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To Our Shareholders

I would like to express my gratitude for your continuous support.

 

Firstly, I would like to offer my sincere sympathies to people who have been affected by “2018 Hokkaido Eastern Iburi Earthquake”, “Typhoon No.21 2018” and “Heavy Rain Event of July 2018”, hoping for the early restoration of the affected areas.

 

Currently, the construction market remains brisk for the Tokyo 2020 Olympic and Paralympic Games. We are struggling with construction works, primally attaching importance to completion of on-going projects without accident or disaster and to satisfying our clients. On the other hand, we consider that we have to execute our management strategy steadily to achieve further growth, looking into the next-generation market environment.

 

For that reason, in the Medium-Term Business Plan (2018-2020) starting this fiscal year, we have defined our basic policy as “Building the foundation for growth centering the construction business at our core.” Based on this policy, while developing overseas business which is expected to grow much more and the focused fields where we can show our core business’s advantage (energy/environment, urban development/PPP, renewal and engineering) to our growth engines, we will make strategic investment in growth and endeavor to reinforce a medium-to long-term revenue foundation of our group.

 

Furthermore, as one of leading companies in the industry, we will take the unified initiative in adressing “Work Style Reforms” and “Advancing Productivity” to meet the urgent need to secure and develop workers in the construction industry.

 

Additionally, based on the resolution at the board meeting on May 11, 2018, we acquired 6,127,500 common shares of our company (at an acquisition price of 35,999 million yen) in order to increase shareholder returns and to improve capital efficiency.

 

I sincerely appreciate your continuous and invaluable guidance and support.

Yoshiyuki Murata

President and Chief Executive Officer