OYO Corporation
9755・Prime Market・Services
Disaster Prevention and Infrastructure Business
Domestic public-sector consulting business centered on national resilience and countermeasures against aging infrastructure
| Period | Current | Previous | Change |
|---|---|---|---|
| External customer sales (Q1 FY2026, ending December 2026) | ¥9,909 million | ¥8,414 million | ↑ |
| Segment sales (including inter-segment, Q1 FY2026, ending December 2026) | ¥9,976 million | ¥8,474 million | ↑ |
| Segment operating profit (Q1 FY2026, ending December 2026) | ¥2,423 million | ¥1,501 million | ↑ |
| Orders received (Q1 FY2026, ending December 2026) | ¥7,747 million | ¥8,470 million (91.5% YoY) | ↓ |
| External customer sales (full year FY2025, ending December 2025) | ¥30,015 million | — | — |
| Operating profit (full year FY2025, ending December 2025) | ¥1,508 million | — | — |
Business Details
A segment providing support for societal resilience against natural disasters (earthquakes, tsunamis, volcanoes, heavy rain, landslides) as well as support for the development and maintenance of social infrastructure. Main customers are public institutions such as national and local governments. The segment offers a wide range of solutions including damage forecasting, disaster prevention planning, monitoring system construction and renewal, infrastructure inspection, diagnosis and maintenance services, and development and sale of non-destructive testing products. The segment consists of a total of 11 companies: the parent company, 9 domestic consolidated subsidiaries, and 1 affiliated company.
Recent Overview
Orders declined as Noto recovery demand subsided, but progress on backlog and margin improvement drove higher sales and profit
In Q1 FY2026 (ending December 2026), orders received decreased to ¥7,747 million (91.5% YoY) as demand for Noto Peninsula earthquake disaster recovery response work, which had been at a high level in the prior period, subsided. Meanwhile, steady progress was made on the order backlog carried over from the start of the period, including renewal work for earthquake and volcano observation and monitoring equipment, resulting in a significant increase in sales to ¥9,909 million (117.7% YoY). Gross profit margin improved through efforts to strengthen regional base functions, optimize staffing, and improve productivity, resulting in a significant increase in operating profit to ¥2,423 million (161.5% YoY) compared to the same period of the prior year.
Key Products
Growth Drivers
- Medium- to long-term stable demand for public works backed by the government's 'National Resilience Implementation Medium-Term Plan (2026-2030, total of over ¥20 trillion)'
- Expanding demand for recovery support and disaster prevention-related work amid more frequent and severe natural disasters
- Continued increase in demand for inspection, diagnosis, and maintenance due to progressing aging of social infrastructure
- Improvement in gross profit margin through strengthening regional bases, optimizing staffing, and improving productivity
- Capture of new demand areas such as volcano observation network renewal work
- Strengthening of group structure through the merger of Geo Five Co., Ltd.
Risks
- Risk of decreased orders due to cuts or reviews of public works budgets
- Risk of deteriorating profitability due to engineer shortages and rising labor costs
- Risk of additional costs such as repair expenses related to work completed in prior years
- Risk of demand fluctuation depending on the timing and scale of natural disasters (such as the temporary falloff seen as Noto recovery demand subsides)
- Risk of declining competitiveness due to delays in adopting digital technology and AI
Last updated: March 25, 2026