Founded in 1948 in the post war period to reconstruct Japan, Chiyoda started its engineering business for domestic projects mainly in the petroleum refining, gas processing and petrochemical fields, and expanded into overseas projects in the 1960’s. Since then, The Chiyoda Group has been and is growing steadily under the corporate philosophy of enhancing its business by aiming for harmony between energy and the environment and contributing to the sustainable development of society.
The Group recognizes that conditions in its operating environment has changed drastically. Amidst increasing uncertainty, due to the lower oil price, our clients were prudent to proceed with their investment plans. Under those circumstances, the current Mid-Term Management Plan (2013-2016) “Seize the moment, Open up new frontiers” (M-TM Plan) will reach the deadline.
In the near to mid-term, the basic strategies established in the M-TM Plan will be maintained, namely, 1) Strengthening core business, 2) Expansion into new business fields, and 3) Upgrading services to address clients’ needs.
Energy field including LNG/Oil/Gas is an important core segment of our business, and I will continue to allocate appropriate resources to this segment from our Yokohama headquarters as well as Group companies. Mining, renewable energy, H2 energy, infrastructure and life science are the growing areas that we focus on. Furthermore, the Group established EMAS CHIYODA Subsea Ltd. to perform Engineering, Procurement, Construction and Installation (EPCI) for subsea projects. The Group, herewith, can provide the services for all phaseｓ in the subsea value chain development from planning through commissioning. This is one of the steady progresses in expanding our business portfolios.
On the other hand, our financial results deteriorated due to the increase in construction costs for some petroleum related projects and worsening performance of overseas group companies affected by prolonged tumble in oil prices. In order to correctly recognize the managements’ responsibility and regain the trust of stakeholders, the Group works to make efforts to improve profitability through sound implementation of each project.
As an integrated engineering company, we wish to contribute to the sustainable development of a society through tireless study for technologies. Through the M-TM Plan, we will expand our area of contributions so as to gain our corporate value.
It is my goal to maintain and improve our relationship with shareholders, clients, partners and other stakeholders through our new management team supported by all the Group employees.
President & CEO