I would like to express particular thanks for your continued support.

In the construction industry, overall construction investments have continued to be steady, backed not only by the recovery of the private investments associated with the strong corporate demand for capital investments, but also by the public investments that have continued to be driven strongly by the measures taken by the government to prevent and reduce disaster risks and make the country more resilient. However, the business environment remains challenging due to continued tightness in labour supply and demand and other factors.

Under these circumstances, the executives and employees of our Group (“the Group”) have been working together as one on [TAISEI VISION 2030] Achievement Plan and our Medium-Term Business Plan (2024-2026), to realize “a pioneering corporate group contributing to the development of a resilient society where people can live affluent and cultural lives”, as what we should aim for in [TAISEI VISION 2030].

As a result, the Group has reported the consolidated results of its operations for the fiscal year ended March 31, 2025 as follows: net sales of 2,154.2 billion yen (an increase of 389.2 billion yen; a 22.1% increase), operating income of 120.1 billion yen (an increase of 93.6 billion yen; a 353.8% increase), ordinary income of 134.5 billion yen (an increase of 95.5 billion yen; a 245.7% increase), and net income attributable to owners of parent of 123.8 billion yen (an increase of 83.5 billion yen; a 207.5% increase), compared to the same period of the previous fiscal year. With regard to the cash dividend at the end of the fiscal year ended March 31, 2025, based on the financial policy of maintaining a dividend payout ratio of approximately 30%, we propose to pay 145.00 yen per share (an increase of 80.00 yen). As the result, the total dividend for the fiscal year ended March 31, 2025, including the interim dividend of 65.00 yen, will be 210.00 yen per share.

Also, the Group has reported the consolidated results forecast for the fiscal year ending March 31, 2026 as follows: net sales of 1,960 billion yen (a decrease of 194.2 billion yen; a 9.0% decrease), operating income of 101.0 billion yen (a decrease of 19.1 billion yen; a 15.9% decrease), ordinary income of 105.0 billion yen (a decrease of 29.5 billion yen; a 21.9% decrease), and net income attributable to owners of parent of 80.0 billion yen (a decrease of 43.8 billion yen; a 35.4% decrease), compared to the same period of the previous fiscal year.

In addition, as a firm declaration of our intention to realize the performance targets of the Medium-Term Business Plan (2024–2026) and to comply with the dividend policy, we will introduce a “dividend payout ratio with minimum ratio of 30.0%” from the fiscal year ending March 31, 2026. This dividend payout ratio is that the Company sets the cash dividend to be 150.00 per share as the minimum amount of the dividend, which is equivalent to the dividend payout ratio of 30.0% based on the initial consolidated net income forecast for FY 2025 and the target amount of consolidated net income for FY 2026 announced by the Medium-Term Business Plan, and if the result surpasses the forecast, the Company revises the dividend forecast upward in accordance with the dividend payout ratio of 30.0%. Based on this policy, with regard to the cash dividend ending March 31, 2026, we expect to pay 150.00 yen per share (including the interim dividend of 75.00 yen; a dividend payout ratio of 30.8%).

We will continue to build a business foundation that can flexibly respond to any change in the external environment and achieve stable growth. And, by delivering outcomes exceeding the expectations and imagination of our clients, we will strive to further enhance our corporate value.

I sincerely appreciate your continued and invaluable cooperation and support.

May 2025
President and Chief Executive Officer,
Representative Director
Yoshiro AIKAWA