[Company analysis] Taisei Corporation (大成建設)

「Taisei Corporation (大成建設)」is a major Japanese general construction company. This company was included Japan's big five general contractors(「Obayashi Corporation(大林組)」, 「Kajima Corporation (鹿島建設)」, 「Taisei Corporation (大成建設)」, 「Shimizu Corporation(清水建設)」,「Takenaka Corporation (竹中工務店)」). This conpany was purchased by its employees in past, so that the atmosphere of "employee company" is strong, and the authority given to the Field managers is relatively strong compared with other Japanese construction company. The number of consolidated employees is 8,501.

 

1. Company Profile

2. Summary and Features

3. Major Business

4. Financial Information

 

 

 

1. Company Profile

 

※Unit is JPY million, as of 2019

Company name	Taisei Corporation
Company name (Japanese)	大成建設
Date of establishment	Friday, December 28, 1917
Headquarters location	〒163-0606 東京都新宿区西新宿一丁目25番1号
Capital	112,448
Consolidated sales	1,650,877
Consolidated operating profit	153,323
Consolidated total assets	1,846,176
Consolidated capital	722,390
Capital adequacy ratio	39.1%
Consolidated number of employees	13,977

 

 

 

2. Summary and Features

 
The construction department of the「Okura Zaibatsu(大倉財閥)」 which was established in 1873, is the predecessor of the「Taisei Corporation」. After World War II, 「Okura Zaibatsu」was dismantled by GHQ. During that time, its employees bought the company and elected the president by voting. So, from this point on,「Taisei Construction」 excluded the founding family in its management.

This company specializes in large-scale construction and civil engineering works for skyscrapers, dams, bridges, tunnels, and subways. At the same time, 「Taisei Corporation」has been started the housing business for general consumers, by presenting highly functional housing models such as "Palcon(パルコン)", a concrete house that is resistant to earthquakes. In pharmaceutical plants business, they are the most experienced construction company owing to their 165 companies and 900 cases of completion record in Japan of .

In addition they are also actively expanding their overseas business, by receiving orders for large-scale water pipe construction in the UAE. In particular, 「Taisei Corporation」participated in the tender for the construction of the 「Palm Island Underwater Tunnel」, which attracted worldwide attention as a "Artificial island that can be visible from the moon,". While the tender goes on, Taisei Corporation's novel proposal was highly evaluated, so they were successful in receiving orders.

「Taisei Corporation」was also involved in the construction of 「the Bosphorus Strait Crossing Railway Tunnel」. The Bosphorus is the border region that separates Europe and Asia, has long been a major transportation hub, and has a very high military value. The railway tunnel that crosses here has been planned for more than 100 years and was completed on February 18, 2011 by 「Taisei Corporation」.

 

 

3. Major Business

 

■ Construction Engineering Business
This company provide construction engineering in a variety of industrial fields, such as industrial facilities, energy-related facilities, special facilities and software engineering. In addition, general industrial facilities such as food facilities, cosmetics factories and logistics facilities, 「Taisei Corporation」can give a solution.

■ Urban redevelopment business
「Taisei Corporation」are focusing on redevelopment projects and they have been involved in approximately 20% of urban redevelopment projects in the entire Japan. It is said to be the most successful super general contractor.

■ 3D printer business for construction
Recently,「Taisei Corporation 」has started a unique business. In 2018, they partnered with 「Aktio(株式会社アクティオ)」, 「Ariake College(有明工業高等専門学校)」,and 「Taiheiyo Cement Corporation(太平洋セメント)」 to jointly create a 3D printer for construction, "T-3DP(Taisei-3D Printing)". This is a construction 3D printer that can use cement-based materials with a higher load, unlike conventional resin-based construction printers.

 

 

 

4. Financial information

 

※Unit is JPY million

		2016	2017	2018
Consolidated sales		1,487,252	1,585,497	1,650,877
Consolidated operating profit		140,822	181,859	153,323
Consolidated total assets		1,760,078	1,930,825	1,846,176
Consolidated net assets		570,813	669,019	722,390
Breakdown of sales	Civil engineering	422,847	441,269	439,109
	Construction	938,548	1,020,765	1,087,671
	Development	115,225	113,736	114,855
	Others	10,630	9,727	9,241