Nittoc Construction

Basic Information

Stock Code: 1929
Industry: Construction
Category Detail: Construction & Civil Engineering
Prefecture: Tokyo
Establishment Year: December 1947
Listing Year: December 1983
Official Website: https://www.nittoc.co.jp/
TSE Information: TSE Information
Yahoo! Finance: Yahoo! Finance
Other Companies: Sho-Bond Holdings, Daiichi Cutter Kogyo, B.R. Holdings, Tohken Corporation, Yamaura, Sato Watanabe, Sada Kensetsu, Shin Nihon Construction, Nippon Kiso Gijutsu, Tomoe Corporation, Raito, Maezawa Kogyo

Overview

Nittoc Construction is a major construction company founded in 1947, specializing in foundation and slope countermeasures, with advanced civil engineering technologies such as dam foundation works.

Current Situation

Nittoc Construction recorded consolidated sales of approximately ¥66 billion, operating profit of about ¥4.5 billion, and net profit of about ¥3.3 billion for the fiscal year ended March 2022. It conducts business centered on foundation works and slope countermeasures, with strengths in advanced geological surveys and integrated construction. It has numerous track records especially in dam foundation works and maintains superiority over competitors through specialized technologies. In 2009, it withdrew from the building division to concentrate more on civil engineering. As a subsidiary of the Asō Group, it has a stable capital base and is working on the latest technology development and innovations in slope countermeasures. In recent years, it has promoted environmentally friendly construction methods and strengthened safety management, aiming to improve technological capabilities in the civil engineering field and expand the market in the medium to long term. Even after the dissolution of the capital alliance, it continues its business alliance with Fudotetra, ongoing joint technology development, and further strengthening of competitiveness.

Trivia

Interesting Facts

Formerly known as Nihon Tokushu Doboku Kogyo, specialized in foundation works
Headquarters originally located in Sapporo, Hokkaido at founding
Originates from rock mass treatment technology for Uryu No. 1 Dam
Capital alliance with Fudotetra dissolved, but business alliance continues
Stable management base under the Asō Group umbrella
Fully withdrew from building division in 2009 to pivot to civil engineering specialization
Renowned alongside Raito Kogyo for slope countermeasure works
Highly evaluated in the civil engineering industry for foundation technology excellence
Led by long-term President Yasuo Wada
Consolidated employees number approx. 1,054, stable organizational scale

Hidden Connections

Achieved management stabilization through series of stock tender offers by Asō Group
Continuing joint development of construction technologies even after capital dissolution with Fudotetra
Implemented many collaborative projects in local government infrastructure development
Expanding into environmental conservation business through related subsidiary Midori Kogyo Co., Ltd.
Contributing to regional safety improvement through urban slope countermeasures
One of the few specialized companies in the domestic dam foundation construction market
Historical background of originating in Sapporo and relocating to Tokyo
Deepened specialization in civil engineering technology after withdrawing from building division

Future Outlook

Growth Drivers

Increase in public infrastructure development budgets
Expansion of repair demand for aging infrastructure
Market expansion for advanced slope countermeasure technologies
Growing demand for environmentally considerate works
Increased orders due to strengthened safety and seismic standards
Expansion of disaster prevention investments by local governments
Improved construction efficiency through technological innovation
DX promotion in the construction industry
Importance of human resource development and technology succession
Management support from Asō Group

Strategic Goals

Maintain and expand domestic top position in special civil engineering technology
Environmentally low-impact construction and acquisition of private environmental certifications
Doubling sales in repair and seismic retrofitting fields
Promotion of construction technology innovation using AI and IoT
Advancement of CSR focused on coexistence with local communities
Establishment of stable revenue base in both public and private sectors
Sophistication of engineer training programs
Improvement in sustainable resource use and construction safety
Building a system for quick response to diversified needs
Active investment in new technologies and new businesses

Business Segments

Public Infrastructure Foundation Works

Overview

Specializes in undertaking civil engineering works that form the foundation of public infrastructure.

Competitiveness

Abundant track record in dam foundation construction and advanced geological technology

Customers

Ministry of Land, Infrastructure, Transport and Tourism
Local Governments
Water Resources Management Agency
Japan Expressway Holding and Debt Repayment Agency

Products

Dam Foundation Works
Bridge Foundation Works
Ground Improvement
Slope Stabilization Works

Private Building Safety Base Construction

Overview

Handles ground and foundation works for ensuring the safety of private buildings.

Competitiveness

Integrated system of geological surveys and construction

Customers

General Contractors
Real Estate Developers
Condominium Management Companies

Products

Ground Surveys
Foundation Reinforcement Works
Seismic Retrofitting

Slope Countermeasure Works

Overview

Provides countermeasure works to mitigate slope collapse risks.

Competitiveness

Stable construction using patented technologies

Customers

Road Administrators
Local Governments
Construction Companies

Products

Rockfall Prevention Nets
Slope Reinforcement
Anchor Installation

Environmental Improvement and Sabo Business

Overview

Environmentally considerate infrastructure maintenance and disaster prevention works.

Competitiveness

Construction technology that reduces impact on the natural environment

Customers

Forestry Cooperatives
Local Governments
Environmental Protection Groups

Products

Sabo Dam Construction
Forest Disaster Countermeasures
Environmental Conservation Works

Repair and Maintenance Business

Overview

Provides maintenance management of existing structures and construction to improve seismic performance.

Competitiveness

Specialized durable repair technology

Customers

Construction Companies
Public Facilities
Management Associations

Products

Concrete Repair
Seismic Retrofitting
Long-Life Methods

Survey and Analysis Services

Overview

Geological surveys and construction plan design services necessary for civil engineering and architecture.

Competitiveness

Detailed analysis by experienced engineers

Customers

General Contractors
Design Offices
Public Institutions

Products

Ground Surveys
Rock Analysis
Construction Plan Design

Competitive Advantage

Strengths

Advanced foundation works technology
Integrated system of geological surveys and construction
Abundant track record in dam foundations
Expertise in slope countermeasure works
Stable capital backing (Asō Group)
Long years of industry experience and trust
Technology enhancement through specialization
Promotion of latest technology adoption
Extensive public and private customer network
High safety management standards

Competitive Advantages

Domestic top-class construction track record specialized in dam foundations
In-house integrated provision of ground surveys and foundation construction
Possession of specialized know-how in slope stabilization technology
Stable management base through capital ties with Asō Group
Strong trust and order track record in public infrastructure projects
Advanced technology development capabilities by engineers
Ongoing business alliance with Fudotetra for technology exchange
Early adoption of environmentally considerate construction technology
Provision of long-term seismic retrofitting technology
Flexible organizational structure to meet diverse customer needs

Threats

Instability in orders due to fluctuations in public works budgets
Competitors' technological innovations and price competition
Fluctuations in sudden construction demand due to natural disasters
Constraints on construction systems due to labor shortages
Cost increases due to stricter environmental regulations
Profit pressure from rising material prices
Difficulties in securing and training engineers
Intensifying inter-regional competition
Stricter legal compliance and safety standards
Intensified competition from overseas companies' entry

Innovations

2023: Development of New Anchor Method for Slope Countermeasures

Overview: Developed new anchor technology that improves durability and workability over conventional methods.
Impact: 15% improvement in efficiency of slope stabilization works

2022: Introduction of AI-Utilizing Geological Survey System

Overview: Achieved improved accuracy and shortened time for geological surveys through AI analysis.
Impact: 20% reduction in survey period, improved accuracy

2024: Adoption of Environmentally Friendly Soil Improvement Materials

Overview: Began using new materials aimed at reducing environmental impact in ground improvement.
Impact: 10% reduction in annual CO2 emissions

2021: Enhanced Safety through Introduction of Construction Robots

Overview: Strengthened worker safety by utilizing construction robots in hazardous areas.
Impact: 15% reduction in industrial accident rate

2020: Construction Quality Management via Cloud System

Overview: Achieved quality improvement and efficiency through real-time management of construction data.
Impact: 10% reduction in construction error rate

Sustainability

Active use of low-environmental-impact materials
Improvement in waste recycling rate
Strict enforcement of safe construction standards
Participation in local environmental protection activities
Improvement in working environment and work-style reforms
Introduction of CO2 emission reduction technology at construction sites
Promotion of sustainable resource utilization
Implementation of special measures for water resource conservation
Development of energy-saving construction processes
Strengthened compliance training for employees