SINGAPORE (Aug 7): Centurion Corporation, which owns, develops and manages accommodation assets, has recorded a 72% rise in 2Q17 earnings to $14.5 million from a year ago.
In 2Q17, revenue rose 23% to $35.2 million, largely due to contributions from ASPRI-Westlite Papan and the inclusion of four student accommodation assets in the UK, which were acquired in July 2016.
In tandem with the higher revenue and lower cost of sales in 2Q17, Centurion’s gross profit increased by 36% year-on-year to $25.7 million, as gross profit margin improved by 7 percentage point to 73% in 2Q17.
For 1H17, the group also delivered an improved performance, having recorded a earnings of $26.0 million, 43% higher year-on-year, while first-half revenue grew 24% to $71.3 million.
The board has declared an interim dividend of 1.0 cent per share.
CEO Kong Chee Min says he remains cautiously optimistic of its workers accommodation business and its portfolio continues to enjoy healthy occupancy rates.
“Given the strong demand and high occupancy rates across our student accommodation assets, we maintain a positive outlook for our student accommodation business in the near term and will stay on the lookout for asset enhancement and investment opportunities in this resilient segment,” adds Kong.
In June, the group announced that it has submitted an application to the Stock Exchange of Hong Kong for the listing and permission to deal in its shares on the Mainboard.
Shares in Centurion closed at 53 cents on Monday.
