MIYAJI ENGINEERING GROUP, INC.
3431・Prime Market・Metal Products
Business
The Miyaji Engineering Group is a pure holding company structure centered on Miyaji Engineering Co., Ltd., which handles steel bridges, building construction and civil engineering, and M.M Bridge Co., Ltd., which is responsible for the design, manufacturing and installation of bridges and coastal structures. The group covers a broad range of social infrastructure fields, from the design, fabrication and on-site construction of new bridges to the maintenance, repair and reinforcement of existing bridges, as well as large-span and high-rise structures and coastal structures. Major customers include public institutions such as the Ministry of Land, Infrastructure, Transport and Tourism, the various NEXCO companies, and the Metropolitan Expressway Company, as well as railway operators and private developers. The consolidated order backlog for FY2026 (ending March 2026) reached ¥106,413 million, securing a medium- to long-term revenue base.
Business Model
The Group employs a construction contracting model that handles everything from design to manufacturing and on-site construction for bridges, buildings, and coastal structures on an integrated basis. Since revenue on contracted work is recognized according to construction progress, the order backlog serves as a leading indicator of future revenue. Miyaji Engineering serves as the construction entity while M.M Bridge functions as the manufacturing and installation entity, dividing roles to build a "one team" structure across the Group. The Group aims to maintain and improve profit margins through greater production efficiency, DX, and improved project profitability.
Company Strengths
The consolidated order backlog at the end of FY2026 (ending March 2026) reached ¥106,413 million (Miyaji Engineering ¥55,116 million, M.M Bridge ¥51,337 million). Since the order backlog is recognized as revenue progressively in line with construction progress, it provides structural revenue visibility that supports sales and profit over a certain period even amid a short-term deterioration in the order environment.
The company possesses and has put into practical use numerous proprietary technologies, including rapid launching erection using an all-wheel-drive high-speed bogie equipped with jacking devices, deck slab cutting using a completely dry wire saw (the M-SR system), and FRP composite deck slabs and FRP pavement cover plates. It continues to win large-scale, highly complex projects such as construction within Shinagawa Station premises and redevelopment of major terminal stations in the greater Tokyo metropolitan area, and its high level of technical capability serves as a differentiating factor from competitors.
Miyaji Engineering and M.M Bridge are respectively responsible for construction and manufacturing functions, establishing a group-wide system capable of handling everything from design to on-site construction in an integrated manner. In 2015, the company acquired 51% of the shares of M.M Bridge Corporation (formerly Mitsubishi Heavy Industries Steel Structures Engineering), internalizing manufacturing capabilities for bridges and coastal structures. This integrated system enhances the company's capability to handle large-scale, highly complex projects.
ENVALITH's Perspective
Performance Trend
From FY2022 through FY2025 (ending March 2025), the company achieved four consecutive years of revenue growth and maintained an expanding trend in operating profit, but FY2026 (ending March 2026) saw a sharp downturn, with net sales of ¥56,659 million (down 24.2% year on year), operating profit of ¥4,525 million (down 50.6%), and net profit attributable to owners of the parent of ¥3,264 million (down 32.7%). As external factors, orders for new steel bridge construction fell below 100,000 tons to 96,000 tons, and large-scale renewal and maintenance-related work also declined following the drop-off of concentrated construction projects that had boosted the previous period. The cost-of-completed-construction ratio rose to 82.6% (from 81.0% in the prior period), and SG&A expenses of ¥5,326 million increased year on year. The forecast for FY2027 (ending March 2027) calls for net sales of ¥55,000 million and operating profit of ¥2,300 million, indicating a further decline in profit, with the difficult business environment expected to persist through the first half of the next medium-term management plan.
Growth Strategy
Aiming for medium- to long-term recovery through concentration of management resources on large-scale renewal & maintenance and high-difficulty major projects
Capturing the market environment in which sites requiring renewal and maintenance continue to increase, centered on large-scale expressway renewal construction with a business scale of approximately ¥7 trillion, the company will continue order-taking activities with an eye toward the recovery of order volume in the latter half of the next medium-term management plan period (FY2029 onward). Large-scale Renewal & Maintenance Construction orders for FY2026 (ending March 2026) remained at ¥12,843 million.
Through participation in large-scale projects such as the western extension of the Osaka Bay Route, the Meishin Bay Route Connector Bridge, and the Shimonoseki-Kitakyushu Road (city planning already decided), the company aims to secure orders for large-scale projects leveraging its advanced technical capabilities. These projects are expected to provide stable revenue recognition over the medium to long term.
Actively capturing high-difficulty private-sector construction such as redevelopment of terminal stations in the greater Tokyo metropolitan area, continuous grade separation projects, and large- to medium-scale urban redevelopment. Railway-related Construction revenue for FY2026 (ending March 2026) came to ¥13,178 million, serving to a certain extent to offset the decline in public works.
Continuing investment in the efficiency and optimization of factory production and on-site construction capabilities to maintain a stable profitable structure even amid declining sales. In FY2026 (ending March 2026), Miyaji Engineering's operating profit came to ¥3,976 million (down 0.6% year on year), a slight decline, confirming a certain effect from efficiency improvement measures.
The next medium-term management plan is scheduled to be announced during FY2027 (ending March 2027), the final year of the current medium-term management plan (FY2022-FY2026). With the challenging business environment expected to continue through the first half, the direction of capital policy, including shareholder return policy, is expected to be presented at that time.
Last updated: July 19, 2026