TOENEC

Basic Information

Stock Code
1946
Industry
Construction
Category Detail
Construction & Civil Engineering
Prefecture
Aichi Prefecture
Establishment Year
October 1944
Listing Year
April 1962
Official Website
https://www.toenec.co.jp/
TSE Information
TSE Information
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Other Companies
West Holdings, Yu-Tech, Nippon Ritec, Shidenko, Chudenko, Kandenko, Kinden, Sumitomo Densetsu, Nippon Densetsu, Kyudenko

Overview

TOENEC is a comprehensive facilities company in the Chubu Electric Power Group, founded in 1944, with strengths primarily in electrical equipment works and telecommunications works, operating as a regionally rooted construction firm.

Current Situation

TOENEC recorded consolidated sales of approximately ¥224.8 billion and consolidated net profit of approximately ¥9.3 billion in FY2020, maintaining a stable financial foundation. Centered on the Chubu Electric Power area, it focuses on electrical equipment works, distribution works, and telecommunications works as mainstays, securing a high market share in the region. It is addressing needs for updating aging equipment and the increase in renewable energy-related works, while pursuing business diversification. In recent years, it has advanced into Southeast Asia for overseas expansion, aiming for growth both domestically and abroad. As a consolidated subsidiary of Chubu Electric Power, it ensures management stability, enhancing technological capabilities and customer-oriented services. It is also emphasizing regional contributions and sustainability initiatives, expanding environmentally considerate equipment works. Efficiency improvements via IoT technology utilization and strengthened safety management systems are underway, with a view toward medium- to long-term growth beyond 2025.

Trivia

Interesting Facts

  • Founded in 1944 as Tokai Electrical Works Co., Ltd.
  • Strength in regional power equipment as a consolidated subsidiary of Chubu Electric Power.
  • Company name derived from initials of TOkai ENergy Engineering and Construction.
  • Underground distribution line business reorganized through business transfer with Sitec.
  • Has multiple subsidiaries in Southeast Asia and is expanding overseas.
  • Mascot character is 'Tsunagarun'.
  • President is Shigeki Takimoto (as of 2020).
  • Major shareholder Chubu Electric Power holds 51.72%.
  • Conducts regionally rooted business expansion through diversified equipment works.
  • Known as one of the strong companies in distribution works in the construction industry.

Hidden Connections

  • As a member of the Chubu Electric Power Group, serves as a key partner for power plant-related equipment works.
  • Contributed to strengthening regional underground distribution works through business transfer with Sitec.
  • Deploys related subsidiaries centered on Southeast Asian markets to advance global strategy.
  • Has built long-term transaction relationships in public and private infrastructure works.
  • Technological capabilities in disaster prevention equipment works highly evaluated in the regional construction industry.
  • Differentiates from competitors through Chubu Electric Group site strength emphasizing regional closeness.
  • Maintenance and inspection business by subsidiary TOENEC Service supports stable revenue.
  • Adaptation to geographical characteristics of the Tokai region is one of its strengths.

Future Outlook

Growth Drivers

  • Increasing demand for updating aging infrastructure
  • Market expansion in renewable energy-related works
  • Rapid proliferation of 5G and next-generation communications networks
  • Stable order base from Chubu Electric Power Group
  • Construction efficiency improvements utilizing DX and IoT technology
  • Steady progress in public works
  • Equipment renewal needs from strengthened environmental and safety regulations
  • Business expansion and local collaboration strengthening in overseas markets

Strategic Goals

  • Establish as No.1 electrical equipment works company in the region
  • Double sales in renewable energy equipment-related business
  • Advanced digitalization of construction sites using IoT and AI
  • 20% productivity improvement through work style reforms
  • Promotion of environmentally considerate equipment works domestically and internationally
  • Secure top share in disaster countermeasures equipment
  • Achieve over 10% sales ratio from overseas markets
  • Continuation of safety zero-accident record
  • Enhancement of employee technical skills and development of next-generation technicians
  • Strengthen coexistence with regional communities and advance sustainability

Business Segments

Power Infrastructure Works

Overview
Design, construction, and maintenance of all electrical equipment forming the foundation of power supply.
Competitiveness
Proven technology and stable supply from the Chubu Electric Power Group
Customers
  • Electric Power Companies
  • Local Governments
  • Public Facilities
Products
  • Substation Works
  • Distribution Line Laying
  • Equipment Maintenance Services

Communications Infrastructure Works

Overview
Specializes in providing high-speed communication network construction and maintenance.
Competitiveness
Extensive communications construction experience and regionally focused services
Customers
  • Telecommunications Carriers
  • Internet Providers
  • Government Agencies
Products
  • Optical Cable Laying
  • Network Construction
  • CATV Equipment Construction

Building Equipment Works

Overview
Equipment works services supporting building comfort and safety.
Competitiveness
One-stop response to diverse equipment works
Customers
  • Condominium Management Associations
  • Commercial Facility Owners
  • Corporations
Products
  • Air Conditioning Equipment Works
  • Water Supply and Drainage Piping Works
  • Disaster Prevention Equipment Installation

Renewable Energy Equipment

Overview
Installation and maintenance of equipment utilizing renewable energy.
Competitiveness
Environmentally focused technology and regional deployment capabilities
Customers
  • Local Governments
  • Business Operators
  • General Housing
Products
  • Solar Power Generation Works
  • Wind Power Generation Equipment
  • Maintenance

Disaster Prevention and Security Equipment

Overview
Design, construction, and aftercare for advanced disaster prevention and monitoring equipment.
Competitiveness
Safety measures incorporating the latest technology
Customers
  • Public Facilities
  • Universities
  • Hotels
  • Factories
Products
  • Fire Alarm Systems
  • Surveillance Cameras
  • Alarm Systems

Environmental Solutions

Overview
Diverse equipment services supporting sustainable environmental development.
Competitiveness
Solutions aligned with environmental regulations
Customers
  • Corporations
  • Local Governments
  • Construction Sites
Products
  • Energy-Saving Technology Introduction
  • Drainage Treatment Equipment
  • Waste Management

Telecommunications Service Operations

Overview
Stable operation of communications infrastructure and troubleshooting.
Competitiveness
Long track record of operations and technical expertise
Customers
  • Telecommunications Carriers
  • Government Agencies
  • Corporations
Products
  • Network Maintenance
  • System Monitoring
  • Technical Support

Plant Equipment Services

Overview
Maintenance management services for plant equipment in factories, etc.
Competitiveness
Precise equipment management capabilities
Customers
  • Manufacturing Industry
  • Energy-Related Companies
Products
  • Machine Equipment Maintenance
  • Piping Equipment Inspection

Public Facility Management

Overview
Supports safety enhancement and maintenance of regional public facilities.
Competitiveness
Regionally rooted detailed operational structure
Customers
  • Local Governments
  • Public Facility Operators
Products
  • Equipment Maintenance Management
  • Renovation Works
  • Monitoring Services

Safety Education and Training Services

Overview
Supports improvement in technicians' safety awareness and skills.
Competitiveness
Experienced instructors and educational programs
Customers
  • Construction Companies
  • Corporations
Products
  • Safety Seminars
  • Technical Training
  • Site Management Guidance

International Business Expansion

Overview
Deploys equipment works in overseas markets such as Southeast Asia.
Competitiveness
Local adaptation capabilities attuned to regional conditions
Customers
  • Overseas Operators
  • Local Governments
  • Partner Companies
Products
  • Equipment Design
  • Construction Management
  • Technical Support

Maintenance and Inspection Services

Overview
Maintenance management services supporting stable equipment operation.
Competitiveness
Rapid response capabilities and technical expertise
Customers
  • Corporations
  • Public Facilities
Products
  • Equipment Inspections
  • Fault Response
  • Periodic Maintenance

Competitive Advantage

Strengths

  • Stable capital base from the Chubu Electric Power Group
  • High customer trust through regional closeness
  • Specialized technology in electrical and communications equipment works
  • Abundant construction track record and know-how
  • Response capabilities across diverse equipment fields
  • Reliable safety management system
  • Growth backed by medium- to long-term equipment renewal demand
  • Strong network and regional collaboration

Competitive Advantages

  • Order superiority from strong ties with Chubu Electric Power
  • One-stop provision of electrical, communications, and equipment works
  • Long-term transaction record with local governments and public facilities
  • Proposal capabilities for energy-saving equipment works incorporating latest technology
  • Revenue base diversification through overseas market expansion
  • Expertise in disaster countermeasures equipment design and construction
  • Stable revenue source from maintenance and upkeep
  • Comprehensive capabilities in equipment and technician development system

Threats

  • Risks from regulatory changes in power and communications industries
  • Intensifying price competition with competitors
  • Challenges in securing technicians due to labor shortages
  • Increased operational costs from strengthened social environmental regulations
  • Construction delays and additional costs from natural disasters
  • Risk of investment restraint due to economic fluctuations

Innovations

2023: Introduction of IoT-Utilizing Remote Equipment Monitoring System

Overview
Realizes efficient equipment management with remote monitoring system using IoT technology.
Impact
15% reduction in maintenance inspection costs, improved early fault detection rate

2022: Expansion of Renewable Energy Equipment Works

Overview
Advances enhancement of solar and wind equipment construction technology and new market development.
Impact
20% year-on-year increase in new orders

2021: Promotion of Digitalization in Safety Management Systems

Overview
Promotes site safety management and risk reduction through introduction of digital technology.
Impact
10% reduction in accident occurrence rate

2020: Establishment of Next-Generation Communications Network Construction Technology

Overview
Focuses on 5G-compatible communications infrastructure construction to enhance technological capabilities.
Impact
Contributes to expansion of orders from telecommunications carriers

Sustainability

  • Increase ratio of renewable energy equipment construction
  • Active introduction of environmentally considerate materials
  • Strengthening of occupational safety and health with zero-accident goals
  • Collaboration with local communities on environmental conservation activities
  • Promotion of CO2 emissions reduction through business efficiency improvements