Centuria Surges Ahead as Platform grows 21%11 February 2020
Centuria Capital Group announces HY20 results for the period ending 31 December 2019 with a growth in earnings per security of 25% and FUM of 21%.
John McBain, Joint CEO, said “HY20 was a transformational period for Centuria. The business continues to focus on a dual strategy of organic and inorganic expansion and HY20 was a record period with $1.2bn of organic real estate acquisitions across our listed and unlisted divisions.”
- Strong AUM growth increases platform to $7.3bn
- Post balance date proposal to acquire Augusta Capital Limited to expand AUM to $9.2bn
- Record half generates $1.2bn of organic real estate acquisitions
- Delivered twelve-month total securityholder return of 86.0%
- HY20 Distribution 4.50 cents per stapled security (cps) (+5.9% from HY19)
- HY20 Operating earnings per stapled security 8.10 cps (+24.6% from HY19)
- FY20 Distribution forecast of 9.70 cps re-affirmed, FY20 operating earnings forecast 12.50cps
Centuria’s Real Estate division expanded to $6.4bn (+21% from FY196 ) and Centuria’s listed vehicles, Centuria Office REIT (COF) and Centuria Industrial REIT (CIP), acquired 9 assets for $935m. Subsequently, COF and CIP have expanded their respective AUM bases to $2.1bn and $1.6bn consolidating their positions as Australia’s largest pure play office and industrial REITs.
Centuria’s unlisted division delivered a strong performance, establishing two new single asset unlisted funds worth $216m. Centuria’s open-ended diversified fund (CDPF) increased AUM 74% to $207m7 , underpinned by two direct real estate acquisitions for $93m.
Centuria Heathley executed acquisitions for one day hospital and two medical centres and established a $500m healthcare property mandate with AXA IM and Grosvenor.
Jason Huljich, Joint CEO, said “Our record half of $1.2bn in organic acquisitions is a strong reflection of our real estate team’s ability to efficiently identify and execute acquisition targets and leverage our retail and institutional distribution channels. These acquisitions further improve Centuria’s recurring revenue streams, which have been complemented by strong performance fees for the period.
Centuria re-affirms FY20 forecast distribution guidance of 9.7cps, (+4.9% on FY19 actual 9.25cps) and provides FY20 Operating EPS2 guidance of 12.5cp