MT GENEX CORPORATION
9820・Standard Market・Real Estate
Renewal
Largest and fastest-growing segment, handling interior fit-out and electrical facility work for large-scale offices
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment revenue (FY2026, ending March 2026) | ¥2,000 million | ¥1,467 million | ↑ |
| Segment profit (FY2026, ending March 2026) | ¥276 million | ¥227 million | ↑ |
| Segment profit margin (FY2026, ending March 2026) | 13.8% | 15.5% | ↓ |
| YoY revenue growth rate (FY2026, ending March 2026) | +36.3% | +2.5% | ↑ |
| YoY segment profit growth rate (FY2026, ending March 2026) | +21.7% | −27.7% | ↑ |
| Goodwill amortization (FY2026, ending March 2026) | ¥30 million | ¥30 million | — |
| Goodwill balance (end of FY2026, ending March 2026) | ¥92 million (consolidated total) | ¥140 million (consolidated total) | ↓ |
Business Details
This segment undertakes interior fit-out work, renovation work, and electrical facility construction for buildings and residences, including design and construction supervision. Capturing corporate capital expenditure demand driven by the return-to-office trend, in FY2026 (ending March 2026) the segment grew into the company's largest, accounting for 42.4% of total sales, on the back of increased orders for interior fit-out and electrical facility work at large-scale offices. Goodwill amortization related to the consolidation of MTI Tech Co., Ltd. as a subsidiary continues, but profit also increased significantly.
Recent Overview
Sales rose 36.3% and profit rose 21.7%, marking a strong recovery driven by a surge in orders from large-scale offices
In FY2026 (ending March 2026), orders for interior fit-out work and electrical facility construction at large-scale offices increased, resulting in sales of ¥2,000 million (up 36.3% year on year) and segment profit of ¥276 million (up 21.7% year on year). Rising office demand, driven by the entrenchment of the return-to-office trend and headcount growth, provided a tailwind. On the other hand, the profit margin declined to 13.8% from 15.5% in the prior period, likely reflecting the impact of rising cost ratios due to persistently high construction material prices and rising labor costs. For FY2027 (ending March 2027), further expansion is expected, with sales forecast at ¥3,468 million (up 73.4% year on year) and segment profit forecast at ¥609 million (up 120.3% year on year).
Key Products
Growth Drivers
- Continued growth in demand for large-scale interior fit-out and renovation work, driven by the entrenchment of the return-to-office trend and business expansion/headcount growth
- Resilient corporate capital expenditure appetite supported by sustained low office vacancy rates in central urban areas
- Capability to respond to corporate demand for high-functionality, high-quality office spaces
- Business expansion in the electrical facility construction domain and strengthened order acquisition capability following the consolidation of MTI Tech as a subsidiary
- A robust order pipeline, as indicated by the FY2027 (ending March 2027) sales forecast of ¥3,468 million (up 73.4% year on year)
Risks
- Risk of rising cost ratios due to persistently high construction material prices (profit margin declined from 15.5% in the prior period to 13.8% in the current period)
- Profit pressure from rising labor costs due to worker shortages
- High dependence on sales to the parent group (Mori Trust Co., Ltd.), creating risk that changes in the parent's investment plans directly affect performance
- Downward pressure on profit from goodwill amortization related to MTI Tech Co., Ltd. (¥30 million amortized in the current period)
- Risk of deteriorating profitability due to intensifying competition for order acquisition
- Downside risk to performance if orders fall short, given that a substantial revenue increase (up 73.4%) is already factored into the FY2027 (ending March 2027) forecast
Last updated: June 23, 2026