions have been eased before Japan. In fiscal 2022, our overseas order amount exceeded 130,000 million yen (including domestic and local orders), showing a significant increase compared to the previous year. Without dropping our guard, we will continue to focus on ensuring the safety of our overseas expatriate employees with vigilance.

Characteristics and Strengths of the Business

Building on the technical expertise established by our domestic division, we have accumulated excellent track records in overseas construction, earning the trust of clients, local joint venture partners, and cooperating companies. In civil engineering, our directly managed construction teams have been locally organized for each project and consistently developed transportation infrastructure such as large bridges, roads, railways, and subways in developing countries. We have contributed to international cooperation and social contributions. In building construction, our subsidiaries and local companies established in seven countries support the construction plans of leading Japanese manufacturing and transportation companies, including factories, warehouses, and offices, thus helping many outstanding Japanese companies in their local expansion. Moreover, new clients who have seen our accumulated construction track records in local areas have approached us, expanding the scope of our sales activities.

Risks and Opportunities