Ichiken
Basic Information
- Stock Code
- 1847
- Industry
- Construction
- Category Detail
- Construction & Civil Engineering
- Prefecture
- Tokyo
- Establishment Year
- June 1930
- Listing Year
- June 1963
- Official Website
- https://www.ichiken.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
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Overview
Ichiken is a comprehensive construction company founded in 1930, with strengths in commercial facility construction, maintaining stable performance as a mid-tier general contractor.
Current Situation
Ichiken has a solid financial base with sales of approximately 93.8 billion yen and operating profit of approximately 4.6 billion yen in the fiscal year ended March 2019, diversifying its business centered on commercial facilities, including urban environmental improvement and leased building rentals. It maintains a stable order base through business partnerships leveraging its relationship with top shareholder Maruhan. It has sales offices in Kansai, Kyushu, Sendai, Hiroshima, and Okinawa, accumulating construction track records across a wide range of regions. Following a scandal, it has strengthened governance and established internal management systems. In the construction industry, amid fierce competition with major general contractors, it differentiates itself by specializing in highly specialized commercial facility construction. Focusing on sustainability and advanced urban development, its future strategy is to expand in the planning, design, and construction of complex commercial facilities. In 2023, it transitioned from the Prime to Standard market segment on the Tokyo Stock Exchange and is reviewing its capital policies. Going forward, it aims to enhance competitiveness through digital technology adoption and efficient management structures. While monitoring fluctuations in domestic construction demand, it strives for high-quality construction and improved reliability.
Trivia
Interesting Facts
- Widely recognized domestically as a long-established construction company founded in 1930
- Holds a unique capital relationship with Maruhan as top shareholder
- Representative mid-tier general contractor that has honed expertise in commercial facilities
- Once drew social attention for accounting irregularities at Kansai branch
- Extensive track record in urban complex commercial facility construction
- Sales offices in diverse regions for broad-area operations
- Rare mid-tier constructor also handling urban environment improvement
- Historically developed through business alliance with Daiei
- Also handles planning, design, and construction of logistics facilities
- Has undergone multiple rare company name changes in the construction industry
Hidden Connections
- Pachinko giant Maruhan is the top shareholder, exerting strong influence on group facility construction
- Accumulated commercial facility construction know-how through business alliance with Daiei
- Specialty store construction in various locations linked to retail chain growth
- Contributed to regional branding through construction of Kobe Meriken Park Oriental Hotel
- Has an office in Hanoi, Vietnam, as a foothold for overseas market entry
- Since the accounting irregularity issue, focused on financial strengthening after Tokyo Stock Exchange market segment review
- Head office building at Hamamatsucho Building in Shibaura, Minato Ward, is well-known
- Recently advancing digital construction management to improve productivity
Future Outlook
Growth Drivers
- Capture of growing urban commercial facility demand
- Stable revenue through strengthened Maruhan Group collaboration
- Expansion of complex facility development needs in regional cities
- Promotion of digital and smart construction technology adoption
- Market shift toward environmentally considerate architecture
- Sales force strengthening for new customer acquisition
- Business scale expansion through M&A of small and mid-tier general contractors
- Participation in civil engineering works amid increasing public projects
- Order increase from waterfront redevelopment
- Construction demand recovery post-COVID-19 impact
Strategic Goals
- Become a top-class specialist in domestic commercial facility construction
- Maximize synergies with Maruhan Group-related businesses
- Achieve over 90% utilization rate of BIM/CIM and other digital technologies
- Reach 50% green building ratio with environmental impact reduction
- Improve operating profit margin to over 10%
- Continuous strengthening of internal governance
- Enhanced business deployment in major cities nationwide
- Improve employee diversity and work-life balance
- Promote social contribution activities for coexistence with local communities
- Breakthrough 10 billion yen in sales from new business areas
Business Segments
Commercial Facility Construction and Development
- Overview
- Provides integrated services from planning and design of commercial facilities to construction and operational support.
- Competitiveness
- Construction technology specialized in commercial facilities and stable order base through collaboration with Maruhan
- Customers
-
- Developers
- Shopping mall operators
- Tenant companies
- Commercial building owners
- Financial institutions
- Products
-
- Commercial facility planning and design
- Construction management
- Building maintenance management
- Land utilization consulting
Urban Environment Improvement
- Overview
- Handles urban environmental improvement construction, contributing to regional landscape enhancement.
- Competitiveness
- Local construction experience and environmental conservation technology
- Customers
-
- Local governments
- Urban development operators
- Environmental companies
- Real estate management companies
- Products
-
- Street tree planting
- Park improvement
- Environmental beautification construction
- Multi-purpose urban facility construction
Housing and Real Estate Development
- Overview
- Provides design, construction, and management for housing development projects.
- Competitiveness
- Long years of housing construction know-how and regional expansion capabilities
- Customers
-
- Housing sales companies
- Real estate investors
- Architectural design firms
- Products
-
- Housing architectural design
- For-sale housing construction
- Asset utilization consulting
Specialty Store Design and Construction
- Overview
- Specializes in interior and exterior design and construction for specialty stores.
- Competitiveness
- High-quality construction leveraging brand image
- Customers
-
- Automotive dealers
- Specialty store owners
- Chain store operators
- Products
-
- Store planning and design
- Construction management
- Tenant renovations
Competitive Advantage
Strengths
- High technological expertise specialized in commercial facility construction
- Stable order base and collaboration with top shareholder Maruhan
- Regional deployment through nationwide sales office network
- Customer trust from extensive construction track record
- Solid financial position
- Comprehensive capabilities in complex commercial facility planning and construction management
- Governance enhancement through improved internal management systems
- Risk diversification through diverse business operations
- Long industry experience and know-how
- Competitive edge in focused specialty areas
Competitive Advantages
- Differentiation as a commercial facility specialist general contractor
- Stable orders expected from capital ties with Maruhan
- Multi-regional deployment leveraging local characteristics
- One-stop service from complex facility planning and design to construction
- Specialization focus differentiating from major general contractors
- Enhanced brand trust from broad construction track record
- Urban development participation leveraging environmental improvement strengths
- Niche market capture in specialty store design and construction
- Investor confidence boost through internal control improvements
- Stable cash flow assurance
Threats
- Intense order competition with major general contractors
- Rising construction material costs and procurement risks
- Performance instability from domestic construction demand slowdown
- Brand image impact from past accounting irregularities
- Competitiveness decline from delayed technological innovation
- Cost increases due to stricter environmental regulations
- Construction delays from labor shortages
- Funding risks from economic fluctuations
- Project delays from natural disasters
- Entry of new competitors
Innovations
2023: Introduction of Digital Construction Management System
- Overview
- Digitizing construction progress and quality management company-wide to promote efficiency.
- Impact
- Achieved shorter construction periods and improved quality
2022: Expansion of Environmentally Friendly Building Materials Adoption
- Overview
- Actively introducing sustainable building materials to reduce environmental impact.
- Impact
- Improved social evaluation and cost optimization
2021: Enhanced Utilization of BIM/CIM Technology
- Overview
- Introduced BIM/CIM in architectural and civil engineering design to improve design accuracy and construction efficiency.
- Impact
- Reduced design errors and significantly cut redesign workload
2024: Regional IoT Construction Monitoring
- Overview
- Real-time monitoring of site construction status to ensure quality maintenance.
- Impact
- Succeeded in quality improvement and early issue detection
2020: Remote Meeting System Setup for COVID-19 Response
- Overview
- Connecting construction sites and offices for efficient remote management.
- Impact
- Strengthened business continuity and reduced infection risks
Sustainability
- Promotion of energy-saving building technology adoption
- Waste reduction and recycling promotion plan
- Environmental conservation activities in collaboration with local communities
- Promotion of environmental performance certification for building materials
- Employee environmental awareness training
- Architectural design aiming for green building certification
- CO2 emission reduction targets and progress management
- Active response to diversity and work-style reform