TSUCHIYA HOLDINGS CO., LTD.
1840・Standard Market・Construction
Housing Business
Tsuchiya HD's core segment, centered on custom-built and non-residential properties
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (H1 cumulative) | ¥9,430 million | ¥7,664 million | ↑ |
| Operating loss (H1 cumulative) | -¥699 million | -¥676 million | ↓ |
| Orders received (housing business, incl. non-residential) | ¥10,007 million | ¥9,194 million | ↑ |
| Order backlog (housing business, incl. non-residential) | ¥10,088 million | ¥9,749 million | ↑ |
Business Details
The housing business, operated by Tsuchiya Home Co., Ltd., mainly comprises the design, contracting, and construction supervision of custom-built homes, the construction and sale of build-for-sale detached houses, and the sale of residential land. The company's primary area of operations is Hokkaido, while it is also promoting expansion into the Tohoku area centered on Sendai. Its strength lies in providing energy-efficient homes characterized by high insulation, high airtightness, and high durability, and it seeks differentiation through technology integration, including the development of the SI business through its alliance with Sekisui House. This is the largest segment, accounting for approximately 67% of group net sales.
Recent Overview
Sales rose 25.7% year on year on recording of a large non-residential property, but operating loss widened due to fewer detached house deliveries and lower profit margin
In the H1 (November 2025 to April 2026) of FY2026 (ending October 2026), net sales in the housing business were ¥9,430 million (up 25.7% year on year). The recording of sales from a large non-residential property in the first quarter was the main driver of the increase. On the other hand, gross profit margin declined due to a decrease in the number of detached houses delivered and limited profit contribution from some non-residential properties, and the operating loss widened to ¥699 million (compared with an operating loss of ¥676 million in the same period of the prior year). Against a backdrop of expectations for higher mortgage rates and stagnant real wages, negotiation periods have tended to lengthen. In January 2026, a model house under SI-COLLABORATION was opened in Koriyama City, Fukushima Prefecture, advancing the establishment of a business foundation in the Tohoku area.
Key Products
Growth Drivers
- Strengthening of brand power and product competitiveness through SI business development and technology integration based on the alliance with Sekisui House
- Expansion of the joint construction business (SI-COLLABORATION) into the Tohoku area (Sendai, Koriyama, etc.)
- Rising demand for high-value-added housing driven by mandatory energy efficiency standards and structural calculation requirements under the revised Building Standards Act
- Increasing demand for high-performance housing emphasizing insulation, earthquake resistance, and durability amid the trend toward longer mortgage terms
- Accumulation of future sales backed by an order backlog of ¥10,088 million (including non-residential)
Risks
- Decline in profitability due to a decrease in the number of detached houses delivered and low profit margins on non-residential properties
- Decline in housing acquisition sentiment and lengthening of negotiation periods due to soaring housing acquisition prices, expectations of higher mortgage rates, and stagnant real wages
- Risk of rising material procurement costs due to supply concerns and price increases for petrochemical products, etc., stemming from tensions in the Middle East
- Contraction of the owner-occupied housing market as reflected in new housing starts in the Hokkaido and Tohoku areas
- Seasonal fluctuations due to concentration of construction work in the winter period (structural losses tend to occur in Q1 and Q2)
Last updated: January 26, 2026