Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental sustainability
• Social responsibility
• Governance

Environmental Achievements

• Reduced industrial waste by approximately 98% using the "Circular Eco-Clean Blasting Method" in bridge repainting projects.

Social Achievements

• Completed construction of the "Near Zero Energy Sta. KOWA Matsuumi Employee Dormitory", incorporating environmental technologies to minimize energy consumption.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Decreased order intake due to the COVID-19 pandemic, including delays in customer visits and project approvals, and reduced private sector investment.
• Potential for project delays or cancellations due to COVID-19 prevention measures.
• Rising construction costs due to labor shortages and increased material prices.

Mitigation Strategies

• Implemented infection control measures to ensure continuous project execution.
• Focusing on productivity improvements to address rising construction costs.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Regional Contribution Technology Award (FY2014)
• NETIS Registration CB-100047VE (FY2017)
• Environmental Award, Minister of the Environment Award (FY2018)
• Niigata Regional Construction Office Award (FY2019)

Environmental Metrics

ESG Focus Areas

• Sustainability
• Human Resources
• Stakeholder Engagement
• Safety
• Quality
• Digital Transformation (DX)

Environmental Achievements

• Received certification for "Excellent Construction Company" and "Excellent ICT Utilization Construction Company" for 10 consecutive years and 4th time respectively.
• Not disclosed

Social Achievements

• Awarded "Excellent Company for Construction Human Resource Development",
• Donated used work clothes to local welfare facilities.
• Not disclosed

Governance Achievements

• Established the Medium-Term Management Plan 2025 aiming for sustainable growth.
• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Decreased order backlog due to delayed order placement.
• Unprofitable construction projects.
• Increased construction costs due to rising material prices.
• Slow economic recovery due to geopolitical factors and high import prices.

Mitigation Strategies

• Focusing on securing orders in promising sectors like logistics facilities and renewable energy.
• Implementing the Medium-Term Management Plan 2025 to achieve targets.
• Strengthening relationships with multiple stakeholders.
• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Excellent Company for Construction Human Resource Development

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Sustainability
• Climate Change
• Human Capital

Environmental Achievements

• Obtained ISO14001 certification
• Published an annual environmental report
• Established a Sustainability Committee in February 2024
• Developed and published a Sustainability Basic Policy in March 2024
• Participated in the TCFD Consortium and conducted scenario analysis based on the TCFD recommendations

Social Achievements

• Implemented a “Core Job Conversion System” in January 2022 to promote the advancement of non-managerial employees to core positions
• Set a target of at least 3 female employees transitioning from general positions to core positions (general positions) by December 31, 2024 (0 as of April 2023)
• Set a target of increasing the percentage of female managers to 0.7% or more by December 2025 (0.5% as of December 31, 2023)
• Received the “Erushi Certification” from the Ministry of Health, Labour and Welfare in January 2024 for its excellent initiatives in promoting women's advancement
• Actively promoting the adoption of diverse perspectives and creating an environment where diverse employees can fully utilize their strengths
• Embarked on “Health Management” initiatives and received the “Health Management Excellent Corporation 2023” certification

Governance Achievements

• Transitioned to an Audit Committee Company
• Increased the ratio of outside directors to over 30% to strengthen the supervisory function of management
• Implemented an “Equity Grant Trust” system since 2016 as a performance-linked equity compensation system
• Annually evaluates the effectiveness of the board of directors
• Established a Sustainability Committee in February 2024 to oversee sustainability initiatives

Climate Goals & Targets

Environmental Challenges

• Currently, there is a shortage of female employees who could be candidates for future core personnel.
• Need to further improve the timeliness of reporting to the board of directors regarding dialogue with institutional investors.

Mitigation Strategies

• Actively promoting the hiring of women and creating an environment where women can work more easily and continue to thrive.
• Efforts to improve the timeliness of information sharing regarding dialogue with shareholders and investors.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO14001

Awards & Recognition

• Health Management Excellent Corporation 2023
• Erushi Certification