KYOWA ENGINEERING CONSULTANTS CO., Ltd.
9647・Standard Market・Services
Construction Consultant Business
The core business of Kyowa Consultants, responsible for civil engineering and building surveys, design, and construction management for public sector clients.
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment net sales (external customers) | ¥3,983 million (interim period of FY2026, ending March 2026) | ¥4,048 million (interim period of FY2025, ending March 2026) | ↓ |
| Segment operating profit | ¥777 million (interim period of FY2026, ending March 2026) | ¥719 million (interim period of FY2025, ending March 2026) | ↑ |
| Segment operating profit margin | 19.5% (interim period of FY2026, ending March 2026) | 17.8% (interim period of FY2025, ending March 2026) | ↑ |
| Orders received | ¥3,680 million (interim period of FY2026, ending March 2026) | ¥3,826 million (interim period of FY2025, ending March 2026) | ↓ |
| Segment net sales (external customers, full year) | ¥7,011 million (full year FY2025, ending March 2026) | — | — |
| Segment operating profit (full year) | ¥1,042 million (full year FY2025, ending March 2026) | — | — |
Business Details
A segment centered on survey, design, and construction management operations related to civil engineering and construction, developed both domestically and overseas. Major customers include public agencies and public institutions such as the Ministry of Defense and West Nippon Expressway Company. The main sources of revenue are demand related to disaster prevention/mitigation, national resilience enhancement, and defense facility development, and this core business accounts for approximately 85% of the Group's consolidated net sales and the majority of consolidated operating profit. For the interim period of FY2026 (ending March 2026) (December 2025 to May 2026), sales to external customers were ¥3,983 million, and segment profit was ¥777 million.
Recent Overview
Net sales decreased 1.6% year-on-year, but operating profit increased 8.0% due to improved profit margin.
In the interim period of FY2026 (ending March 2026) (December 2025 to May 2026), the Construction Consultant Business posted net sales to external customers of ¥3,983 million (down 1.6% year-on-year), a modest decline, while segment operating profit increased to ¥777 million (up 8.0% year-on-year). In addition to sustained demand related to disaster prevention/mitigation and national resilience enhancement, demand related to base development under the defense buildup program has been added, and a relatively favorable order environment has continued. Orders received were ¥3,680 million (down 3.8% year-on-year), slightly below the prior-year period, but the company judges that progress toward the full-year earnings forecast is on track.
Key Products
Growth Drivers
- Government budgets related to disaster prevention/mitigation and national resilience enhancement continuing at consistently high levels (ongoing as part of the National Resilience Implementation Medium-Term Plan)
- Expansion of demand related to base development based on the Defense Buildup Program
- Continued demand for maintenance and repair of expressway-related infrastructure such as West Nippon Expressway Company
- Improved profitability through productivity gains, reduced outsourcing costs, and reduced SG&A expenses (interim operating profit margin of 19.5%, up 1.7 percentage points year-on-year)
- Strengthened technical proposal sales enhancing competitiveness in both quality and quantity of orders received
Risks
- Risk that concentration of major customers in public agencies means reductions or policy shifts in government budgets directly affect the order environment
- Risk that orders received, down 3.8% year-on-year, may affect achievement of the full-year plan depending on second-half order trends
- Constraints on order capacity and production capacity due to difficulty in hiring and developing engineers
- Risk of earnings volatility in overseas operations due to exchange rate fluctuations and geopolitical risk (overseas sales down 26.2% year-on-year to ¥26 million)
- Risk of profitability deterioration due to intensifying price competition with competitors
Last updated: February 26, 2026