MORIYA CORPORATION
1798・Standard Market・Construction
Business
Moriya Corporation, founded in 1916 and headquartered in Nagano City, is a general construction group. The company comprises itself and five consolidated subsidiaries (Kizai Service Co., Ltd., Mirai Network Co., Ltd., Aspec Co., Ltd., Maruzen Doboku Co., Ltd., and Moriya Real Estate Co., Ltd.), and operates three segments: building construction contracting (approximately 84% of consolidated net sales), civil engineering contracting (approximately 15%), and real estate sales, leasing, and brokerage (approximately 1%). Its main customers are private businesses and public institutions both within and outside Nagano Prefecture, with resort and tourism-related investment projects driven by inbound demand leading recent private-sector orders. The company is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
In the construction and civil engineering business, completed construction revenue is recognized under either the completed-contract method or the percentage-of-completion method, and profit is generated by securing the target gross margin at the time of order receipt and by thoroughly managing costs and schedules during construction. In the real estate business, revenue is recognized upon completion and handover of self-developed properties. The company's financial structure prioritizes operating cash flow for working capital needs, supplemented by borrowing facilities from financial institutions when necessary.
Company Strengths
In FY2026, the construction business achieved an operating margin of 12.0% (a significant improvement from 8.9% in the previous fiscal year), with completed construction revenue of ¥42,865 million (up 10.3% year on year). The abundant carried-over projects from the previous period underpin the revenue base, and a combination of pre-order construction system verification, thorough cost control, and expense reductions has contributed to achieving the high profit margin.
Orders received in the civil engineering business for FY2026 recovered significantly, up 19.3% year on year, and the carried-over order backlog also expanded, up 5.5% year on year, broadening the revenue base for the next period. The operating margin improved from 6.9% to 10.2%, with thorough cost and process management and progress in passing on construction costs to order prices contributing to stronger profitability.
Founded in 1916, the company will mark its 110th anniversary in 2026, possessing historical credibility, and is based in Nagano City with locations in Matsumoto, Tokyo, Nagoya, and elsewhere. Through subsidiaries, it has built a system that can leverage the group's overall strength via collaboration with construction materials leasing, unit housing, and civil engineering specialty companies, giving it a regionally embedded business foundation that competitors would find difficult to replicate in the short term.
ENVALITH's Perspective
Performance Trend
Revenue expanded for five consecutive fiscal years, from ¥38,840 million in FY2022 (ended March 2022) to ¥50,855 million in FY2026 (ending March 2026). However, the FY2026 revenue growth rate slowed to 1.2%, and the company's forecast for FY2027 (ending March 2027) is ¥49,000 million (down 3.6% year on year), marking its first projected revenue decline. On the profit side, however, operating profit for FY2026 reached ¥3,861 million (up 68.5% year on year), with the operating margin improving substantially to 7.6% (from 4.6% in the prior period). Externally, resilient public investment under the national resilience (disaster-prevention infrastructure) policy and increased private-sector capital expenditure and tourism-related investment supported the order environment. Internally, progress in passing on construction cost increases to order prices and thorough cost and process management pushed up profitability. For FY2027, a decline in construction orders and the risk of rising material prices stemming from the situation in the Middle East are expected to weigh on earnings.
Growth Strategy
Qualitative improvement of the earnings structure through thorough cost management, recovery of real estate development investments, and DX promotion
The company will continue to pass through elevated construction material and labor costs into order pricing, while maintaining and improving margins through thorough risk management on a per-project basis combined with expense reductions. In FY2026 (ended March 2026), it achieved an operating margin of 7.6%, but the FY2027 (ending March 2027) forecast of ¥2,550 million (equivalent to a margin of 5.2%) implies a decline, requiring continued efforts.
The company will work to ensure the recovery and revenue recognition of accumulated development investment balances, including real estate business expenditures of ¥2,412 million, investment real estate of ¥3,064 million, and real estate for sale of ¥1,104 million. It aims to carefully select tourism-related real estate development projects amid growing inbound demand in Nagano Prefecture, and to monetize these through collaboration with Moriya Real Estate Co., Ltd.
By promoting DX at construction sites, the company aims to improve construction productivity, address the worsening shortage of subcontractors and skilled workers, and ease upward pressure on construction costs. It invested ¥34,987 thousand (non-consolidated) in R&D expenses, continuing to strengthen competitiveness through technological innovation. Combined with talent acquisition and development, this is expected to strengthen the medium- to long-term order intake and earnings base.
Effective April 1, 2026, the company implemented a 1-for-5 stock split, aiming to expand its investor base and improve stock liquidity by lowering the investment unit. The FY2027 (ending March 2027) dividend forecast is ¥38 per share post-split (equivalent to ¥190 pre-split), maintaining an effective policy of dividend increases and continuing appropriate and stable profit distribution linked to business performance.
Last updated: July 19, 2026