EXEO Group

Basic Information

Stock Code
1951
Industry
Construction
Category Detail
Construction & Civil Engineering
Prefecture
Tokyo
Establishment Year
May 1954
Listing Year
February 1963
Official Website
https://www.exeo.co.jp/
TSE Information
TSE Information
Yahoo! Finance
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Other Companies
Mirait One, JESCO Holdings, Hikari Holdings, Comsys HD, Syncrea, Kanda Tsushinki, Sumitomo Seika, Oki Electric

Overview

EXEO Group is a major construction company founded in 1954, centered on telecommunications infrastructure, boasting extensive construction track record and a broad business scope, holding a top-class position in the industry.

Current Situation

EXEO Group recorded consolidated sales of approximately 627.6 billion yen, ordinary income of approximately 33.8 billion yen, and net income of approximately 22.2 billion yen for the fiscal year ended March 2023, maintaining a stable revenue base. In its core telecommunications infrastructure construction business, it has established a strong construction system for the NTT Group and KDDI, boasting a top-class scale in Japan. It is diversifying its business through IT solutions and entry into environmental businesses, enhancing its capabilities in next-generation telecommunications networks and environmental response. It is also actively expanding overseas, mainly in Southeast Asia, with subsidiaries to strengthen international competitiveness. Diversity initiatives such as promoting women's empowerment are well-developed, fulfilling corporate social responsibility. Going forward, it will accelerate its medium- to long-term strategy toward 2030, with business expansion through M&A, DX promotion, and sustainable technological innovation as pillars of growth.

Trivia

Interesting Facts

  • One of the big three in the domestic telecommunications construction industry
  • Founded in 1954 with a long track record in telecommunications infrastructure construction
  • Multiple employees awarded gold medals at WorldSkills competitions
  • Selected as 'Nadeshiko Brand' for promoting women's activities
  • Wide business scope from telecommunications civil engineering to environmental equipment
  • Overseas subsidiaries mainly in Southeast Asia
  • Early adoption of proprietary construction technologies such as shield tunneling
  • Rapid expansion of group subsidiaries through large-scale M&A
  • Holds the largest scale of domestic telecommunications base station construction track record
  • Promotes diversity management with PRIDE Index Silver certification
  • Strengthened cyberattack countermeasures through ICT-ISAC membership
  • Received pioneering evaluation for promoting telework introduction
  • Participates in agrivoltaic solar power generation 'Solar Share'
  • Nationwide network of branches and sales offices for full national coverage
  • Strong investment stance in introducing latest technologies

Hidden Connections

  • Stable order securing for telecommunications equipment construction through deep collaboration with NTT Group
  • Integrates multiple subsidiaries to provide one-stop services from construction to IT
  • Leads the industry as an advanced company in LGBTQ support through PRIDE Index certification
  • Has produced multiple WorldSkills gold medalist employees, backing high technological capabilities
  • Established subsidiaries in Singapore and Thailand overseas to expand business in Southeast Asia
  • Accelerating environmental management promotion using Mizuho Eco Finance financing
  • Actively deploying original IT tools such as EXOffice for in-house DX promotion
  • Possesses diverse subsidiaries such as Yamato Denki Industrial and C-Cube, holding wide-ranging technologies

Future Outlook

Growth Drivers

  • Increasing demand for telecommunications infrastructure for 5G and 6G
  • Expansion of IT solutions through DX promotion
  • Market expansion in sustainable environmental business
  • Business scope expansion through M&A domestically and internationally
  • Organizational strengthening through diversity management
  • Increasing demand for telecommunications and environmental infrastructure in overseas markets
  • Strengthening highly skilled worker nurturing and talent acquisition
  • Increasing demand for security services
  • Increasing infrastructure investments by local governments
  • Growth in new businesses such as agrivoltaic solar power generation

Strategic Goals

  • Maintain top domestic share in telecommunications infrastructure business
  • Expand IT and environment sectors to over 30% of sales composition
  • Further expand construction networks domestically and internationally
  • Strengthen diversity including women's empowerment
  • Establish new revenue in renewable energy business
  • Provide high-value-added services and operational efficiency through DX
  • Expand talent development programs such as WorldSkills
  • Strengthen cybersecurity through ICT-ISAC activities
  • Improve ESG evaluation through environmentally considerate businesses
  • Raise overseas business sales ratio to over 20%

Business Segments

Telecommunications Infrastructure Construction Business

Overview
Provides total solutions for telecommunications equipment, supporting stable communication environments.
Competitiveness
Nationwide construction network and extensive track record
Customers
  • NTT Group
  • KDDI
  • Regional telecommunications operators
  • Public institutions
  • Construction companies
Products
  • Optical fiber design and construction
  • Base station construction
  • IP network construction
  • Telecommunications civil engineering construction
  • Maintenance management services

IT and System Solutions

Overview
Supports a wide range from IT infrastructure construction to operations and maintenance.
Competitiveness
IT technological strength with expertise in telecommunications
Customers
  • Telecommunications carriers
  • Government offices
  • Large corporations
  • System integrators
  • SIers
Products
  • System design and construction
  • Software development
  • Data center operations
  • ICT consulting
  • Cloud services

Environment and Energy Business

Overview
Provides sustainable solutions by integrating environmental technology with IT and civil engineering technology.
Competitiveness
Comprehensive environmental solutions through technology integration
Customers
  • Local governments
  • Environmental companies
  • Electric power companies
  • Renewable energy operators
  • Construction companies
Products
  • Water treatment equipment construction
  • Wind and solar power generation equipment design
  • Biomass boiler installation
  • Environmental plant design
  • Energy-saving consulting

Construction Materials and Equipment Sales and Services

Overview
Provides peripheral services and products related to construction to support customer business operations.
Competitiveness
Synergy effects from diverse industry deployments
Customers
  • Construction contractors
  • Private companies
  • Logistics companies
  • Security companies
  • Insurance agencies
Products
  • Building materials sales
  • Electrical equipment sales
  • Insurance agency business
  • Logistics services
  • Security services

Competitive Advantage

Strengths

  • Top-class scale in domestic telecommunications construction
  • Nationwide construction network
  • Business diversification through diverse subsidiaries
  • Long track record and solid customer base
  • Integration capabilities in IT and environment sectors
  • High technological capabilities and quality control systems
  • Strengthening construction capabilities through active M&A
  • Certified company for promoting women's empowerment
  • International response through overseas bases
  • Solid financial base
  • Abundant technological development and new service launches
  • One-stop provision through diverse services

Competitive Advantages

  • Established strong transaction relationships with NTT and KDDI to secure stable revenue sources
  • Continuous expansion of construction capabilities and service scope through M&A
  • Differentiation through synergy of telecommunications construction and IT/environment businesses
  • Rapid response capabilities through extensive nationwide sales and construction bases
  • Covers wide customer needs through diverse subsidiary group
  • Maintains advanced construction technologies through long-term R&D investment
  • Improved social evaluation through women's empowerment initiatives
  • Business expansion in international fields through overseas bases
  • Strength of accumulated construction know-how and safety management systems
  • Specialization in engineering solutions
  • Sales channel expansion and proposal capabilities across diverse industries
  • Strengthened initiatives in information security and DX promotion

Threats

  • Risk of demand fluctuations due to reduced capital investment in telecommunications industry
  • Cost increase pressure from rising construction material prices
  • Risk of declining construction capabilities due to labor shortages and aging skilled workers
  • Intense price competition with competitors
  • Business adaptation burden from strengthened environmental regulations
  • Political and economic risks in overseas business
  • Need to respond to rapid changes in IT technology
  • Delays in construction and facility damage due to natural disasters
  • Impacts from changes in laws and permits
  • Increasing cybersecurity risks
  • Concerns over productivity decline due to changes in work environment
  • Impacts from new entrants or alternative technologies

Innovations

2023: Support for Indoor Telecommunications Infrastructure Sharing in Indonesia

Overview
Expanded indoor telecommunications infrastructure sharing business in Indonesia in collaboration with JICT.
Impact
Strengthening business base for telecommunications infrastructure in overseas markets

2023: Launch of Portable Smart Power Source 'Survival Power Source'

Overview
Developed and sold compact, high-efficiency power supply devices for disaster countermeasures.
Impact
Contributes to power securing during disasters

2022: Group Reorganization to Strengthen System Solutions

Overview
Promoted efficiency and expansion of IT business through subsidiary integration and name changes.
Impact
Business efficiency improvement and enhanced competitiveness

2021: LGBTQ Support Activities and Diversity Promotion

Overview
Continuously certified in PRIDE Index, strengthening diversity management.
Impact
Improved corporate image and increased employee satisfaction

2020: Obtained Highest Rank Certification under Women's Empowerment Promotion Act

Overview
Successfully promoted women's empowerment with top 'Eruboshi' certification.
Impact
Securing diverse talent and organizational revitalization

2023: Expansion of Renewable Energy Business

Overview
Participated in solar sharing business to promote agrivoltaic solar power generation.
Impact
Strengthening environmental investments and revenue diversification

2023: Introduction of New Technologies through Capital and Business Alliances

Overview
Strengthened telecommunications technology through alliances with PicoCELA and Fixpoints.
Impact
Improved technological competitiveness and business expansion

2021: Support for WorldSkills International Gold Medalists

Overview
Contributed to nurturing highly skilled workers to improve construction quality.
Impact
Maintaining technological capabilities and enhancing corporate reliability

2022: Introduction of Mizuho Eco Finance

Overview
Promoted environmental response investments through financing agreement with Mizuho Bank.
Impact
Strengthening funding base for sustainability management

2023: Launch of New Services for DX Promotion

Overview
Deployed employee management tools such as 'EXOffice' to improve operational efficiency.
Impact
Workstyle reform and operational cost reduction

Sustainability

  • Obtained highest rank certification under Women's Empowerment Promotion Act
  • Continuous Silver certification in PRIDE Index for LGBTQ support activities
  • Active entry and promotion in renewable energy business
  • Technology succession through nurturing WorldSkills gold medalists
  • Strengthened cybersecurity through ICT-ISAC membership
  • Promotion of eco-finance through environmental financing agreements
  • Promotion of workstyle reform through Telework Pioneer 100 certification
  • Environmental conservation through waste and water treatment plant design and construction
  • Strengthened diversity through diversity promotion activities
  • Enhanced R&D in environment and social infrastructure technologies
  • CO2 reduction through improved in-house energy efficiency
  • Sustainable contributions to local communities