Centurion Corporation net profit dips 7% to $7.4m in Q3

Due to significantly higher costs.

Centurion Corporation’s net profit slipped 7% YoY to $7.4m in 3Q15, according to a report by RHB. The company cites cyclical operational cost in UK and increased financing cost as reasons for the decline.

Centurion’s Singapore dormitory portfolio is still strong, however. Despite the spike of supply of dormitory beds across the country, Centurion dormitories enjoyed near-full occupancy. 4,100 beds were also added to its portfolio last July as Westlite Woodlands was completed. Centurion Student Living Selegie’s major refurbishment along with commercial spaces geared towards addressing students’ needs have Centurion poised to dominate the country’s student accommodation scene.

Further, with 27,600 beds in Singapore and 19,800 in Johor as of September 30, Centurion would have 10,000 additional beds in its portfolio in the upcoming financial year.

Occupancy growth in the near future may lag compared to expectations, though, due to the weakened oil and gas sectors.