ORIGINAL ENGINEERING CONSULTANTS CO.,LTD.
4642・Standard Market・Services
Construction Consultant Business
Core group business handling survey, design, and construction supervision of water supply and sewerage infrastructure
| Period | Current | Previous | Change |
|---|---|---|---|
| Completed Work (Net Sales) | ¥2,962 million (Q1 FY2026, ending March 2026) | ¥2,561 million (Q1 FY2025, ending March 2026, company-wide figure prior to separation of the Information Processing Services Business) | ↑ |
| Segment Profit | ¥653 million (Q1 FY2026, ending March 2026) | ¥672 million (Q1 FY2025, ending March 2026, when reported as a single segment) | ↓ |
| Segment Profit Margin | 22.0% (Q1 FY2026, ending March 2026) | 26.2% (Q1 FY2025, ending March 2026, when reported as a single segment) | ↓ |
| Orders Received | ¥1,272 million (Q1 FY2026, ending March 2026) | – | — |
| Completed Work (Full-Year Results) | ¥7,506 million (Full-year FY2025, ending March 2026) | – | — |
| Segment Profit (Full-Year Results) | ¥1,030 million (Full-year FY2025, ending March 2026) | – | — |
Business Details
Consulting services related to water supply and sewerage, including survey, planning, detailed design, and construction supervision, provided by Original Sekkei Co., Ltd. and Nihon Gijutsu Service Co., Ltd. Customers are mainly local governments, and the segment provides specialized technology essential for maintaining public infrastructure, such as renovation and renewal of aging infrastructure, seismic reinforcement, and disaster recovery support. In the first quarter of FY2026 (ending March 2026, i.e., the fiscal year ending December 2026), this core segment accounted for ¥2,962 million of the group's consolidated net sales of ¥3,290 million.
Recent Overview
Q1 completed work of ¥2,962 million recorded, driven by Noto recovery, renewal of aging facilities, and Water PPP demand
The first quarter of FY2026 (ending March 2026) (January to March) falls during the period of concentrated delivery deadlines at the end of the government fiscal year, and good communication with local governments enabled smooth progress of interim and completion inspections. Completed work of ¥2,962 million and segment profit of ¥653 million were recorded. Orders received were ¥1,272 million. Order-taking activities centered on disaster recovery support services related to the Noto Peninsula earthquake, renovation and renewal projects for aging facilities, and Water PPP-related project needs. In the fiscal 2026 (ending March 2026) budget of the Ministry of Land, Infrastructure, Transport and Tourism, approximately ¥471.6 billion was allocated to sewerage, approximately ¥32.7 billion to water supply, and approximately ¥3.9 billion to integrated water supply and sewerage, and the business environment remains favorable.
Key Products
Growth Drivers
- Long-term expansion of demand for measures against aging and for seismic reinforcement of water supply and sewerage facilities (pipeline renewal rate of 0.64%, a level requiring approximately 130 years for full renewal; seismic conformity rate for trunk pipelines of 43.3%)
- Emergence of demand for disaster recovery and emergency inspections triggered by the Noto Peninsula earthquake, and its continued contribution to orders
- Stable public budget for fiscal 2026 (ending March 2026) from the Ministry of Land, Infrastructure, Transport and Tourism: approximately ¥471.6 billion for sewerage, approximately ¥32.7 billion for water supply, and approximately ¥3.9 billion for integrated water supply and sewerage
- Increased demand for public-private partnerships from small and medium-sized municipalities due to the Water PPP requirement (when utilizing the Comprehensive Social Infrastructure Development Grant from fiscal 2027 onward)
- Creation of a project to promote integrated efficiency and strengthen the foundation of water supply and sewerage following the transfer of water supply development and management administration to the Ministry of Land, Infrastructure, Transport and Tourism (April 2024)
- Strengthening of the talent base and synergy effects from Nihon Gijutsu Service Co., Ltd. joining the group (July 2025)
- Expansion of business domains through the concretization of new business plans, such as Web GIS tools utilizing PLATEAU and resident collaboration platforms
Risks
- Structural risk of divergence between winning bid prices and desired prices, as competitive bidding by local governments is the mainstay
- Risk of rising work cost ratios due to sophistication of renovation/renewal planning and design services (Q1 completed work cost ratio showed an upward trend year on year)
- Risk of declining technical capabilities due to delays in technology transfer from senior engineers and in securing and developing young talent
- Risks related to labor and quality management due to concentration of delivery deadlines at the end of government fiscal years
- Amortization burden and impairment risk for goodwill (¥1,113 million) and customer-related assets (¥832 million), including amounts recorded in the Information Processing Services Business segment
- Limited comparative data for the Construction Consultant Business alone versus the prior period due to the separation of the Information Processing Services Business, making quantitative verification of performance trends difficult
Last updated: March 26, 2026