CENTRAL SECURITIES CORPORATION
_________
INTERIM REPORT TO STOCKHOLDERS
AS OF SEPTEMBER 30, 2019
[2]
To the Stockholders of
Central Securities Corporation:
Financial data for the period ended September 30, 2019 prepared by management without audit by our independent registered public accounting firm and other pertinent information are submitted herewith.
Comparative net assets are as follows:
|
|
|
Sept. 30, 2019 |
|
June 30, 2019 |
|
Dec. 31, 2018 |
|
Net assets |
|
$953,969,739 |
|
$935,765,992 |
|
$765,342,588 |
|
Net assets per share of Common Stock |
|
$37.44 |
|
$36.72 |
|
$30.02 |
|
Shares of Common Stock outstanding |
|
25,482,666 |
|
25,482,666 |
|
25,496,847 |
Comparative operating results are as follows:
|
|
Nine months ended September 30, |
||||
|
|
|
2019 |
|
2018 |
|
|
Net investment income |
|
$11,978,114 |
|
$13,541,431 |
|
|
Per share of Common Stock |
|
.47 |
* |
.54 |
* |
|
Net realized gain on sale of investments |
|
20,225,138 |
|
20,751,765 |
|
|
Increase in net unrealized appreciation of investments |
|
161,862,151 |
|
36,651,299 |
|
|
Increase in net assets resulting from operations |
|
194,065,403 |
|
70,944,495 |
|
* Per-share data are based on the average number of Common shares outstanding during the nine-month period.
During the nine months ended September 30, 2019, the Corporation purchased 17,181 shares of its Common Stock at an average price of $24.91 per share. The Corporation may from time to time purchase its Common Stock in such amounts and at such prices as the Board of Directors deems advisable in the best interests of stockholders. Purchases may be made in the open market or in private transactions directly with stockholders.
Stockholders’ inquiries are welcome.
Wilmot H. Kidd John C. Hill Andrew J. O’Neill
630 Fifth Avenue
New York, NY 10111
November 5, 2019
[3]
PRINCIPAL PORTFOLIO CHANGES
July 1 to September 30, 2019
(unaudited)
|
|
|
Number of Shares |
|||||
|
|
|
Purchased |
|
Sold |
|
Held |
|
|
Alleghany Corporation |
|
|
|
15,000 |
|
— |
|
|
Berkshire Hathaway Inc. Class A |
|
10 |
|
|
|
40 |
|
|
Brady Corporation |
|
|
|
30,000 |
|
250,000 |
|
|
Citigroup Inc. |
|
|
|
5,000 |
|
275,000 |
|
|
Johnson & Johnson |
|
5,000 |
|
|
|
90,000 |
|
|
Keysight Technologies, Inc. |
|
|
|
25,000 |
|
225,000 |
|
|
Microsoft Corporation |
|
|
|
5,000 |
|
90,000 |
|
|
Rayonier Inc. |
|
100,000 |
|
|
|
800,000 |
|
|
Ribbon Communications Inc. |
|
|
|
139,612 |
|
1,247,488 |
|
|
Roper Technologies, Inc. |
|
|
|
1,000 |
|
58,000 |
|
|
Star Group, L.P. |
|
83,806 |
|
|
|
643,898 |
|
|
Tiffany & Co. |
|
70,000 |
|
|
|
110,000 |
|
TEN LARGEST INVESTMENTS
September 30, 2019
(excluding short-term investments)
(unaudited)
|
|
|
Cost |
|
Value |
|
Percent of |
|
Year First |
|
|
|
(millions) |
|
|
|
|
||
|
The Plymouth Rock Company, Inc. |
|
$0.7 |
|
$216.0 |
|
22.6% |
|
1982 |
|
Coherent, Inc. |
|
13.5 |
|
53.8 |
|
5.6 |
|
2007 |
|
Analog Devices, Inc. |
|
6.2 |
|
50.3 |
|
5.3 |
|
1987 |
|
Intel Corporation |
|
7.6 |
|
43.3 |
|
4.5 |
|
1986 |
|
Motorola Solutions, Inc. |
|
11.1 |
|
42.6 |
|
4.5 |
|
2000 |
|
Hess Corporation |
|
31.2 |
|
42.3 |
|
4.4 |
|
2017 |
|
Capital One Financial Corporation |
|
20.2 |
|
30.0 |
|
3.1 |
|
2013 |
|
JPMorgan Chase & Co. |
|
13.0 |
|
27.1 |
|
2.8 |
|
2010 |
|
Amazon.com |
|
3.8 |
|
22.6 |
|
2.4 |
|
2014 |
|
Rayonier Inc. |
|
23.7 |
|
22.6 |
|
2.4 |
|
2014 |
|
|
|
|
|
|
|
|
|
|
[4]
BOARD OF DIRECTORS
Wilmot H. Kidd, Chairman
L. Price Blackford, Lead Independent Director
Simms C. Browning
Donald G. Calder
David C. Colander
Jay R. Inglis
Wilmot H. Kidd IV
C. Carter Walker, Jr., Director Emeritus
OFFICERS
Wilmot H. Kidd, Chief Executive Officer
John C. Hill, President
Marlene A. Krumholz, Vice President and Secretary
Andrew J. O’Neill, Vice President
Lawrence P. Vogel, Vice President and Treasurer
OFFICE
630 Fifth Avenue
New York, NY 10111
212-698-2020
866-593-2507 (toll free)
www.centralsecurities.com
TRANSFER AGENT AND REGISTRAR
Computershare Trust Company, N.A.
P. O. Box 505000, Louisville, KY 40233
800-756-8200
www.computershare.com
CUSTODIAN
UMB Bank, n.a.
Kansas City, MO
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
KPMG LLP
New York, NY