Centuria’s 1H18 results helped by acquisitions
Centuria has reported a 19 per cent growth in its assets under management (AUM) to $4.6 billion in 1H18 and said that the results were helped by the acquisition of the large property fund platform the company bought in January, 2017.
Centuria’s chief executive, John McBain said: “FY18 will be the first opportunity for investors and the market to see clearly the benefits of the large fund platform we acquired in January 2017 over a 12 month period.”
He said that the acquisition significantly transformed the nature and composition of earnings, increasing recurring revenues and tripling the group’s market capitalisation.
The operating net profit after tax (NPAT) improved to $30.2 million while recurring revenue grew by $18.9 million to $32.1 million.
Across the property platform, Centuria acquired ten A-grade properties for $655 million and saw an uplift in asset revaluations of $115 million.
The investment bonds grew by seven per cent over the six-month period from new business and asset growth, the firm reported.
“We believe conditions remain favourable for the continued creation of property fund opportunities,” McBain said.
“This includes leveraging our strong real-estate credentials to identify ‘pockets of value’ for our long-standing investor base, and improving our distribution capacity to accelerate growth in the investment bond business.”
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