NISHIO HOLDINGS CO. , LTD.

Business Details

Centered on Nishio Rent All Co., Ltd., this segment focuses primarily on the rental of construction and equipment installation machinery (civil engineering and road machinery, aerial work platforms, surveying instruments, etc.), track construction equipment, and event equipment. It also encompasses contracted work for construction-related electrical installation and construction machinery operation, as well as a transport business. In addition to domestic operations, the segment has expanded overseas into markets such as Australia and Vietnam, and accounts for approximately 99% of consolidated group revenue, making it the core reporting segment.

Recent Overview

Both interim revenue and profit declined year on year due to the reversal of Expo-related special demand

In H1 FY2026 (ending March 2026) (October 2025 to March 2026), the rental-related business recorded revenue of ¥106,721 million (99.2% of the same period of the prior year) and operating profit of ¥10,332 million (94.9% of the same period of the prior year). The main cause was the year-on-year decline following the disappearance of special demand related to the Osaka-Kansai Expo. Infrastructure-related construction such as roads and civil engineering remained relatively firm, and in the event field, large broadcast vehicles and relay cameras for international baseball tournaments contributed. Overseas, Australia and Vietnam performed steadily. The "Other" segment contracted to revenue of ¥1,166 million (29.5% of the same period of the prior year) and an operating loss of ¥15 million, due to the impact of subsidiary divestitures and intra-group restructuring.

Key Products

Growth Drivers

• Expanding demand for construction machinery and surveying equipment driven by progress in ICT construction and DX (increasing inquiries related to automated and remote construction)
• Relatively steady medium- to long-term demand in tunnel construction and similar projects (recovery expected from the second half onward)
• Advancement of business initiatives under the medium-term management plan "Next Stage 2026," including construction logistics, temporary structure solutions, and construction DX
• Strengthened order-taking activities for event equipment related to the Asian Games (to be held in autumn)
• Steady business progress overseas (Australia and Vietnam) and expansion into high-growth markets
• Expected recovery in demand for new large-scale building construction from the second half onward and focused sales efforts

Risks

• Year-on-year decline due to the disappearance of special demand related to the Osaka-Kansai Expo (materializing in H1 FY2026, ending March 2026)
• Continued nationwide delays in construction starts due to rising construction material costs and labor shortages
• Uncertainty in material procurement and concerns over price increases due to inflation amid heightened tensions in the Middle East
• Risk of restrained construction investment due to external uncertainties such as U.S. tariff policy and rising resource prices
• Substantial contraction of revenue and profit in the "Other" segment due to subsidiary divestitures and intra-group restructuring
• Risk of prolonged construction delays due to labor shortages in the construction industry