Shinnihon Construction
Basic Information
- Stock Code
- 1879
- Industry
- Construction
- Category Detail
- Construction & Civil Engineering
- Prefecture
- Chiba Prefecture
- Establishment Year
- February 1969
- Listing Year
- December 1989
- Official Website
- http://www.shinnihon-c.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- Sho-Bond Holdings, Daiichi Cutter Kogyo, BR Holdings, Tokken Corporation, Yamaura, Matsui Construction, Sada Kensetsu, Nihon Kiso Gijutsu, Tomoe Corporation, Raito Kogyo, Nittoku Kensetsu, Akatsuki Iijima Kogyo, Fujii Sangyo
Overview
Shinnihon Construction, founded in 1969, operates construction and real estate businesses primarily in Chiba Prefecture, achieving steady growth through its in-house integrated system for condominium development and regionally focused construction.
Current Situation
In the fiscal year ending March 2024, Shinnihon Construction recorded consolidated sales of approximately ¥133.5 billion, operating profit of ¥17.6 billion, and net profit of ¥12.3 billion. It specializes in planning, design, construction, and management of for-sale condominiums mainly in the Greater Tokyo Area with an in-house integrated system, leveraging high-quality housing provision as its strength. Its flagship brand 'Excellent City' receives high market acclaim and has won Good Design Awards. Overseas, it participates in redevelopment projects in Shenyang, China, expanding its international presence. Technologically, it adopts the latest construction management systems and strengthens safety management, promoting sustainable development in harmony with local communities. Moving forward, it aims to expand its sales base while addressing diversifying customer needs, targeting further increases in sales and profits by around 2030. In recent years, it has diversified revenue streams through strengthened real estate-related businesses and collaborations with affiliates, ensuring stable growth. Environmentally, it promotes energy-saving designs and recycling of construction waste.
Trivia
Interesting Facts
- Supplied over 8,000 condominium units in the Greater Tokyo Area
- Developed Wellis Inage, which won Good Design Award
- Origins trace back to 1964 as Kanatsuna Construction Ltd.
- Handles planning, design, construction, and management of for-sale condominiums in-house
- Participates in Shenyang redevelopment project as Japanese company
- Track record in constructing Makuhari Messe International Conference Hall and Hotel The Manhattan
- 564 consolidated employees as of 2020, mid-sized scale
- Affiliates include Shin Nihon Community and Shin Nihon Fudosan
- Listed on Tokyo Stock Exchange Prime after upgrade from Section 1
- Paid-in capital of ¥3.665 billion with solid financial base
- Addresses wide customer needs through diverse brand lineup
- Headquartered in Mihama Ward, Chiba Prefecture, focusing on regional contributions
- Active efforts in strengthening safety and quality management
- Extensive track record leveraging networks
- Diverse construction businesses from housing to civil engineering and commercial facilities
Hidden Connections
- Built long-term good relationships with Chiba Prefecture administrations and local governments, excelling in regional development
- Established integrated system for condominium management and after-sales service through affiliates
- Participation in Shenyang redevelopment highly evaluated for collaboration with Chinese government
- Good Design Award-winning condominium brand balances design and practicality
- As mid-sized construction firm, established unique technology development and quality management system
- Focuses on marketing own brands via regional events and trade shows
- Differentiates from competitors through shortened timelines and cost reductions via integrated construction
- Strategic policy to diversify revenue through overseas market development
Future Outlook
Growth Drivers
- Continued population growth and housing demand in Greater Tokyo Area
- Increasing demand for barrier-free housing in anticipation of aging society
- Promotion of safe and environmentally considerate architectural technologies
- Construction efficiency improvements using ICT and smart technologies
- Revenue diversification through overseas business expansion
- Expanding urban redevelopment needs in real estate market
- Rising consumer awareness of sustainable architecture
- Business efficiency improvements through strengthened affiliate collaborations
- Demand boost from government housing policies and subsidies
- Brand value enhancement through strengthened regional community ties
- Market expansion for energy-saving architecture
- Securing construction workforce and efficiency improvements
Strategic Goals
- Achieve sales over ¥150 billion
- Realize over 70% ratio of energy-saving housing
- Expand overseas sales ratio to over 20%
- Improve construction efficiency by 20% through ICT
- Promote sustainable development in collaboration with local communities
- Aggressively develop barrier-free housing
- Continuously achieve zero construction safety accidents
- Maximize business synergies with affiliates
- Advanced employee development programs
- Continuous introduction of technologies reducing environmental impact
Business Segments
Construction Contracting Works
- Overview
- Undertakes planning, design, and construction of building and civil engineering works in an integrated manner to provide high-quality construction.
- Competitiveness
- Quality and cost management through in-house integrated system
- Customers
-
- General contractors
- Local governments
- Real estate developers
- Commercial facility operators
- Hotel operators
- Public organizations
- Manufacturing companies
- Products
-
- Condominium construction
- Commercial facility construction
- Civil engineering contracting
- Public infrastructure development
- Specialized construction management services
Real Estate Planning and Development
- Overview
- Real estate business supporting from acquisition to development and sales in an integrated manner.
- Competitiveness
- Regional market analysis capabilities and track record
- Customers
-
- Investment funds
- Local companies
- Real estate management companies
- Local governments
- Products
-
- Land acquisition and market research
- Development planning and design
- Sales and brokerage
- Asset management services
Construction Management Support Services
- Overview
- Management support services aimed at improving efficiency and safety at construction sites.
- Competitiveness
- Years of construction know-how and ICT utilization
- Customers
-
- Small and medium construction companies
- General contractor subcontractors
- Local companies
- Government-related projects
- Products
-
- Safety management
- Quality auditing
- Schedule management
- Material procurement support
Competitive Advantage
Strengths
- High-quality construction through in-house integrated system
- Solid customer base from regional focus
- Long track record in condominium development
- Broad range of construction and real estate businesses
- Established safety management technology
- Focus on sustainable architectural design
- High brand recognition
- Abundant experienced personnel in construction management
- Stable financial foundation
- Good relationships with local administrations
- Entry into overseas redevelopment projects
- Utilization of diverse sales channels
- Continuous improvement in construction techniques
- Synergy effects with affiliates
- Promotion of environmentally considerate projects
Competitive Advantages
- Flexible supply system responding to Greater Tokyo Area demand
- Integrated services from planning to construction
- Existence of Good Design Award-winning brand
- Diverse product lineup and brand strategy
- Technological capabilities encompassing civil engineering and building construction
- Regional real estate development know-how
- Enhanced reliability through thorough safety and quality management
- Capital stability from long-term stable shareholders
- International expansion through participation in Shenyang urban redevelopment
- Efficiency improvements via ICT at construction sites
- Competitive edge strengthening through thorough cost management
- Comprehensive strength via affiliate networks
- Customer touchpoint expansion through multi-channel strategy
- Advanced introduction of environmentally considerate architecture
- Comprehensive safety training programs
Threats
- Risk of rising construction material prices
- Construction delays due to labor shortages
- Impact of economic fluctuations in Greater Tokyo real estate market
- Intensifying competition with major general contractors
- Project delays and damage from natural disasters
- Strengthening of building and environmental regulations
- Political and economic risks in overseas operations
- Delays in responding to diversifying customer needs
- Lagging behind in technological innovation competition
- Uncertainty in funding environment
- Increase in new market entrants
- Decline in competitiveness due to delays in digitalization of construction industry
Innovations
2024: Introduction of Smart Construction Management System
- Overview
- Introduced system enhancing construction processes and safety management using AI.
- Impact
- Contributes to improved construction quality and shortened timelines
2023: Active Adoption of Eco-Building Materials
- Overview
- Began standard use of recycled and high-insulation materials to reduce environmental impact.
- Impact
- Improved energy-saving performance and increased customer evaluations
2022: Strengthened International Collaboration in Shenyang Redevelopment
- Overview
- Applied new technologies in urban redevelopment project in Shenyang, China.
- Impact
- Successfully strengthened overseas business foundation
2021: Revamped Safety Training Program
- Overview
- Introduced new on-site safety training using VR technology.
- Impact
- Accident rate decreased by 20% compared to previous year
Sustainability
- Standardization of energy-saving architectural design
- Project to improve construction waste recycling rate
- Continuous participation in local environmental conservation activities
- Employee environmental awareness training
- Promotion of solar power system installations
- Advancement of environmentally considerate housing development
- Expansion of decarbonization technology adoption
- Introduction of resource-saving construction methods
- Advanced environmental impact monitoring
- Contribution to regional circular economy