Shimizu raised its operating profit forecast for the year ending March 2027 to ¥192.0bn, from ¥153.0bn in the guidance it published on July 30, 2026. The contractor attributes the increase to better margins on work it already holds, not to a large jump in revenue.
Where the margin came from
In the revision notice, Shimizu says domestic building and civil engineering projects are earning more because it won additional and changed work and compressed construction costs. Its non-consolidated (parent-only) operating profit forecast rises by ¥37.0bn to ¥160.0bn.
The parent's completed-work margin is now forecast at 14.5%, against 12.7% in the July forecast. Building work is forecast at 15.3% (previously 13.2%) and civil engineering at 11.0% (previously 10.0%). These are parent-only construction margins, not a group-wide operating margin.
The consolidated numbers move together. Sales are forecast at ¥2.38tn, up ¥70.0bn, mainly because domestic building work is progressing smoothly. Shimizu says the consolidated revision largely follows the parent's.
| Item | July forecast | Revised forecast | Change |
|---|---|---|---|
| Sales | ¥2.31tn | ¥2.38tn | +¥70.0bn |
| Operating profit | ¥153.0bn | ¥192.0bn | +¥39.0bn |
| Ordinary profit | ¥183.5bn | ¥221.5bn | +¥38.0bn |
| Net profit attributable to owners of the parent | ¥165.5bn | ¥186.0bn | +¥20.5bn |
The interim results published the same day show the margin already moving. For the six months to September 2026, sales rose 18.4% to ¥1.06tn and operating profit rose 126.3% to ¥88.1bn. The parent's completed-work margin was 15.0%, against 8.7% a year earlier.
A non-cash gain inside net profit
Net profit is the figure to read with care. Shimizu's forecast of ¥186.0bn attributable to owners of the parent includes ¥35.5bn of negative goodwill, which the company calls a non-cash gain arising from consolidation accounting.
The interim accounts show where the gain sits. Equity-method income was ¥36.1bn, against ¥116mn a year earlier, after a company became an equity-method affiliate and its negative-goodwill amount was booked. Interim net profit rose 133.9% to ¥107.9bn.
Shimizu also trimmed its expected special gain from sales of investment securities by ¥10.0bn in the parent-only forecast, citing lower share prices for some holdings.
Dividend
Shimizu decided on an interim dividend of ¥44.50 per share, up from the ¥38.50 forecast in July. It raised its year-end forecast to the same ¥44.50, which puts the annual dividend at ¥89, against ¥77 previously and ¥72 for the year to March 2026.
The company says its policy is to return profit earned through growth using a consolidated payout ratio of 40% as a guide. It calculated the dividend after removing the ¥35.5bn negative-goodwill amount from net profit attributable to owners of the parent.
The forecasts rest on information available on November 9, 2026, and Shimizu notes that actual results may differ. The interim results were not subject to review by a certified public accountant or audit firm.