Centurion Corporation

[Behappyalways]

Ok to keep it short. Cased closed and apologies accepted... My apologies to you if you are not insinuating something.

We can agree to disagree. For example you can argue that bed rates are peak for high price cures high price but I feel that with centurion charging a much lower rate than the market price, it has the potential to adjust bed rates higher for FY2025 and together with its increased bed capacity it should be another high growth year for FY2025. As for the market, I feel that the rates has not peak yet as Singapore continues to increase its non resident population

[weijian]

Ok to keep it short. Cased closed and apologies accepted... My apologies to you if you are not insinuating something.

We can agree to disagree. For example you can argue that bed rates are peak for high price cures high price but I feel that with centurion charging a much lower rate than the market price, it has the potential to adjust bed rates higher for FY2025 and together with its increased bed capacity it should be another high growth year for FY2025. As for the market, I feel that the rates has not peak yet as Singapore continues to increase its non resident population

hi Behappyalways,

After reading your post above, I read back what I wrote and realized where I may have gone wrong (the "insinuating something" part). My memory told me that your trades on Samudera Shipping had great timing as you had told VB.com on your exits - and it was in this context that I wrote what I wrote. But nonetheless, I used the wrong words. Using my powers as Moderator, I have edited accordingly.

Now back to Centurion Corp.

First, I will state upfront that we probably have more similarities in terms of our thoughts/views on Centurion Corp than you think.

When it was relatively obvious to me that the Spore construction industry was going to recover from its downturn, after been interrupted twice - first by covid-19 and second by the heightened safety period - I had decided that the lowest risk manner to be exposed to it, is via providing ammunition to the guys doing the actual lifting work. This would be like supplying building materials (reinforced steel or RMC), manpower (in this case, beds for their workers) or equipment (cranes etc).

Centurion ticks a lot of boxes but also had its downsides. It turned out that it had outperformed my own construction proxy pick by a good 70% YTD! As the saying goes, clear waters can't hide a lot of riches.

How did you actually get the "<400sgd per bed" from the level3 valuation reports in AR23? And for the "advertised rates", are them the actual transacted rates? Do big customers get a bulk discount for their big corporate orders? Are there VBs who work in construction firm HRs to cross check these rates?

[Behappyalways]

For your information

https://sginvestors.io/analysts/research...2024-10-14

Its average rental rate per bed is $450-500/bed
Vs some rates at $600/bed, this implying some scope for positive rental reversions in the next 12-18 months

https://sginvestors.io/analysts/research...2024-08-20