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TAISEI Co., Ltd. Corporate Profile 2018 HOSPI ALITY

Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

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Page 1: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

TAISEI Co., Ltd.Corporate Profile 2018

H O S P I A L I T Y

Corporate Information (As of June 27, 2018)

Trade Name Taisei Co., Ltd.

Capital 822,300,000 yen

Founded October 2, 1959

Employees (Include Workers) 10,469 (As of March 31, 2018)

Fiscal Year End March 31

Head Office Taisei Building, 3-31-12 Sakae, Naka-ku, Nagoya, TEL: +81-52-251-6611 Aichi Prefecture

Tokyo Head Office Ohashi Gyoen Eki Bldg., 1-8-1 Shinjuku, Shinjuku-ku, TEL: +81-3-3354-4131 Tokyo

Osaka Branch Office WAKITA Fujimura Midosuji Bldg., 4-2-14 Fushimi-machi, TEL: +81-6-6209-6600 Chuo-ku, Osaka

Hamamatsu Branch Office Hamamatsu Act Tower, 111-2 Itaya-machi, Naka-ku, TEL: +81-53-451-0013 Hamamatsu, Shizuoka Prefecture

Fukuoka Branch Office Meiji-Dori Business Center Honkan, 1-1 TEL: +81-92-282-0711 Shimokawabata-machi, Hakata-ku, Fukuoka, Fukuoka Prefecture

Sendai Branch Office Sendai Trust Tower, 1-9-1 Ichiban-cho, Aoba-ku, Sendai, TEL: +81-22-713-9722 Miyagi Prefecture

Taisei Training Center Taisei Imaike Building, 4-3-23 Imaike, Chikusa-ku, TEL: +81-52-733-5963 Nagoya, Aichi Prefecture

Houstar Showroom Taisei Imaike Second Building, 4-5-27 Imaike, TEL: +81-52-733-8601 Chikusa-ku, Nagoya, Aichi Prefecture

Kyoai Engineering Ohashi Gyoen Eki Bldg. 4F, 1-8-1 Shinjuku, Shinjuku-ku, TEL: +81-3-5269-4930Corporation Tokyo

T-CLEAR Corporation Taisei Imaike Second Building, 4-5-27 Imaike, Chikusa-ku, TEL: +81-52-745-6750 Nagoya, Aichi Prefecture

Rinrei Service Corporation Ohashi Gyoen Eki Bldg., 1-8-1 Shinjuku, Shinjuku-ku, Tokyo TEL: +81-3-3354-5560

RAZOR GLORY BUILDING Rm. 205B, 2/F., Sun Cheong Ind.Bldg., 1 Cheung Shun St., TEL: +852-2786-1641MAINTENANCE LTD. Cheung She Wan, Kowloon, Hong Kong

Care Vietnam JSC 110A Chu Van An Street,Ward 26, Binh Thanh District,HCM TEL: +84-1900-636-191

MNTH Building Management Shanghai World Financial Center, 100 Century Avenue, Shanghai Co., Ltd. Pudong New Area, Shanghai

Board of Directors, Auditors and OfficersPresident and Representative Director Kenji Kato

Vice President and Representative Director Kozo Motoya

Senior Managing Director Norihiro Kato

Managing Directors Koji Takai Masafumi Takahashi

Director Fumiyasu Mori

Full-time Corporate Auditors Tetsuo Furuta Masashi Ishihara

Corporate Auditors* Osamu Sakuma Nobuyuki Itoh

Senior Managing Executive Officers Toyoaki Itoh

Michio Yashiro

Managing Executive Officers Yoshio Mizuno Hiroyasu Sugita Takehisa Nakajima

Executive Officers Hidekatsu Nakamura Keizo Nagata Ryoichi Morishita Yasuhiro Fukushima Nobuyoshi Hayashida Isao Sasaki

Those corporate auditors marked with an asterisk (*) are outside corporate auditors as stipulated in Article 2, Paragraph 16 of the Company Law.

URL: http://www.taisei-bm.co.jpCo., Ltd.

Printed in Japan

2018.9 100

VIETNAM

INDONESIA

Ho Chi Minh

Jakarta

Hong Kong

Shanghai

OsakaBranchFukuoka

Branch

Head OfficeNagoya Tokyo

HamamatsuBranch

SendaiBranch

Page 2: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

TAISEI At a Glance

Business Segment

Consolidated Financial Highlights

With hospitality, a strong financial base and CSR at the core of its corporate management, TAISEI has developed its business so far mainly within Japan's boundaries. Drawing on its achievements in Japan, TAISEI is determined to further enhance overseas operations, including M&A and new business starts.

A beautiful environment for a healthy mind and body■ Daily Cleaning ■ Periodical Cleaning ■ Extraordinary Cleaning ■ Planting Management

Solid technology sustains comfortable everyday life■Electric Equipment Management ■Air Conditioning System Control■Water Supply Management ■Office Safety Management ■Office Environment Management■Building Maintenance ■Equipment Remote Monitoring System (WARCS)

■ House Cleaning ■ Home Security ■ House Renovation

Cleaning Services

Hotel Services

The sense of security comes from pursuing your comfort

Security Services

Comfortable spaces set pace for a relaxing lifestyle

■ Property Management Solutions ■ Public-Private Partnerships ■ PFIChallenge new horizons by making the most of our know-how in building maintenance Real Estate Solutions

Building Facility Management

■ Construction works ■ Roofing ■ Plumbing ■ Steel structure work ■ Coating■ Waterproofing  ■ Interior finishing ■ Joinery work  Other Services

Best ideas for durable and well-done buildingsRefurbishment Services

■ Reception Services ■ Tea Serving Services■ Telephone Exchange Service ■ Other Services

Pride and a keen sense of responsibility always on duty

Comfortable and secure accommodation for maximum customer satisfaction■ Room Cleaning ■ Room Check ■ Housekeeping Services ■ Daily/Round Cleaning■ Periodical Cleaning ■ Extraordinary Cleaning ■ Dispatch Cleaning

■ Security Guarding ■ Mechanical Security System ■ Public Safety and Security■ Parking Facilities Administration  ■ Equipment Remote Monitoring System (WARCS)

PropertyManagement

Solutions

BuildingFacility

Management

SecurityServices

RefurbishmentServices

HotelServices

CleaningServices

Hospitality

Overseasexpansion

M&A

Newbusinesses

Strong financial base

CSR

Bui

ldin

g M

aint

enan

ce

Building Maintenance

Net Sales

ROA/ROE

Operating Income

Dividend per Share/Payout Ratio

Profit Attributable to Owners of Parent

Total Assets/Net Assets/Equity Ratio

(¥ millions)

Mar.14 Mar.15 Mar.16 Mar.17 Mar.180

5,000

10,000

15,000

20,000

24,000 23,852

Mar.14 Mar.15 Mar.16 Mar.17 Mar.18

(%)

0

1

2

3

4

5ROA ROE

2.9

2.9

(¥ millions)

Mar.14 Mar.15 Mar.16 Mar.17 Mar.180

50

100

150

200

250

300 292

Mar.14 Mar.15 Mar.16 Mar.17 Mar.18

(¥) (%)Dividend per Shere Payout Ratio

0

10

20

30

41.5

20.0

(¥ millions)

Mar.14 Mar.15 Mar.16 Mar.17 Mar.180

50

100

150

200

250

300

350

242

(%)

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000(¥ millions)

Mar.14 Mar.15 Mar.16 Mar.17 Mar.180

20

40

60

80

100

Equity RatioTotal Assets Net Assets

8,510

13,541

62.4

Key IndicatorsMar. 14 Mar. 15 Mar. 16 Mar. 17 Mar. 18

Net Sales 18,324,432 19,150,993 20,270,164 21,929,724 23,852,433

Gross Profit 2,278,584 2,338,389 2,285,288 2,733,828 3,025,867

Operating Income 251,121 243,962 32,917 279,923 292,755

Ordinary Income 329,355 348,139 112,774 377,556 375,925

Profit Attributable to Owners of Parent 189,727 330,582 70,385 208,795 242,429

Total Assets 10,415,749 11,819,057 11,330,521 12,595,060 13,541,193

Net Assets 7,683,774 8,096,028 7,883,359 8,151,194 8,510,825

Equity Ratio (%) 73.8 68.5 69.6 64.7 62.4

Free Cash Flows 175,371 142,808 (327,028) 360,105 (428,194)

ROA (%) 3.2 3.1 1.0 3.2 2.9

ROE (%) 2.5 4.2 0.9 2.6 2.9

EPS (yen) 37.68 65.65 13.98 41.46 48.14

Dividend per Share (yen) 20.00 20.00 20.00 20.00 20.00

Payout Ratio (%) 53.1 30.5 143.1 48.2 41.5

Employees 1,369 1,423 1,618 1,628 4,784

Notes: ROA is the ratio of ordinary income to total assets. ROE is the ratio of net income to net assets.

(¥ thousands)

TA I S E I C o . , L t d .1 C o r p o r a t e P r o f i l e 2 0 1 8 2

Page 3: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

Overview of Operations by Business Segment

Cleaning Services

We want buildings to make a positive impression and provide peace of mind to customers visiting tenant corporations.

When visiting corporate offices, customers form an image of the corporation based on the beauty and comfort of the building. From daily cleaning to periodic and extraordinary cleaning, TAISEI continually proposes a menu of services which match the size and purpose of each building. We strive to provide detailed and attentive service with the feeling of a host who is greeting his guest.TAISEI also actively implements new cleaning methods. We use advanced and environmentally-friendly methods in all aspects of our business, including equipment and chemicals. We also thoroughly educate our staff regarding manners and information security.

Hotel Services

We support the creation of comfortable guestrooms by providing highest level of service even in areas that go unnoticed.

Today, what is the most important aspect of hotel service? Instead of luxurious interiors and advanced facilities, TAISEI believes that the Japanese spirit of omotenashi (hospitality) towards customers is of the utmost importance. Accordingly, we conduct thorough education on hotel manners to our staff that performs bed-making and cleaning of guestrooms. The basis of this education is “greeting guests with a smile.” We expect our cleaning staff to have the same high level of consciousness as hotel staff. Furthermore, in addition to guestroom cleaning, we also offer housekeeping services such as guest relations and guestrooms repairs, as well as cleaning of public areas such as restaurants and lobbies.

Building Facility Management

Real Estate Solutions

Security Services

Protecting your safety and security through high-level fusion of manpower and technology.

These days, the importance of crisis management is emphasized in all aspects of society. TAISEI closely integrates our cleaning business and engineering business in order to provide advanced security systems which fuse manpower and technology. In addition to learning skills necessary to protect people and property, our security also receives comprehensive education for increasing consciousness related to the service industry. TAISEI also actively incorporates cutting-edge technology, proposing security systems that utilize sensors and security devices. We also offer rapid emergency response in the event of trouble.

Maintaining long-term asset value through comprehensive repair plans which consider the building lifecycle.

Facilities such as electricity, air conditioning, water supply, sewage and elevators are truly the lifelines of modern building environments. Furthermore, these facilities have become increasingly more important from the perspective of a comfortable building atmosphere. The lifespan of a building is significantly impacted depending on whether or not appropriate maintenance has been performed. In addition to conventional skills related to maintenance and operation management for facilities, TAISEI is capable of proposing comprehensive repair plans which focus on the building lifecycle. We also possess professional staff that will respond quickly in the event of facilities trouble. TAISEI fulfills all needs related to building maintenance and management.

Refurbishment Services

Utilizing a wide range of business skills to provide integrated service from surveying and diagnosis to planning, design and implementation.

Older buildings require a variety of repairs to roofs, electrical facilities, waterproofing treatment, paint, interior furnishings and other elements. In addition to responding to customer requests for repair, TAISEI fully utilizes know-how gained from a wide range of business in order to make proposals based on the themes of “ensuring building comfort” and “lengthening the building lifecycle.” Our activities are not limited to only restoring old areas of the building; we also provide integrated service from surveying and diagnosis to planning, design and implementation. TAISEI will continue to pursue a new form for buildings while considering factors such as contemporary needs and environmental protection.

Flexible response to customers’ management needs through advanced building management.TAISEI is also actively expanding our Real Estate Solutions Business through application of know-how in building maintenance.

■ Property Management SolutionsOn behalf of the owner, TAISEI performs operation management for buildings. In order to increase asset value, we work to adjust lifecycle cost, expand the added value of buildings, and increase the profitability of buildings.

■ PFITAISEI also actively participates in the PFI business for maintenance and management of new public facilities scheduled for construction. In order to provide efficient and high-quality service, we have established an SPC (Specific Purpose Company) and fully utilize the funds, skills and management know-how of our company.

■ Public-Private PartnershipsTAISEI has also entered operation management of public facilities as part of the Designated Manager System.On behalf of public entities which own the facilities, we perform operation management for a wide variety of public facilities. Through know-how unique to a private corporate body, TAISEI realizes high synergy through actions such as improving user services and reducing management costs.

Building Maintenance

TA I S E I C o . , L t d .3 C o r p o r a t e P r o f i l e 2 0 1 8 4

Page 4: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

Top Message What is TAISEI?

As a leader in the comprehensive building management industry, TAISEI will continue to gain the trust of society and be the first choice for customers.Recruiting personnel which exceeds age groups and national boundaries

President and Representative Director

Moreover, by acquiring certification for international standards such as ISO9001 and by implementing unique in-house quality management system, we have constructed a system for supporting the maintenance and improvement of quality. These activities result in high-quality services which are highly recognized by hotels and other customers who require high levels of service. Ensuring the comfortable use of all building facilities will contribute to increasing the value and profitability of facilities. This goes beyond simply maintaining cleanliness and safety; instead, we focus on all building elements including hygienic aspects such as air conditioning facilities. As a leader in the comprehensive building management industry, TAISEI will continue to gain the trust of society and be the first choice for customers. Based on a spirit of hospitality, TAISEI fully utilizes our high service quality to actively expand our business. Furthermore, we seek efficient management through continual reform and innovation of our business. In addition, TAISEI is expanding the house maintenance and solar power generation (mega-solar) businesses by using its professional know-how. At the same time, it is actively implementing initiatives such as to streamline its organization, and to improve operational efficiency by introducing machines using new technologies. TAISEI acquired 100% ownership of the building maintenance firm, Razor Glory Building Maintenance Ltd. (Hong Kong) in October 2015, and 70% ownership of Care Vietnam JSC(Vietnam) in April 2017. These are only some of the measures TAISEI is implementing in the pursuit of expanding its business domains.

The business field of building management provides a safe, secure and comfortable environment to all persons who use a building. By maintaining a beautiful appearance and a hygienic environment, building management seeks to extend the lifespan of building facilities. Indeed, building management fulfills an essential role in ensuring that buildings achieve their intended functionality, in reducing lifecycle costs, and in performing environmentally-friendly building maintenance. Our business activities consist of environmental hygiene management, facilities management, building/equipment maintenance, security, disaster-preparedness, and others. It is said that the building management market was about ¥3,800 billion in fiscal 2015. Among the foregoing activities, facilities management and environmental hygiene management account for the largest proportion, that is, two-thirds of the overall sales. Target buildings are mainly non-residences such as office buildings, stores, commercial facilities, medical facilities and welfare facilities. TAISEI Co., Ltd. was founded in Nagoya City in 1959 as a corporation dedicated to cleaning activities for buildings. For more than 50 years since our founding, we have responded to social needs and expanded our business activities into fields such as on-call security, facilities management and hotel guestroom cleaning. Today, as a “comprehensive building maintenance corporation” active in fields such as the information business and refurbishment work, we are a leader in the business maintenance industry and one of the few listed corporations in the industry. More than anything, TAISEI’s growth can be attributed to our focus on quality. Ever since our founding, we have been the first to implement new technology. TAISEI has gained the trust of customers by providing high quality. In order to stably provide high-quality services to our customers, we have placed top priority on personnel cultivation. In 1985,we established a Personnel Cultivation Division within our company. Next,in 2003,we acquired approval from Aichi Prefecture and Tokyo Metropolitan Government for the establishment of TAISEI Vocational Training School. We now conduct systematic education for all employees, including part-time workers. Through specialized courses such as building cleaning and security, we increase the overall skills of employees through a broad curriculum spanning from skills and knowledge to manners. In November 2012, we won the MHLW (Ministry of Health, Labour and Welfare) Minister’s Award in the Accredited Vocation Training Division.

In order to perform required operations with limited manpower, we are searching for ways in which to optimize existing methods. Specifically, we are considering automation, working to establish tasks which can be performed by beginners and the elderly, and exploring the possibilities of recruiting global personnel. It is a never-ending process of reflecting upon where we stand, developing reform measures, and implementing those measures. As Japan prepares for the 2020 Tokyo Olympics, industries such as construction are extremely busy. In Nagoya, skyscrapers are being built one after another, particularly in the area around Nagoya Station. This redevelopment boom is accelerating increases in the size of buildings, as well as advancing the technology used in buildings. In our work, we must respond to these changes by making advancements ourselves. New technology and know-how is required. Last spring, TAISEI formulated its 6th Medium-Term Management Plan. Currently, we are moving steadily toward the realization of goals defined in that plan. For example, we have restructured regionally-based organizations into company-wide integrated organizations based on operation type. Through this change, we are further enhancing the specialization of our business operations. Furthermore, as a first step toward globalization, we opened an office in Vietnam last year. We followed this by purchasing a building maintenance firm in Hong Kong. We are working to get these businesses on track as fast as possible as we take a leading role as a global building maintenance corporation. In consideration of business conditions discussed above, we have established the following goals for the current fiscal year.

(1) Reform profitability (2) Respond to globalization (3) Acquire specialized technology and skills

Our entire company is working hard every day in order to achieve these three goals. Please expect only the best from TAISEI.

Today, the labor environment which surrounds us is changing rapidly. There are successive changes to laws and regulations such as guaranteed minimum wage, mandatory stress checks, labor law, and social insurance systems. Furthermore, hiring expenses are increasing due to the personnel shortage in recent years. All of these factors lead to an ever-increasing burden in terms of costs and systems. Implementing measures to respond to the aging of workers is another urgent issue. From last September, TAISEI has started joint industry-academia research aimed at creating a safe working environment for the elderly. Personnel are the lifeline of our company. However, in the future, we forecast that it will be increasingly difficult to secure outstanding personnel. Moreover, the personnel at our company grow older every year.

With bronze statue of founder

TA I S E I C o . , L t d .5 C o r p o r a t e P r o f i l e 2 0 1 8 6

Page 5: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

VIETNAM

INDONESIA

Ho Chi Minh

Jakarta

Hong Kong

Shanghai

OsakaBranchFukuoka

Branch

Head OfficeNagoya Tokyo

HamamatsuBranch

SendaiBranch

Performance

Nagoya Building Midland SquareNagoya Lucent Tower

Atago Green HillsRoppongi Hills

THE PACIFICA MALL *2

Azalea Suites - Green PalaceResidence

CONGREGATION HOUSE *2

*1 Managed by Care Vietnam JSC*2 Managed by Razor Glory Building Maintenance Ltd.

AEON Lai Chi Kok store *2

PEPSICO *1 SC VIVO City *1

Bitexco Financial Tower *1

Nagoya Municipal Subway Stations

Hilton Nagoya

The Prince Park Tower Tokyo HOTEL Granvia Osaka

Nagoya Marriott Associa

Nadya Park Toranomon Hills GINZA SIX Abeno Harukas

Office Buildings

Hotels

Waseda UniversityNagoya University ofCommerce & Business

Teikyo University Hospital

Commercial Facilities

Educational Institutions Others

TAISEI has a lengthy track record in Japan and Hong Kong, which continues to extend steadily.Here you may find a small portion of these achievements.

Marunouchi Building

TA I S E I C o . , L t d .7 C o r p o r a t e P r o f i l e 2 0 1 8 8

Page 6: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

Business Overview

Summary of operating results

Analysis of operating results

Summary of the term under review

During the consolidated fiscal year under review, in the domestic operations, the Company, striving to act in tune with the favorable real estate market conditions spurred by recovery of personal consumption and hopes for a future increase in demand from redevelopment projects of urban areas as well as an increase in inbound demand, acquired a number of new properties centering on commercial complexes and hotels. In the overseas operations, Care Vietnam Joint Stock Company (hereinafter referred to as CV), a building maintenance company in Vietnam, which has been included in the consolidated financial statements from the first quarter of the consolidated fiscal year under review, made a good contribution to the results of the Group (comprised of the Company, its consolidated subsidiary companies, and companies applied with equity method) signifying a sure step forward in our overseas business expansion. On the other hand, all industries were plagued by a shortage of labor and an increase in labor costs, which is why an urgent issue for the management is to find ways to increase efficiency and implement laborsaving measures.In this climate, the Company steadily implemented a number of measures stipulated in its medium-term management plan "Road to Transformation", which entered its third year during the term under review.The following points summarize our progress made during the term.- Purchase of 70% of stocks of CV making it a consolidated subsidiary

company.- Start of facility management/support business of serviced apartments in

Jakarta.- Start of development and experimental operation of a night security

patrol system using a drone (T-FREND).- Increase in new services and new merchandise, including

establishment of an office space proposal business (furniTure) and development of a low cost security camera (View-T).

- Completion of the third year of technical internship program receiving interns from Vietnam.

As a result of these measures, the Company posted consolidated net sales of ¥23,852 million, an increase of 8.8% from the previous consolidated fiscal year.In terms of profits, although an increase in labor costs put substantial pressure on earnings of the Building Maintenance Business, we profited from contributions made by the improvements in profitability of the newly acquired properties and properties acquired in the previous consolidated fiscal year.An important contribution was also made by CV. On the other hand, the Refurbishment Services Business posted a decrease of profits in connection with a decrease in orders for refurbishment work, while the selling, general and administrative expenses increased in connection with a number of proactive investing activities, including the research and development expenses and advertising expenses for T-FREND, opening of a showroom in Tokyo (T-GARDEN) to introduce our new services, and expenses incurred to pave the way for stabilization of our overseas operations and further globalization of our business.As a result, the Company's profit performance for the fiscal year under review was as follows: operating income up 4.6% to ¥292 million, and ordinary income down 0.4% to ¥375 million as compared with the

previous fiscal year. Profit attributable to owners of parent stood at ¥242 million (up 16.1% from the previous fiscal year).

Building Maintenance

Cleaning Services

In cleaning services, we received orders from six large hotels including the Nagoya Prince Hotel, were newly entrusted with work on a number of commercial facilities starting with GLOBAL GATE, made improvements in profitability of operations in 34 properties transferred to us by the Hitachi ICT Business Services in the previous consolidated fiscal year as well as in other large-sized properties including GINZA SIX, revised contracts for properties with low profitability, and also received a large contribution of CV, which was newly included in consolidation scope, which all resulted in stable sales and profits.On the other hand, this segment that has the largest number of personnel in the Group was severely impacted by an increase in costs triggered by shortage of workers, which put substantial pressure on earnings.As a result, net sales rose to ¥13,331 million (up 14.8% YoY), and operating income went up to ¥1,407 million (up 5.7% YoY).

Building Facility ManagementIn building facility management operations, the Company posted net sales of ¥4,760 million (up 3.7% YoY), and operating income of ¥278 million (up 29.4% YoY) as a result of new contracts for a number of properties including the Hosei University Tama Campus and the Power Dome Handa, as well as an increase in occasional sales.

Security ServicesIn security services, in addition to the new contracts for the parking lot management work at the Century Toyota Bldg and the reception work for the Hitachi Group's, we benefited from timely sales resulting in net sales of ¥3,010 million (up 5.2% YoY), and operating income of ¥217 million (up 19.3% YoY).For that reason, net sales of the Building Maintenance Business rose to ¥21,103 million (up 10.7% YoY), and operating income went up to ¥1,903 million (up 10.1% YoY).

Refurbishment Services

In refurbishment services, the Company struggled to acquire orders for large-scale projects, resulting in net sales of ¥1,798 million (down 14.0 YoY), and operating income of ¥84 million (down 37.8% YoY).

Real Estate Solutions

In real estate solutions, buildings, of which the Company became the designated administrator in the previous consolidated fiscal year, made a contribution from the first quarter, and with further contributions of the orders received for construction work to be made in connection with old tenants leaving and new arriving, net sales were ¥950 million (up 23.1 YoY), and operating income was ¥48 million (up 114.3% YoY).

Net Sales

Profit Attributable to Owners of Parent

Free Cash Flows

0

500

1,000

1,500

2,000

Mar.14 Mar.15 Mar.16 Mar.17 Mar.18

1,711

0

2,000

4,000

6,000

8,000

10,00011,000

Mar.14 Mar.15 Mar.16 Mar.17 Mar.18

10,469

(¥ millions)

Mar.14 Mar.15 Mar.16 Mar.17 Mar.180

5,000

10,000

15,000

20,000

24,000 23,852

0

1,000

2,000

3,000

4,000

5,000

Mar.14 Mar.15 Mar.16 Mar.17 Mar.18

4,784

(¥ millions)

Mar.14 Mar.15 Mar.16 Mar.17 Mar.180

50

100

150

200

250

300

350

242

(¥ millions)

-500

-400

-300

-200

-100

0

100

200

300

400

Mar.14 Mar.15 Mar.16 Mar.17 Mar.18

(428)

Number of Building Management

Number of Employees (include workers)

Number of Employees

TA I S E I C o . , L t d .9 C o r p o r a t e P r o f i l e 2 0 1 8 10

Page 7: Trade Name TAISEI Co., Ltd. · Trade Name Taisei Co., Ltd. Capital 822,300,000 yen Founded October 2, 1959 Head Office Osaka Branch Office Fukuoka Branch Office Sendai Branch Office

TAISEI Co., Ltd.Corporate Profile 2018

H O S P I A L I T Y

Corporate Information (As of June 27, 2018)

Trade Name Taisei Co., Ltd.

Capital 822,300,000 yen

Founded October 2, 1959

Employees (Include Workers) 10,469 (As of March 31, 2018)

Fiscal Year End March 31

Head Office Taisei Building, 3-31-12 Sakae, Naka-ku, Nagoya, TEL: +81-52-251-6611 Aichi Prefecture

Tokyo Head Office Ohashi Gyoen Eki Bldg., 1-8-1 Shinjuku, Shinjuku-ku, TEL: +81-3-3354-4131 Tokyo

Osaka Branch Office WAKITA Fujimura Midosuji Bldg., 4-2-14 Fushimi-machi, TEL: +81-6-6209-6600 Chuo-ku, Osaka

Hamamatsu Branch Office Hamamatsu Act Tower, 111-2 Itaya-machi, Naka-ku, TEL: +81-53-451-0013 Hamamatsu, Shizuoka Prefecture

Fukuoka Branch Office Meiji-Dori Business Center Honkan, 1-1 TEL: +81-92-282-0711 Shimokawabata-machi, Hakata-ku, Fukuoka, Fukuoka Prefecture

Sendai Branch Office Sendai Trust Tower, 1-9-1 Ichiban-cho, Aoba-ku, Sendai, TEL: +81-22-713-9722 Miyagi Prefecture

Taisei Training Center Taisei Imaike Building, 4-3-23 Imaike, Chikusa-ku, TEL: +81-52-733-5963 Nagoya, Aichi Prefecture

Houstar Showroom Taisei Imaike Second Building, 4-5-27 Imaike, TEL: +81-52-733-8601 Chikusa-ku, Nagoya, Aichi Prefecture

Kyoai Engineering Ohashi Gyoen Eki Bldg. 4F, 1-8-1 Shinjuku, Shinjuku-ku, TEL: +81-3-5269-4930Corporation Tokyo

T-CLEAR Corporation Taisei Imaike Second Building, 4-5-27 Imaike, Chikusa-ku, TEL: +81-52-745-6750 Nagoya, Aichi Prefecture

Rinrei Service Corporation Ohashi Gyoen Eki Bldg., 1-8-1 Shinjuku, Shinjuku-ku, Tokyo TEL: +81-3-3354-5560

RAZOR GLORY BUILDING Rm. 205B, 2/F., Sun Cheong Ind.Bldg., 1 Cheung Shun St., TEL: +852-2786-1641MAINTENANCE LTD. Cheung She Wan, Kowloon, Hong Kong

Care Vietnam JSC 110A Chu Van An Street,Ward 26, Binh Thanh District,HCM TEL: +84-1900-636-191

MNTH Building Management Shanghai World Financial Center, 100 Century Avenue, Shanghai Co., Ltd. Pudong New Area, Shanghai

Board of Directors, Auditors and OfficersPresident and Representative Director Kenji Kato

Vice President and Representative Director Kozo Motoya

Senior Managing Director Norihiro Kato

Managing Directors Koji Takai Masafumi Takahashi

Director Fumiyasu Mori

Full-time Corporate Auditors Tetsuo Furuta Masashi Ishihara

Corporate Auditors* Osamu Sakuma Nobuyuki Itoh

Senior Managing Executive Officers Toyoaki Itoh

Michio Yashiro

Managing Executive Officers Yoshio Mizuno Hiroyasu Sugita Takehisa Nakajima

Executive Officers Hidekatsu Nakamura Keizo Nagata Ryoichi Morishita Yasuhiro Fukushima Nobuyoshi Hayashida Isao Sasaki

Those corporate auditors marked with an asterisk (*) are outside corporate auditors as stipulated in Article 2, Paragraph 16 of the Company Law.

URL: http://www.taisei-bm.co.jpCo., Ltd.

Printed in Japan

2018.9 100

VIETNAM

INDONESIA

Ho Chi Minh

Jakarta

Hong Kong

Shanghai

OsakaBranchFukuoka

Branch

Head OfficeNagoya Tokyo

HamamatsuBranch

SendaiBranch