TOKYO -- Construction company Tekken is projecting a bump up in the profitability of its projects.
The Tokyo-based contractor expects its nonconsolidated gross profit margin for completed projects to go up 0.8 point to 5.9% this fiscal year as it continues efforts to pass on higher materials and labor costs to customers. The figure for its civil engineering business will likely improve by 1.1 points to 7.1%.
Public works projects and their high profit margins are also helping the company's fortunes.
Tekken projects group net profit to jump 9% to 1.6 billion yen ($13.1 million) for fiscal 2015 thanks to the improved profitability figures.