Tokyu Construction : Presentation material, 1H Financial Results Briefing for the fiscal year ended March 31, 2022
November 29, 2021 at 04:20 am
Share
FY03/2022
The First Half
Financial Results Briefing
November 18, 2021
FY03/2022
Revision to the Full-Year Forecast
The First Half FY03/2022 Financial Results Briefing
Factors Contributing to Revisions to Full-year Forecast
"Notice Concerning Revisions to Full-year Forecast" (November 8, 2021)
Recorded estimated losses related to "Defective Ends of Piles for an Ongoing Construction Project" (announced on
July 26, 2021)
Recorded estimated costs of removing temporary structures for civil engineering projects that were delivered in prior years
Estimated an increase in repair costs for construction defects in some building construction projects that were delivered in prior years
"Defective Ends of Piles for an Ongoing Construction Project (follow-up report)" (November 18, 2021)
The internal examination committee with third party member examined the "discrepancy between the records of piling work and the investigation results," which was discovered in the process of investigating the cause of the defective ends of piles as announced on July 26, 2021. As a result, it was found that some project site workers had falsified the record table for concrete placing, etc.
It is absolutely unacceptable that we, a construction company whose business is built on the trust of customers, let such an issue happen. We recognize and seriously and sincerely accept that there was a problem with the quality control system as part of an organization.
Copyright(C) Tokyu Construction. All rights reserved.
[Prevention of recurrence]
Strengthen the quality control system at construction sites
Improve the system for the head office and branch offices to support project sites
Set up an expert committee and introduce other measures for specific projects
Reinforce training for engineers and technicians on core operations including safety, quality, and process control
Ensure thorough compliance education
Provide compliance education for all officers and employees
2
Impact on Earnings
(Millions of yen)
FY03/2022 Forecast
Difference compared
【Consolidated】
Revised(Nov 8)
Previous(May 12)
to previous
Forecast
Ratio
Forecast
Ratio
Forecast
pt
Net Sales
267,000
285,000
(18,000)
Operating
(3,600)
(1.3%)
7,000
2.5%
(10,600)
(3.8pt)
Income
【Non-
Forecast
Ratio
Forecast
Ratio
Forecast
Pt
Consolidated】
Net Sales
250,000
267,000
(17,000)
Civil
64,200
69,800
(5,600)
engineering
Building
184,100
195,500
(11,400)
construction
Real estate
1,700
1,700
0
Gross profit
11,300
4.5%
21,600
8.1%
(10,300)
(3.6pt)
Civil
(1,400)
(2.2%)
6,900
9.9%
(8,300) (12.1pt)
engineering
Building
11,900
6.5%
13,900
7.1%
(2,000)
(0.6pt)
construction
Real estate
800
47.1%
800
47.1%
0
0.0pt
Factor (1)
Factor (2)
Changes resulting
from individual
Other changes
factors
Forecast
pt
Forecast
pt
0
(18,000)
(10,250)
(3.8pt)
(350)
(0.0pt)
Forecast
pt
Forecast
pt
0
(17,000)
0
(5,600)
0
(11,400)
0
0
(10,250)
(3.6pt)
(50)
(0.0pt)
(6,750)
(9.8Pt)
(1,550)
(2.3pt)
(3,500)
(1.1pt)
1,500
0.5pt
0
0.0pt
0
0.0pt
If factor (1) were excluded
Forecast pt
250,000
64,200
184,100
1,700
21,550 8.6%
5,350 8.3%
15,400 8.4%
800 47.1%
Factor (1)
Changes
resulting from
individual factors
Factor (2)
Other changes
(Impact
excluding the above factors)
Recorded estimated losses related to the "defective ends of piles" disclosed on July 26, 2021
Recorded estimated costs of removing temporary structures for civil engineering projects that were delivered in prior years
Estimated an increase in repair costs for construction defects in some building construction projects that were delivered in prior years
Net sales impacted by lower completed construction sales due to delays in order receipt and the progress of some construction projects
Decline in gross profit of civil engineering due to a decrease in completed construction sales, lower profit margin of railway civil engineering, and the impact of overseas construction
Increase in gross profit of building construction due to the reduction of construction costs through the ingenuity of construction management, additional orders obtained, etc.
Copyright(C) Tokyu Construction. All rights reserved.
3
Dividend Forecast
Based on the policy of aiming to achieve a dividend on equity ratio (DOE) of 4.0% or more, we will pay dividends steadily and consistently in a manner not easily affected by short-term profit volatility
Dividend per share(yen)
40
31
30
30
25
26
Year-end
20
(forecast)
10
Interim
20
FY03/16
FY03/17
FY03/18
FY03/19
FY03/20
FY03/21
FY/03/22
(Forecast)
Treasury stock acquisition
Total number of shares of treasury stock for FY3/2021: 1,965,100 shares
(total value of acquisition: 999,976,175 yen)
Copyright(C) Tokyu Construction. All rights reserved.
4
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
Original Link
Original Document
Permalink
Disclaimer
Tokyu Construction Co Ltd published this content on 29 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 November 2021 04:19:02 UTC.
Tokyu Construction Co Ltd is a Japan-based company mainly engaged in the construction business. The Company operates through three business segments. The Construction (building) segment is engaged in the construction of offices, commercial facilities, educational facilities, cultural and social facilities, sports facilities, government office buildings, research institutes, training facilities, housing, medical and welfare facilities, logistics facilities. The Construction (civil engineering) segment is engaged in the construction of railways, dams, environmental sanitation facilities and roads. The Real Estate segment is engaged in the sales and leasing of real estate properties. It also engages in sales of vegetables, and rehabilitation work through its subsidiaries. It is also engaged in the development of artificial intelligence/Internet of Things (AI/IoT) platform that protects and manages photovoltaic power generation panels.