Ocean Wilsons' real problem

Shipping services provider Ocean Wilsons grew its revenues in 2010 but currency movements and higher costs led to a drop in profit. Brazil is the focus of the company's activities. Revenues grew by one-fifth to $575.6m as port and logistics revenues grew. However, there was a decline in profit from $139.8m to $117.2m. The decline was exacerbated by a much lower gain on investments and a big exchange gain on cash balances in 2009 was not repeated at the same level in 2010. During 2010, the Brazilian real appreciated by 5% against the US dollar. However, the average exchange rate was 12% lower in 2010 and that increased dollar costs. There was a $20.4m accounting profit on the setting up of a new joint venture. Net debt was just over $195m at the end of 2010. A final dividend of 38 cents a share has been announced. The total for the year is unchanged at 42 cents a share.