Raito Kogyo

Basic Information

Stock Code
1926
Industry
Construction
Category Detail
Construction & Civil Engineering
Prefecture
Tokyo
Establishment Year
September 1948
Listing Year
October 1961
Official Website
https://www.raito.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Sho-Bond, 第一カッター興業, ビーアールホールディングス, 東建コーポレーション, ヤマウラ, 佐田建設, Tohatek, 新日本建設, 日本基礎技術, 巴コーポレーション, Nittetsu Construction

Overview

Raito Kogyo is a leading company in foundation civil engineering in the construction industry, founded in 1948 and headquartered in Chiyoda-ku, Tokyo. It is a specialized construction firm strong in ground improvement and slope countermeasure works.

Current Situation

Raito Kogyo recorded consolidated net sales of approximately 109.5 billion yen, operating profit of approximately 13.2 billion yen, and net profit of approximately 8.9 billion yen for the fiscal year ended March 2022, establishing a solid profit base in the domestic foundation civil engineering sector. Centering on slope countermeasure works and ground improvement works, it possesses industry-top-class technological capabilities and stands as a leader alongside Nittetsu Construction. With capital of approximately 6.1 billion yen and approximately 1,290 consolidated employees, it has a robust organizational structure and is engaged in diverse construction methods and technology development. In recent years, while promoting proprietary technologies such as the Free Frame method, it has also focused on environmentally considerate construction, strengthening sustainability measures. Listed on the Tokyo Stock Exchange Prime Market, it sets medium- to long-term growth targets under a stable financial base and is advancing investments in DX promotion and smart infrastructure fields. Moving forward, it aims for proactive expansion capturing urban redevelopment and infrastructure reinforcement needs while responding to population decline and fluctuations in public investment.

Trivia

Interesting Facts

  • Veteran company with over 70 years of track record since founding in 1943
  • Baseball team won the Emperor's Cup in a 45-inning extra-time epic battle in 1983
  • Boasts one of the top technological capabilities in Japan for slope countermeasure works
  • Free Frame method is widely adopted in the industry
  • Headquarters located in Chiyoda-ku, Tokyo, at a key transportation hub
  • Major subsidiaries collaborate on both materials and construction, forming strengths
  • Stable shareholder base on Tokyo Stock Exchange Prime Market
  • Baseball team's activities contribute to enhancing corporate brand image
  • Numerous order track records in public projects in the construction industry
  • Ground improvement technology includes proprietary patented technologies
  • Actively engages in disaster support activities for local communities
  • Promoting workplace environment improvements considering work-style reforms
  • Pioneering role in developing sustainable construction methods
  • Promoting efficiency through ICT utilization in diverse construction sites
  • Established strict inspection system for construction materials quality control

Hidden Connections

  • Conducting joint research on large-scale slope protection with Nittetsu Construction
  • Focusing on disaster restoration and prevention works in collaboration with local governments
  • Built long-term partnerships with major client general contractors
  • Subsidiary Aura Sea handles development of latest construction machinery
  • Hosts information sharing meetings for ICT construction promotion in the industry
  • Headquartered in Tokyo, strong in securing government and public orders
  • Softball team activities contribute to improving employee unity
  • Free Frame method technology is gaining recognition at overseas construction sites

Future Outlook

Growth Drivers

  • Increasing demand for countermeasures against aging public infrastructure
  • Activation of urban redevelopment projects
  • Expansion of needs for advanced environmental construction methods due to strengthened environmental regulations
  • Progress in efficiency through ICT introduction at construction sites
  • Strengthening disaster prevention and reduction measures by local governments
  • Expansion of seismic and repair works market
  • Needs for advancement of ground improvement and slope stabilization technologies
  • Acceleration of entry into overseas infrastructure business
  • Demand for high-quality construction technologies due to shortage of construction workers
  • Increasing social interest in sustainability
  • Increasing demand for smart city-related construction
  • Promotion of adoption of new construction methods and materials technologies

Strategic Goals

  • Acquire over 20% domestic market share in foundation works field
  • Achieve over 50% sales ratio of environmentally considerate architectural materials
  • Exceed 90% adoption rate of advanced construction management ICT
  • Strengthen sustainable business deployment domestically and internationally
  • Promote continuous improvement in employee safety education and workplace environment

Business Segments

Foundation Works Contracting

Overview
Undertakes architectural and civil foundation works, providing safe and efficient construction utilizing diverse methods and technologies.
Competitiveness
Industry-leading slope safety methods and advanced ground improvement technologies
Customers
  • General Contractors
  • Public Project Clients
  • Private Developers
  • Infrastructure Operators
  • Construction Consultants
  • Local Governments
  • Railway Operators
  • Electric Power Companies
  • Port Administrators
  • School Corporations
Products
  • Chemical Grouting Works
  • Ground Improvement Works
  • Slope Protection Works
  • Disaster Prevention Slope Measures
  • Foundation Pile Works
  • Spraying Works
  • Repair Works
  • Civil Engineering Materials Procurement
  • Construction Method Design Support
  • Construction Supervision and Management

Construction Materials Manufacturing and Sales

Overview
Manufactures and sells materials and machinery parts for construction and civil works, providing reliable high-quality products.
Competitiveness
Continuous supply of high-quality, environmentally compatible materials based on R&D
Customers
  • General Contractors
  • Ground Improvement Contractors
  • Civil Engineering Contractors
  • Architectural Contractors
  • Park Maintenance Contractors
  • Agricultural Corporations
  • Local Government Facility Management
  • Environmental Conservation Groups
Products
  • Chemical Grouting Materials
  • Repair Materials
  • Waterproofing Materials
  • Civil Machinery Parts
  • Construction Auxiliary Machinery
  • Safety Equipment
  • Environmental Protection Materials
  • Monitoring Equipment

Construction Management Systems

Overview
Provides construction management support systems to enhance efficiency and safety at work sites.
Competitiveness
Specialized system development know-how for construction sites
Customers
  • General Contractors
  • Architectural Construction Companies
  • Public Project Managers
  • Private Construction Companies
  • Design Offices
Products
  • Construction Supervision Support Tools
  • Safety Management Systems
  • Quality Management Software
  • Schedule Management Software
  • Environmental Monitoring Systems

Environmental Conservation Related Services

Overview
Deploys environmental conservation services supporting sustainable development.
Competitiveness
Advanced environmental technologies and comprehensive proposal capabilities
Customers
  • Local Governments
  • Environmental Consultants
  • Construction Contractors
  • Infrastructure Managers
  • Forest Conservation Groups
Products
  • Soil Contamination Measures
  • Sustainable Slope Protection
  • Environmental Impact Assessment
  • Construction Environment Monitoring
  • Ecosystem Conservation Support

Public Infrastructure Development Support

Overview
Provides foundation ground works supporting the safety and advancement of public infrastructure.
Competitiveness
Abundant track record and high technological capabilities in public projects
Customers
  • Ministry of Land, Infrastructure, Transport and Tourism
  • Local Governments
  • Public Project Clients
  • Transportation Bureaus
Products
  • Road Repair Works
  • Embankment Reinforcement
  • Water Supply and Sewage Related Works
  • Bridge Foundation Works
  • Urban Redevelopment Support

Product Design and Technical Consulting

Overview
Provides design support and technical consulting based on advanced technologies.
Competitiveness
Practical proposals and technological expertise based on abundant site experience
Customers
  • General Contractors
  • Architectural Design Offices
  • Universities and Research Institutions
  • Public Institutions
Products
  • Ground Improvement Method Design
  • Construction Technology Consulting
  • Material Durability Testing
  • Safety Evaluation
  • Technical Training

Machinery Maintenance Services

Overview
Supports improved operational rates through maintenance inspections and repairs of construction machinery.
Competitiveness
Rapid maintenance system by specialized technicians
Customers
  • Construction Machinery Owners
  • General Contractors
  • Maintenance Contractors
Products
  • Machinery Inspections
  • Repair Services
  • Parts Replacement
  • Preventive Maintenance

Safety Education and Training Business

Overview
Provides specialized training for safe construction, contributing to accident prevention.
Competitiveness
Practical education by instructors with abundant site experience
Customers
  • Construction Companies
  • General Contractors
  • New Employee Training
  • Site Workers
Products
  • Safety Training
  • Skills Training
  • Manager Education
  • Site Risk Management

Materials Recycling Services

Overview
Promotes proper processing and recycling of construction waste.
Competitiveness
Proprietary sorting technologies and environmental response know-how
Customers
  • Construction Companies
  • Waste Processing Contractors
  • Local Governments
  • Environmental Groups
Products
  • Construction Waste Recycling
  • Waste Sorting
  • Recycled Materials Sales

New Technology Development and Research Support

Overview
Advances technological innovation through R&D and external collaborations.
Competitiveness
Technicians' expertise and stable development structure
Customers
  • Research Institutions
  • Universities
  • Construction Technology Training Institutions
  • Public and Private Companies
Products
  • Ground Improvement Materials Research
  • Construction Technology Evaluation
  • Construction Method Improvement Proposals

ICT and Smart Construction Services

Overview
Implements support for improving construction efficiency and safety through DX promotion.
Competitiveness
Advanced technological capabilities in smart infrastructure development
Customers
  • General Contractors
  • Construction Sites
  • Local Governments
Products
  • Construction Management Software
  • Drone Surveying
  • GIS Utilization Systems
  • Safety Monitoring Systems

Overseas Business Support

Overview
Deploys technology and construction support for overseas infrastructure projects.
Competitiveness
International responsiveness leveraging domestic construction track record
Customers
  • Overseas Construction Companies
  • Overseas Infrastructure Operators
  • International Cooperation Organizations
Products
  • Technology Export Support
  • On-Site Construction Support
  • Training and Technical Education

Competitive Advantage

Strengths

  • High technological capabilities in foundation civil works
  • Provision of diverse chemical grouting methods
  • Stable relationships with major clients
  • Abundant construction track record and experience
  • Solid financial base
  • Advanced construction management system
  • Continuous investment in technology development
  • Thorough safety measures and environmental considerations
  • Comprehensive employee training system
  • Diversified service deployment
  • Rapid customer response capabilities
  • Reliability from Tokyo Stock Exchange Prime Market listing
  • Synergy creation through consolidated management
  • Sustainable construction technologies
  • Stable materials supply system

Competitive Advantages

  • Pioneering development and practical application of Free Frame method ahead of competitors
  • High market share in chemical grouting technology specialized for slope protection
  • Construction track record in numerous large-scale public projects
  • Integrated supply system for machinery and materials through specialized subsidiaries
  • R&D organization with industry-leading ground improvement technologies
  • Transparency and credibility from Tokyo Stock Exchange Prime listing
  • Stable order base and long-term customer relationships
  • Site know-how and abundant experience rooted in the region
  • Environmentally regulated compatible products and sustainable construction proposal capabilities
  • Provision of advanced ICT systems for construction supervision
  • Numerous specialized qualifications held by safety and quality personnel
  • Leadership through hosting technical seminars in the industry
  • In-house manufacturing capabilities for diverse materials and machinery
  • Organized disaster response and restoration support system
  • Active participation in government and local government projects

Threats

  • Risk of decreased number of projects due to reduction in public investment
  • Intensified price competition from new entrants
  • Increased compliance costs for stricter environmental regulations
  • Challenges in recruiting and training technicians due to labor shortage
  • Risk of international fluctuations in construction materials prices
  • Risk of business delays and damage from natural disasters
  • Decline in competitiveness due to delayed adoption of new technologies
  • Increased work restrictions from strengthened labor safety standards
  • Slowdown in private investment due to deteriorating economic conditions
  • Political and regulatory risks in overseas business
  • Business succession issues and management risks
  • Decrease in orders due to client management instability

Innovations

2024: Improvement and expanded adoption of Free Frame method

Overview
Improved lightweight steel frame method for slope countermeasures, achieving shortened construction time and cost reduction.
Impact
15% improvement in construction efficiency, contributing to reduced environmental impact

2023: Development of high-performance chemical grouting agent

Overview
Developed chemical grouting agent with enhanced strength and durability over conventional products, improving construction quality.
Impact
20% increase in reinforcement effect, shortened construction time

2022: Introduction of ICT construction management system

Overview
Began operation of system capable of real-time grasp of construction status and safety management at work sites.
Impact
20% reduction in safety accidents, improved management efficiency

2021: Development of environmentally considerate materials

Overview
Practicalized waterproof and repair materials with low environmental impact as sustainable construction materials.
Impact
Strengthened environmental regulation compliance, expanded sales

2020: Renewal of construction safety education program

Overview
Strengthened and enriched training program aimed at improving safety at work sites.
Impact
30% reduction in accident cases, improved employee satisfaction

Sustainability

  • Promotion of environmentally considerate materials development
  • Energy saving and waste reduction at construction sites
  • Disaster restoration support through collaboration with local communities
  • Thorough employee safety and health education
  • Strengthening sustainable resource utilization
  • Conclusion of environmental conservation agreements with local governments
  • Establishment and compliance with green procurement standards
  • Promotion of low-noise and low-emission construction machinery
  • Efforts to improve waste recycling rate
  • Ecosystem protection measures through vegetation engineering
  • Thorough environmental impact assessments
  • Business operations linked to SDGs goals