The Takigami Steel Construction Co.,Ltd. (5918) Stock Price

Market cap
¥19.4B
P/E ratio
26.9x
Takikami Industrial designs and manufactures bridges, steel frames, and steel structures through eight subsidiaries offering construction, real estate, and transportation services.

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Business Overview

Takikami Industrial Co., Ltd. operates primarily in the design and manufacturing of bridges, steel frames, and other steel structures. The Takikami Industrial Group consists of eight subsidiaries including Takikami Industrial, one affiliated company, and two other related companies.

Takikami Industrial's business segments are as follows. In the steel structure manufacturing business, Takikami Industrial handles design, manufacturing, and construction of steel structures. Subsidiary Kikuchi Iron Works manages steel frame fabrication, while Takikami Construction and Development handles general civil engineering, building construction, and bridge construction.

In the real estate rental business, Takikami Industrial and subsidiaries Marujo Industries, Takikami Works, and Takikami Real Estate conduct property leasing and management operations. In the materials sales business, Marujo Industries sells steel plates, reinforcing bars, and building materials, while Takikami Precision Engineering manufactures and sells bolts and nuts.

The transportation business is handled by subsidiary Marujo Transport, which specializes in shipping bridges and steel frame products. In the machine tool manufacturing business, K-System 23 handles design and manufacturing of machine tools. Additionally, Takikami Industrial operates a power generation business using solar power generation equipment.

Management Policy

Takiue Industrial aims for sustainable growth and enhanced corporate value under the keyword "transformation and challenge." In its Fifth Medium-Term Management Plan, the company's basic policy is to optimize its core business portfolio and further improve operating profit. In particular, the company is shifting toward bridge maintenance services in response to changing bridge demand, while strengthening its order strategy focused on the Chubu region for new bridge construction projects.

In bridge maintenance services, Takiue Industrial aims to build a business model that delivers customer value by conducting large-scale maintenance projects in collaboration with companies from other industries and local enterprises. In its steel frame and steel structure business, the company is advancing full equipment utilization and enhancing drafting capabilities to improve productivity and competitive strength in order acquisition. Additionally, in its real estate rental business, the company is working to improve occupancy rates of owned rental properties to increase revenue.

In overseas and new business areas, the company aims to expand asphalt additives throughout the Philippines and continues to gather information on private-sector civil engineering projects. As a financial strategy, the company is improving cash flow through profit expansion and utilizing diverse funding methods with awareness of capital efficiency, while investing in human capital and equipment. To strengthen its management foundation, the company is advancing digital transformation and improving employee engagement.

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