Hokuriku Electric Construction
Basic Information
- Stock Code
- 1930
- Industry
- Construction Industry
- Category Detail
- Construction & Civil Engineering
- Prefecture
- Toyama Prefecture
- Establishment Year
- October 1944
- Listing Year
- November 1986
- Official Website
- https://www.rikudenko.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- West Holdings, Yurtec, Shidenko, Chudenko, Kandenko, Kinden, Toenec, Sumitomo Densetsu, Nihon Densetsu Kogyo, Kyudenko, Kondo
Overview
Hokuriku Electric Construction is a comprehensive facilities company of the Hokuriku Electric Power Group, founded in 1944. It contributes to the region through electrical equipment construction, air conditioning and piping works, and telecommunications construction as a long-established industry leader.
Current Situation
Hokuriku Electric Construction recorded consolidated sales of approximately ¥49.9 billion and operating profit of about ¥4.7 billion in the fiscal year ended March 2020, maintaining a stable business base. As part of the Hokuriku Electric Power Group, it provides power-related construction and air conditioning works centered in Toyama Prefecture across the three Hokuriku prefectures, with strengths in regional infrastructure development. Its core electrical equipment construction has differentiated itself from competitors, and it aims to capture new revenue by strengthening PFI projects. It also emphasizes sustainability through the introduction of labor-saving equipment and efficiency measures to reduce environmental impact. Human resource development and safety management are thoroughly implemented to enhance technical capabilities. Moving forward, it will focus on market expansion beyond Hokuriku and DX promotion to achieve medium- to long-term growth. Amid intensifying competition, it leverages regional proximity and advanced technology to drive revenue expansion.
Trivia
Interesting Facts
- Long-established facilities company founded shortly after the establishment of Hokuriku Electric Power Group
- Has built long-term trust centered in local Toyama Prefecture
- Early domestic adopter of GPS technology for transmission line inspections
- Has various specialized subsidiary companies
- Actively supports local sports teams as a sponsor
Hidden Connections
- Achieved business stability through capital and business alliance with Hokuriku Electric Power
- Strong partnerships with local governments through PFI projects
- Close cooperative relationships with local construction companies and telecom carriers
- Collaborations with mid-sized equipment-related companies possessing proprietary construction technologies
Future Outlook
Growth Drivers
- Increasing demand for local infrastructure renewal and renovation
- Construction efficiency and cost reductions through DX promotion
- Revenue diversification through PFI business expansion
- Demand for new technologies amid stricter energy-saving and environmental regulations
- Stable growth in regional construction demand
Strategic Goals
- Expand PFI business sales ratio to over 30%
- Improve construction efficiency by 50% through digital technology utilization
- Become a top runner in energy-saving and environmentally considerate technologies
- Strengthen business expansion beyond the Hokuriku region
- Enhance employee satisfaction and strengthen talent acquisition and development
Business Segments
Equipment Construction for Electric Power Companies
- Overview
- Provides integrated transmission and distribution infrastructure equipment works for regional power operators.
- Competitiveness
- Stable order base from Hokuriku Electric Power Group
- Customers
-
- Hokuriku Electric Power
- Local Government Power Departments
- Public Project Entities
- Products
-
- Distribution Line Installation Works
- Transmission and Distribution Equipment Maintenance
- Power Plant Equipment Repairs
Private Building Air Conditioning Equipment Works
- Overview
- Mainstay in air conditioning equipment construction for commercial and office buildings.
- Competitiveness
- High-quality construction and regionally focused services
- Customers
-
- Commercial Building Owners
- Facility Management Companies
- Construction Companies
- Products
-
- Air Conditioning Piping Works
- Refrigerant Piping Installation
- Energy-Saving Air Conditioning System Construction
Communications Infrastructure Works
- Overview
- Provides integrated services from design to construction and maintenance of telecommunications networks.
- Competitiveness
- Extensive track record in communications equipment construction
- Customers
-
- Cable Television Operators
- Telecom Carriers
- IT Companies
- Products
-
- Fiber Optic Cable Installation
- LAN/Network Design and Construction
- CATV Equipment Works
Construction Labor-Saving and Automation Systems
- Overview
- Develops construction efficiency systems utilizing labor-saving equipment and ICT technologies.
- Competitiveness
- Proprietary GPS measurement technology
- Customers
-
- Equipment Construction Companies
- Power-Related Companies
- Local Governments
- Products
-
- GPS Measurement Devices
- Construction Management Systems
- Remote Monitoring Solutions
PFI Projects
- Overview
- Aims for regional contributions and revenue growth through PFI projects for public facilities.
- Competitiveness
- Regional expertise and diverse construction capabilities
- Customers
-
- Local Governments
- Public Project Entities
- Products
-
- Infrastructure Development Contracts
- Operation and Management Services
Competitive Advantage
Strengths
- Stable business foundation from Hokuriku Electric Power Group
- High-quality construction capabilities rooted in the region
- Versatility in electrical, air conditioning, and communications works
- Efficiency gains from proprietary labor-saving technologies
- Extensive PFI project experience and regional partnerships
Competitive Advantages
- Stable customer base from regionally dominant equipment construction business
- Quality assurance through advanced technical expertise and construction management
- Cost reductions via labor-saving equipment and digital technologies
- Credit and financial strength as part of Hokuriku Electric Power Group
- Broad order portfolio and ongoing diversification strategy
Threats
- Shrinking power equipment construction market and intensifying competition
- Order risks from fluctuations in public project budgets
- Delays in responding to rapid technological innovations
- Quality degradation risks from labor shortages and declining skilled workers
- Risk of increased infrastructure damage from natural disasters
Innovations
2024: Introduction of GPS-Based Wire Sag Measurement Technology
- Overview
- Developed and introduced GPS measurement equipment for non-destructive measurement of transmission line sag.
- Impact
- Reduced work time by 40% through maintenance efficiency improvements
2023: Active Deployment of Labor-Saving Construction Equipment
- Overview
- Adopted various automation and labor-reducing equipment to lighten burdens at construction sites and promote efficiency.
- Impact
- Achieved personnel cost reductions and improved safety
2022: DX Promotion for Process Management System Renewal
- Overview
- Began effective operation of construction process management systems using the latest digital technologies.
- Impact
- Improved project management efficiency by 25%
Sustainability
- Introduction and promotion of energy-saving construction technologies
- Business expansion to improve waste recycling rates
- Contributions to local natural environment preservation activities
- Thorough employee safety training and labor environment improvements
- Support for enhancing disaster resilience of power infrastructure