According to an analysis of the fiscal 2014 full-year financial reports of 26 Japanese construction leaders, 25 companies reported increased profits from the earlier term and 22 improved their construction profitability as well. With improved profitability of completed construction in building sector that once suffered from rising labor and materials cost, increasing number of the companies is expected to report higher profitability of construction in the fiscal 2015 ending March 2016.

Some companies reported a significant jump in operating profits; Zenitaka Corp. 609.4% increase, Toda Corp. 171.4% increase, and Toa Corp. 158.7% increase. Taisei Corp. achieved 70 billion yen-plus profits for the first time in 20 years.

Profitability of completed construction rose from 5.7% in fiscal 2013 to 6.9% in average. Construction order values received during the term are also in the uptrend. 21 companies said they received higher value of orders than in the earlier period with the booming construction demands toward the 2020 Olympic Games in favor for the industry. Haseko Corp. reported a record 464.1 billion yen in its history mostly in the domestic market, while the Penta-Ocean Construction’s values reached 722.3 billion yen particularly thanks to a series of large scaled construction won in Singapore and Hong Kong. (2015/05/18)