PS Construction Co., Ltd.
1871・Prime Market・Construction
Business
PS Construction Co., Ltd. is a specialty construction company whose core business is the contracting of civil engineering and building construction works centered on prestressed concrete (PC) technology. Founded in 1952 as a PC product manufacturer, it changed to its current company name in 2024. It belongs to the Taisei Corporation group, with Taisei Corporation (voting rights ratio of 50.2%) as its parent company. Its main customers are expressway companies such as Central Nippon Expressway, West Nippon Expressway, and East Nippon Expressway, public-sector clients such as the Ministry of Land, Infrastructure, Transport and Tourism, and private companies in manufacturing, defense-related fields, and others. The company is composed of three business pillars: civil engineering business (net sales of ¥75,814 million), building construction business (net sales of ¥62,905 million), and affiliated companies business (net sales of ¥10,244 million), with consolidated net sales reaching ¥149,370 million.
Business Model
The company secures civil engineering and construction work orders through competitive bidding and negotiated contracts, recognizing revenue based on the percentage-of-completion method. A substantial standalone order backlog of ¥186,091 million (as of the end of March 2026) underpins sales for the following period and beyond. While profit margins are improved through the acquisition of design changes and thorough cost control, construction cooperation projects from the Taisei Corporation group also serve as a stable source of orders.
Company Strengths
Sales to West Nippon Expressway Company Limited amounted to ¥22,419 million (15.0% of net sales), and sales to Central Nippon Expressway Company Limited amounted to ¥20,281 million (13.6%), with these two expressway companies alone accounting for approximately 29% of total net sales. The company has accumulated a continuous track record of orders in large-scale renewal projects such as deck slab replacement and PC girder repair, possessing construction know-how and customer trust that competitors find difficult to replicate in a short period.
As of the end of March 2026, the non-consolidated order backlog reached ¥186,091 million (civil engineering: ¥138,406 million; building construction: ¥47,684 million), equivalent to approximately 1.35 years of the fiscal year's net sales of ¥137,816 million. This ample carried-over construction backlog secures sales progress for the following fiscal year and beyond with a high degree of certainty, resulting in high predictability of business performance.
In December 2023, TAISEI CORPORATION acquired 50.2% of voting rights and entered into a capital and business alliance agreement. An agreement has been reached to shift the domestic PC bridge business within the Taisei Corporation group to a structure centered on the company, and an institutional framework has been established under which the company receives sales information and technical know-how for PC and PCa projects as well as renewal projects.
ENVALITH's Perspective
Performance Trend
Revenue bottomed out at ¥109,327 million in FY2023 (ending March 2023) and has continued a recovery trend since, reaching a record high of ¥149,370 million in FY2026 (ending March 2026), up 36.6% over four periods. Operating profit also expanded 2.3-fold, from ¥5,715 million in FY2023 (ending March 2023) to ¥12,932 million in FY2026 (ending March 2026). As an external tailwind, expansion of public investment and solid private-sector capital expenditure have provided support. That said, the operating margin in FY2026 (ending March 2026) stood at 8.7%, a slight decline from 9.1% in the prior period, suggesting signs of rising cost ratios accompanying revenue growth. In addition, operating cash flow deteriorated sharply to ¥-17,473 million, and attention should be paid to the fact that a rapid increase in trade receivables and contract assets (¥-21,093 million) is weighing on capital efficiency.
Growth Strategy
Mid-Term Management Plan 2025 aims for sustainable growth centered on PC (precast concrete) technology, through cooperation with the Taisei Corporation group, DX promotion, and expansion into growth areas
Through continued receipt of construction cooperation projects from the parent company and group companies, the company is expanding access to large-scale projects that would be difficult to secure independently. In FY2026 (ending March 2026), net sales reached a record high of ¥149,370 million, reflecting the benefits of group cooperation on business performance.
The company is actively promoting order intake utilizing PC (precast concrete) technology in growth areas such as defense-related facilities, logistics facilities, and food factories. Leveraging the favorable external environment of solid private-sector capital investment, the company aims to diversify the revenue base of the construction business and reduce dependence on public works.
The company is pursuing greater efficiency in construction management through ICT and DX utilization, together with the development of new construction methods, simultaneously addressing worsening labor cost and material price increases while improving productivity. In the manufacturing business as well, the company is proceeding with the renewal of aging equipment to establish an ICT-enabled production system.
The company continues to improve gross profit margin through selective order-taking that excludes low-profitability projects and by securing design changes during construction. Amid a slight decline in operating margin in FY2026 (ending March 2026), improving the precision of cost management will be key to recovering profit margins from the next fiscal period onward.
Last updated: July 19, 2026