January 27, 2021
For Immediate Release
Company nameRepresentativeContact

Yokogawa Bridge Holdings Corp.
Kazuhiko Takata,President and Representative Director(Securities code 5911, First Section,
Tokyo Stock Exchange)
Yasutsugu Nakaoka,
General Manager of Finance andInvestor Relations office(Tel: 03-3453-4116)

Yokogawa Bridge Holdings Group (“the Group”)
Fifth Medium-Term Management Plan Progress Report

Yokogawa Bridge Holdings Corp. (“the Company”) reports on progress made with
Yokogawa Bridge Holdings Group’s Fifth Medium-Term Management Plan (covering theperiod April 1, 2019 through March 31, 2022; “the Plan”), as well as the outlook for the final
fiscal year covered by the Plan (FY2021), and other related matters.

1. Progress overview
1) Bridge Business
Basic policy: Pursue maintenance, expansion, and optimization of the Bridge
Business by strengthening responsiveness to the bridge retrofit
business in addition to new bridge construction.
Although the Company was concerned about a decline in orders received in thefirst fiscal year covered by the Plan (FY2019), the Group was subsequently able
to secure a number of additional orders for private sector projects and otherprojects, and orders received for the current fiscal year (FY2020) are expected toreach a record high. New bridge construction and bridge retrofitting businessperformance has been strong. Overall Bridge Business performance is trending
above forecast levels due to a notable boost this fiscal year from the conclusion ofa concentrated cluster of major long-term construction projects.

12) Engineered Structures Business
Basic policy: Pursue further expansion of the Engineered Structures Business byestablishing a dual-plant production system and strengthening theprofit-and-loss management framework.
Establishment of a dual-plant production system is largely proceeding in line withtargets in the Plan. Although strengthening of the profit-and-loss management
framework has ensured enhanced profitability, the number of orders received has
slumped due to the impact of the COVID-19 crisis.

3) Civil Engineering Business
Basic policy: Further grow the Civil Engineering steel structure engineeringbusiness, as exemplified by tunnel segments.
Work schedules for shield tunneling projects have generally been pushed back.
Orders received and production performance both therefore remain flat year onyear.

4) Other Business
Basic policy: Also pursue expansion of the overseas bridge, aluminum products,
and precision equipment manufacturing businesses.
Although the COVID-19 crisis has had a considerable impact on businesses suchas the overseas bridge business, the situation has not yet become severe. We will
work to ensure a recovery and achieve further expansion in these businesses inFY2021.

5) Consolidated business performance
The Plan’s target figures, the results for FY2019, and forecasts for
FY2020, are as shown in the table below. Although the performance of theEngineered Structures Business is trending below the targets in the Plan due tothe slump in orders received, the stronger-than-expected performance of theBridge Business means that operating profit and earnings per share are now
expected to reach their respective targets for FY2021.

2TargetNet sales(billion yen)
Operating profit(billion yen)

FY2019FY2020(actual)(forecast)

160.0

138.1

140.0

14.0

12.8

16.0

230

217266

Earnings pershare(yen per share)

2. Outlook for final year of the Plan (FY 2021)
Engineered Structures Business projects that have been postponed are now also
expected to get underway, and the Company will work to ensure a return to growth in
FY2021. Meanwhile, although the Company expects Bridge Business net sales in
FY2021 to remain at the high levels seen in FY2020, the Company expects it will bevery difficult for Bridge Business profits to exceed those achieved in FY2020 (when aconcentrated cluster of projects were completed). The Company therefore forecasts
increased sales but decreased profits for FY2021 (the forecast for FY2021 is scheduled
to be released in May). With regard to the targets for sales and profits in the Plan, while
the Company expects that achieving the net sales target of ¥160.0 billion will besomewhat difficult, clearing the operating profit target of ¥14.0 billion should not beproblematic, in light of the current situation with existing construction projects.

3. Capital policy and shareholder return policy
The Company’s basic capital policy of maintaining a balance between financial
soundness and capital efficiency remains unchanged. The shareholder return policy of
paying stable dividends and flexibly acquiring treasury stock also remains unchanged.
Note, however, that with regard to the three lower limit values that the Company set astarget figures in the Plan, since the deviation between the target figures and results issignificant, the Company has set new targets for the final fiscal year covered by the Plan
(FY2021).

3FY2019

FY2020

FY2021

Initial target(actual)(forecast)(target)(lower limit)

Financial

Maintain atsoundnesscurrent level as(Equity ratio)

58.6%

Approx. 60%

it is sufficient

50% or higher

Maintain at
Capital efficiency(ROE)

approx. 10%
10.4%

Approx. 11.5%

level

Shareholder returns

Consider roughDividend payouttarget range of

ratio

19.5%

17.0%

4

20% to 30%

8% or higher

15% or higher