EXEO Group, Inc.
1951・Prime Market・Construction
Telecom Carriers
A core segment providing nationwide telecommunications infrastructure construction and maintenance for telecom carrier operators
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue | ¥255,693 million | ¥252,517 million | ↑ |
| Segment profit | ¥23,334 million | ¥21,120 million | ↑ |
| Segment profit margin | 9.1% | 8.4% | ↑ |
| Order intake | ¥269,663 million | ¥251,864 million | ↑ |
| Depreciation | ¥3,089 million | ¥3,117 million | ↓ |
Business Details
This segment provides nationwide construction and maintenance services for various telecommunications infrastructure facilities—access, mobile, and network systems—for telecom carrier operators (the NTT Group, NCCs, etc.). Revenue of ¥255,693 million represents approximately 32.5% of the group total (¥787,715 million). In the access field, fiber-optic line construction work has trended favorably alongside the expansion of high-speed optical access service coverage areas, while in the mobile field, some carrier operators have continued aggressive capital investment, including work to resolve connectivity issues mainly in urban areas. The segment is promoting improved profitability and productivity through subsidiary reorganization, consolidation of business locations, and optimization of integrated access-mobile business operations.
Recent Overview
Strong fiber-optic line construction and mobile capital investment led to improvement in both revenue and profit margin year on year
In the Telecom Carriers segment for FY2026 (ending March 2026), revenue was ¥255,693 million (up 1.3% year on year) and segment profit was ¥23,334 million (up 10.5% year on year), with the profit margin improving from 8.4% to 9.1%. Order intake accumulated to ¥269,663 million (up 7.1% year on year), exceeding the level of revenue, and the order backlog outlook remains favorable. In the access field, fiber-optic line construction work trended favorably alongside the expansion of high-speed optical access service coverage areas, while in the mobile field, capital investment continued mainly in urban areas. Profitability improved through subsidiary reorganization, consolidation of business locations, and optimization of integrated access-mobile business operations.
Key Products
Growth Drivers
- Continued increase in demand for fiber-optic line construction accompanying the expansion and sales promotion of high-speed optical access service coverage areas
- Continued capital investment by telecom carriers against a backdrop of increasing data communication volume driven by the spread of generative AI
- Aggressive capital investment by some carrier operators, including construction work to resolve connectivity issues mainly in urban areas
- Improved operational efficiency and profitability through subsidiary reorganization, consolidation of business locations, and integrated access-mobile operations
- Promotion of productivity improvement measures through business process review and use of offshore resources
Risks
- Risk of reduced orders due to changes or scale-backs in capital investment plans by telecom carriers
- Customer concentration risk, given high sales dependence on the NTT Group, whereby changes in the group's policies directly affect performance
- Cost pressure from rising energy prices and labor costs
- Constraints on construction capacity due to shortage of technicians and difficulty securing personnel for telecommunications infrastructure work
- Risk of curtailed capital investment due to domestic economic deterioration stemming from factors such as U.S. trade policy
Last updated: June 24, 2026