Yondenko Corporation

Basic Information

Stock Code
1939
Industry
Construction
Category Detail
Construction & Civil Engineering
Prefecture
Kagawa Prefecture
Establishment Year
May 1963
Listing Year
November 1973
Official Website
http://www.yondenko.co.jp/
TSE Information
TSE Information
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Other Companies
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Overview

Yondenko Corporation is a comprehensive equipment contractor of the Shikoku Electric Power Group, founded in 1963, with strengths in regional focus and diversified operations centered on electrical and telecommunications construction.

Current Situation

Yondenko Corporation recorded consolidated sales of 82.7 billion yen and operating profit of 3.4 billion yen for the fiscal year ended March 2020, with sales related to Shikoku Electric Power accounting for less than 50%. It mainly operates electrical equipment and telecommunications construction in the four prefectures of Shikoku, while actively developing new markets such as the Tokyo metropolitan area. In terms of technology, it possesses high capabilities in electrical and distribution equipment installation, and has entered the renewable energy sector including mega-solar projects. In 2024, it delivered tablet devices for the GIGA School Initiative, demonstrating strengthened quality control and investigation systems. As a company with an Audit and Supervisory Committee, Yondenko promotes highly transparent management and aims to contribute to sustainable regional societies. Differentiation from competitors includes a solid customer base and stable orders through close ties with Shikoku Electric Power. Moving forward, its growth strategy involves market expansion including the Tokyo area, reinforcement in renewable energy, and investments in technological innovation. The group has approximately 2,400 employees, maintaining a stable workforce.

Trivia

Interesting Facts

  • Formed by the merger of electrical construction companies from the four Shikoku prefectures.
  • Non-Shikoku Electric Power related sales account for more than half.
  • Has a track record of delivering large quantities of tablets for the GIGA School Initiative.
  • Investigation revealed high-temperature storage as the main cause of device failures.
  • Possesses a stable sales base as a Shikoku Electric Power affiliate.

Hidden Connections

  • Stable project supply due to being a major shareholder of Shikoku Electric Power.
  • Technical collaboration exists through past survey requests from OKI Electric Industry Group.
  • Closely collaborates with local public works, contributing to the regional economy.
  • Builds close relationships with prefectural education committees through GIGA School Initiative.

Future Outlook

Growth Drivers

  • Expansion of business in new markets such as the Tokyo metropolitan area
  • Increasing demand for renewable energy business
  • Growing infrastructure demand related to educational ICT
  • Stable order securing through collaboration with Shikoku Electric Power
  • Enhanced competitiveness through technology strengthening and quality management improvement

Strategic Goals

  • Achieve sales of ¥100 billion
  • Expand renewable energy business ratio to over 20%
  • Strengthen business base in Tokyo metropolitan area and major cities nationwide
  • Improve construction efficiency and quality innovation through DX promotion
  • Sustainable contributions to regional society and reduction of environmental impact

Business Segments

Power Equipment Construction Segment

Overview
Segment handling design, construction, and maintenance of power infrastructure.
Competitiveness
Stable order network through collaboration with Shikoku Electric Power
Customers
  • Electric Power Companies
  • Public Entities
  • Factories
  • Construction Companies
  • Local Governments
Products
  • Distribution Equipment Construction
  • Instrumentation Works
  • Substation Installation Construction
  • Maintenance Services

Communications Infrastructure Construction Segment

Overview
Handles communications infrastructure development and network environment construction.
Competitiveness
Specialized technology capable of handling diverse communications works
Customers
  • Telecommunications Carriers
  • ISPs
  • Data Centers
  • Local Governments
Products
  • Fiber Optic Line Laying
  • Communications Network Construction
  • CATV Installation Works
  • Security System Installation

Renewable Energy Business

Overview
Deploys environmentally friendly equipment centered on mega-solar projects.
Competitiveness
Expertise in regional energy management
Customers
  • Solar Power Operators
  • Local Governments
  • Corporations
Products
  • Mega-Solar Installation
  • Energy Management Systems
  • Maintenance and Inspection Services

Facility Equipment Construction Segment

Overview
Designs and constructs environmental equipment for buildings.
Competitiveness
Total solution provision capabilities
Customers
  • Construction Companies
  • Hospitals
  • Schools
  • Commercial Facilities
Products
  • Air Conditioning Equipment Works
  • Water Supply and Drainage Equipment Works
  • Lighting Works
  • Equipment Maintenance

Information Systems Services

Overview
Provides installation of ICT devices and system operation support.
Competitiveness
Track record in GIGA School Initiative
Customers
  • Corporations
  • Local Public Entities
  • Schools
Products
  • IT Infrastructure Construction
  • Educational Tablet Introduction Support
  • System Maintenance Management

Competitive Advantage

Strengths

  • Strong collaboration system with Shikoku Electric Power
  • High technological capabilities in electrical equipment construction
  • Regional sales strength and brand power
  • Response capabilities in renewable energy business
  • Service expansion across diverse construction fields

Competitive Advantages

  • Overwhelming share and trust in Shikoku Electric Power area
  • System to undertake electrical and communications works in one package
  • Stable transaction relationships with government offices and major operators
  • Large-scale order track record in GIGA School Initiative
  • Services tailored to local climate and customer needs

Threats

  • Intense price competition with competitors
  • Impact of changes in supply-demand structure due to power deregulation
  • Difficulties in securing human resources due to labor shortages
  • Risks of construction delays and equipment damage from natural disasters
  • Increased costs for responding to stricter regulations and environmental standards

Innovations

2024: Tablet Delivery for GIGA School Initiative

Overview
Delivered 16,500 tablet devices to Tokushima Prefecture public high schools, expanding educational ICT support.
Impact
Promotes significant improvement in regional educational ICT environment

2023: Expansion of Renewable Energy Equipment

Overview
Advanced expansion of mega-solar construction business and introduction of energy management technology.
Impact
Strengthens environmental response and profitability

2022: Strengthening of Quality Investigation System

Overview
Collaborated with third-party organizations to investigate causes of GIGA School Initiative device failures and improve quality assurance.
Impact
Improves reliability and increases customer satisfaction

Sustainability

  • Promotion of renewable energy utilization
  • Introduction of energy-saving construction techniques
  • Participation in environmental education activities for local communities
  • Thorough safety and health management
  • Local job creation and human resource development