Civil Engineering Business

Business Overview

FY2023 Results and Mid- to Long-term Policy

In the domestic market, orders for disaster prevention, disaster reduction, national resilience-related construction, and renovation of aging infrastructure have remained strong. Our domestic civil engineering business continued to receive orders and secure high-quality work backlogs. In addition, thanks to the steady progress of several major construction projects, both net sales and profits surpassed the record levels of the previous fiscal year. In our strategy for winning orders in fiscal 2024, we will maintain good performance in technical proposals in the comprehensive evaluation method of bidding and aim to win orders for projects with high productivity and profit margins. In addition, we will continue technology development and DX promotion, and reduce the workload at work sites by supporting work sites through cooperation between head office and branch offices.

Characteristics and Strengths of the Business

Based on our extensive experience, we provide the optimal design and construction technology in the construction and maintenance and renewal of civil engineering structures that support societal infrastructure, such as bridges, tunnels, river improvements, land development, and water supply and sewerage facilities. In the prestressed concrete (PC) bridge sector, we take pride in being one of the industry's leading firms in terms of design and construction achievements. We promote technological development such as new structural forms and construction methods using precast concrete (PCa) to shorten length of projects and streamline constructions. Through these, we can offer high-quality, durable, and easily maintainable bridges.

In Japan, we are focusing on large-scale rehabilitation (such as floor slab replacement) and new tunnel construction, while overseas, we have been steadily building up a track record of large-scale construction projects such as subways and high-speed railways to gain a competitive edge.

Strengthening Technology in Growth Markets and Driving Digitalization

In response to the expected demand for renewal work, we have developed the Quick-re-Invert method, a quick renewal method for invert sections of tunnels, and recently applied it for the first time to an operating highway. By removing the need for conventional earth retaining methods, this method eliminates the most dangerous work of driving earth retaining piles close to the in-service lanes, thereby improving safety and significantly shortening the process of invert reinforcement work that involves lane restrictions.

In addition, in order to save labor and improve productivity in on-site management, a communication environment was installed in the tunnel pit, safety alerts were provided by large signage, the monitoring system was strengthened by web cameras, and a self-developed rock bolt formwork inspection and measurement system was introduced in response to the need for work style reform.

Challenge of a New Growth Area

We participated in the feasibility assessment of a large-scale commercial floating offshore wind farm in Japan conducted by BW Ideol (France), and confirmed that the construction of a concrete floating foundation is economically feasible and can be completed in a construction period that meets market expectations. In addition, we are studying and developing technologies to participate in the construction of ammonia storage tanks, which are expected to be a fuel that does not emit CO₂ when burned.

Developing Young Human Resources Who Will Become the New Leaders of the Company

In the Civil Engineering Division, the number of employees between the ages of 35 and 45 is small, while the number of young employees is large, so early training of young employees is an urgent issue. As part of the training program for new employees, training camps have been held since fiscal 2017, where employees are divided into groups to build structures to cultivate their ability to think on their own from planning to construction. In addition, the on-site support group, which has been established at the head office in fiscal 2024, will be responsible for leveling on-site work by providing support mainly at busy sites nationwide and creating an environment in which on-site employees can focus on their core tasks and improve their own skills.

Initiatives toward Vision 2030

Although we are entering a society with a declining population, both domestic public investment and overseas construction investment are expected to remain strong. The civil engineering business will continue to be the driving force behind our business performance, and we will continue to win quality contracts in areas where we have an advantage and ensure stable earnings with our high on-site capabilities, while building new pillars in areas where we expect the market to expand, such as carbon neutralrelated businesses.

On the other hand, the inability to deploy a sufficient number of our engineers in the field and the polarization of the workforce due to the aging of engineers and the increase in younger employees have made securing human resources and passing on skills a major issue. We will lay the foundation for business expansion by strengthening our on-site support system to create a workplace where employees can demonstrate their skills, and by proactively utilizing external resources such as alliances with other companies and mergers and acquisitions.