To our shareholders and investors

Kazuyuki Inoue

Shimizu provides value that surpasses the expectations of our customers while aiming for sustained growth and greater enterprise value

Shimizu provides value that surpasses the expectations of our customers while aiming for sustained growth and greater enterprise value

The business environment our company operated in during the fiscal year ended March 31, 2021 continued to be a very challenging one. The COVID-19 pandemic caused clients to revamp their capital spending plans, which led to a decline in orders received both in Japan and overseas. Meanwhile, construction projects have been suspended in some areas outside Japan.
Under these circumstances, lower profitability for building construction both in Japan and overseas led to year-on-year declines in ordinary income at 105.4 billion yen and net income attributable to shareholders of the Corporation at 77.1 billion yen.
We expect the challenging business environment to persist in FY2021 and beyond, but we shall continue taking action to strengthen our earning power.

In May 2019, Shimizu formulated SHIMZ VISION 2030, the long-term vision of the Shimizu Group targeting 2030, and Mid-Term Management Plan (2019–2023), the five-year plan containing the basic policy and key strategies for the Shimizu Group.

The vision the Shimizu Group aspires to in SHIMZ VISION 2030 is to be a Smart Innovation Company that creates new value through the integration of innovations in the three areas of business structure, technology, and talent. We will create new value (smart innovation) through continual transformation and taking on challenges that extend beyond the construction business while co-creating with a diverse range of partners. We will contribute to achieving a resilient society that is safe and secure, an inclusive society in which anyone can live in health and comfort, and a sustainable society that takes care of the global environment. We aim to achieve consolidated ordinary income of 200 billion yen or higher by realizing this vision. Shimizu will also restructure consolidated gross profit to achieve a profit structure by business that is 65% construction and 35% non-construction, and by region, 75% domestic and 25% overseas.

Based on the measures detailed in the Mid-Term Management Plan, we will transform the construction business, establish a profit base in non-construction businesses, and strengthen the management base to support growth. By doing so, we aim to fulfill our social responsibilities through our business activities, achieve sustainable growth and enhance corporate value.

We would like to thank all of our shareholders and investors and ask for your continued support in viewing the growth and development of the Shimizu Group from a long-term perspective.

Kazuyuki Inoue
President and Director
Shimizu Corporation
May 2021