Singapore’s Centurion Corporation Reports Strong H1 Revenue Growth

Singapore’s Centurion Corporation has posted a significant increase in revenue for the first half of 2026, driven by new worker beds and acquisitions in Singapore and Malaysia. The company reported a 31 percent year-on-year rise in revenue to S$184.9 million for the six months to June, while net profit fell 36 percent to S$53.1 million due to fair-value losses. The revenue increase was driven by 5,460 new worker beds at Westlite Mandai and Westlite Toh Guan in Singapore, the Harum Megah worker dorm portfolio in Malaysia, and the opening of the Epiisod Macquarie Park student accommodation in Sydney. Centurion’s gross profit rose 34 percent to S$146 million, lifting the margin to 79 percent from 77.2 percent. The group reported a net fair-value loss of S$32.8 million, with S$34.5 million in charges that included a S$19.1 million stamp duty paid by Centurion Accommodation REIT to acquire Epiisod Macquarie Park and right-of-use adjustments totalling S$13.7 million. ### Leverage Climbs Net gearing doubled to 24 percent from 12 percent at the end of 2025 as Centurion drew down loans to fund acquisitions. Cash and bank balances fell 19 percent to S$301.7 million, while total liabilities grew 27 percent to S$1.43 billion and finance costs rose 13 percent. Total assets increased 10 percent to S$3.6 billion after additions including Epiisod Macquarie Park, Concorde South Hedland in Western Australia, the Kim Chuan Lane site in Singapore, and eight apartments in Hong Kong’s Yee On Building. The group had S$1.1 billion in borrowings as of June, including S$657.7 million at CAREIT and S$418.2 million outside the trust. CAREIT raised S$771.1 million in its September 2025 initial public offering, which listed a 14-asset portfolio valued at S$1.8 billion. Centurion holds 38.25 percent of the trust, leaving 61.75 percent of profits from the spun-off assets attributable to outside unitholders. Worker housing revenue rose 32 percent to S$143.1 million, but average financial occupancy across the segment fell to 84 percent from 90 percent as new Singapore capacity ramped up and Malaysian properties absorbed weaker demand. Singapore revenue climbed 31 percent to S$129.8 million after the consolidation of Westlite Mandai and new bed additions, while occupancy declined to 94 percent from 99 percent. Malaysia revenue grew 31 percent, to S$12.5 million, on contributions from Harum Megah, positive rental reversions, and a stronger ringgit, but occupancy dropped to 73 percent from 83 percent amid tighter foreign-worker quotas, Centurion said. Student housing revenue rose 31 percent to S$40.6 million as profit jumped 53 percent to S$22.9 million. Australia revenue more than doubled to S$16.5 million after CAREIT completed its A$345 million ($230 million) purchase of the 732-bed Epiisod Macquarie Park, with the student housing facility counted at full occupancy under a two-year master lease to the vendor. ### More Beds Ahead Centurion guided to second-half revenue of S$190 million, up 22 percent year-on-year, on further contributions from recently added assets and moderate rental reversions. The group expects its owned and managed portfolio to grow from 85,528 beds and apartments in June to 87,250 in 2027 and 94,944 in 2028. After the reporting period, Centurion secured a 30-year worker dormitory site at Singapore’s Kranji Close with a S$343 million bid. The company plans to develop the 7,000-bed facility through a 90 percent-owned joint venture and bring it into operation in the third quarter of 2028, while also adding 540 beds at Westlite Ubi and pursuing a project at Kim Chuan Lane. The group has 1,973 student beds in its Australian development pipeline across projects in Melbourne and Perth. In Britain, Centurion is planning a 225-bed student housing project on William Road in London’s Euston area, scheduled for completion in late 2028. Centurion also added key worker housing in Western Australia’s Pilbara region with the June acquisitions of the 125-bed Concorde South Hedland and the 321-bed Velocity Karratha. Future plans include a potential Karratha hotel and short-stay facility, development of its Port Hedland site, and conversion of the Yee On apartments into a 32-bed Hong Kong rental property. “Looking ahead, we remain focused on growing our revenue streams across multiple platforms, advancing our development pipeline, and recycling capital by developing and stabilising assets for potential injection into CAREIT,” said CEO Kong Chee Min. “With multiple growth levers in motion, we remain well-positioned to deliver sustained growth and value to our shareholders.”