Centurion

Centurion: says it may declare an interim dividend for FY12 when its 1Q12 results are announced. Centurion was unable to declare dividends for FY11, as a one-off goodwill impairment amounting to $12.97m and a one-off reverse acquisition expense of $100k dragged its bottom line into the red. The group incurred a net loss of $6.16m for FY11.
Mgt said the co would have chalked up a net profit of $6.91m vs FY10's $5.68m, if the impairment charges and reverse takeover expenses were excluded.

Centurion, created from the reverse takeover (RTO) of optical storage disc maker SM Summit, develops and manages workers dormitory assets. It still has an optical disc business, left over from SM Summit. The group's dormitory business made $5.38m in FY11, while the optical disc businesses contributed $1.53m.

Mgt is optimistic about the group's dormitory business, despite the potential impact of higher foreign worker levies; believe the business will continue to grow as demand remains robust.
Centurion is also making inroads into the business overseas; it has signed 6 MOUs to build dormitories in key industrial and manufacturing hubs in Johor. 2 have been completed, adding some 9000 beds, while the other 4 are still undergoing various stages of negotiations and due diligence.
The group is also exploring third-party property management of the dormitories and ancillary services such as laundry and catering services to support and diversify its dormitory business portfolio.
Mgt said the group plans to tap the foreign workers accommodation market as far afield as the Middle East, where there is an increasing demand for special purpose-built dormitories.

The stock is +2.3% at $0.22 on above avg volume today.