Ocean Wilsons (holdings)... Share Discussion Threads

[galeforce1] 25/5/2018 10:17

There's often a dip at this time of year, when OCN has gone ex-dividend.

Perhaps the company should consider paying an interim and a final dividend, rather than paying the whole dividend once a year.

Personally I think this is a good share to hold log-term for income and capital growth. It's paying almost 5%, and it's a solid business that should continue to grow its profits.

The political backdrop in Brazil is always a bit worrying, but you can say that about some other countries I can think of - for instance the UK!

[podgyted] 25/5/2018 09:53

Sold out. EM, especially in South America seem to be having a torrid time at the moment. Lorry drivers strike in Brazil. Think we'll have another market correction which will impact the investment portfolio. So, don't think it's looking good for OCN at the moment.

Will probably be back at some time in the future.

Good Luck

[dozey3] 19/3/2018 08:00

Good results today:
“
José Francisco Gouvêa Vieira, Chairman of Ocean Wilsons, commented:"The Group delivered a strong performance in 2017 from both our Brazilian and investment portfolio businesses. Profit before tax for the year increased US$28.0 million to US$145.5 million compared to US$117.5 million principally due to strong gains from the investment portfolio and increased operating profit. Revenue for the full year grew 9% to US$496.3 million principally due to higher port terminal and logistics revenue."
And dividend up 11%. Has cemented its Place in my portfolio as immune to Brexit, probably Trump and Sterling.

[galeforce1] 16/2/2018 16:59

It's not a very liquid share, and the free float isn't that big. Less than 25,000 shares traded today.

Only takes a persistent seller to push the price down a few %, or a persistent buyer to push it up a few %.

These dips are usually a buying opportunity in OCN. There's certainly been no obvious bad news. The container port volumes report for Q4 was good.

But we'll know more when we see the preliminary results at the end of March.

[ntv] 16/2/2018 12:08

why the drop here, closed out flat but it is falling away
getting close to support

[wirralowl] 03/1/2018 12:15

One of Stockopedia's NAPS for 2018...

[ppreston1] 03/1/2018 09:50

Steady progress

[ppreston1] 28/12/2017 13:08

Looking better. Buyers are starting to return. Hopefully reached the bottom. Just bought a few more.

[ppreston1] 21/12/2017 10:32

There goes the 200 dma. No idea what's driving these down but getting pretty uncomfortable now. Cheap as chips based on broker estimates.

[topvest] 20/12/2017 20:57

Yes, I would guess at that being a good call. Think it will bounce soon.

[essential] 20/12/2017 17:07

Very high stockrank. Just bought in as around 200 dma - let's see if it gets support there

[galeforce1] 21/11/2017 15:58

Strange that this has had an almost 10% fall in the last week.
Wilson Sons share price looks quite strong in Brazil, so perhaps this is an opportunity to add.

[dozey3] 13/11/2017 12:12

Solid hold imo in any portfolio wishing to diversify away from Brexit, and interested in the healthy non-Sterling dividend.

[flyfisher] 13/11/2017 09:29

A good portfolio performance in Q3 and after the recent rise in the share price OCN still trades at a 25% discount to a SOTP valuation.

[last of the mohicans] 20/10/2017 04:07

17/10/2017 - Brazilian Terminal Upgrades TOS for More Megaship Traffic

The deal with Navis, a part of Cargotec Corporation, is part of a larger, multi-year investment in the latest infrastructure, technology and automation solutions for the terminal, enabling Tecon Salvador to optimize operations and support changing business requirements for larger ships and container volumes.

Located in the state of Bahia, Tecon Salvador is the leading dock operator in Northern Brazil, and the only terminal in the country with exclusive roadway access to the BR-324 highway, connecting trucks to the terminal without interference with city traffic, speeding up the cargo release time as a result.

Presently, the terminal handles 310,000 TEUs annually and averages approximately 60 moves per hour.

Demir Lourenço, Terminal Managing Director, Tecon Salvador, said: “Our goal is to offer the best possible service to our customers and the N4 terminal system was the only choice to help us achieve new levels of efficiency and productivity.

“N4 came highly recommended due to its success at some of the world’s leading container terminals.

"We are confident that its application here at Tecon Salvador will help solidify our position as one of the most modern facilities in Brazil.”

Chuck Schneider, Vice President and General Manager, Americas, said: “Like many other container terminals globally, Tecon Salvador is eager to demonstrate its commitment to the continuous improvement of its infrastructure, technology, people and processes in order to align with customer needs.

“The implementation of N4 delivers on this promise.

"We are proud to partner with Tecon Salvador on this undertaking and are confident that the terminal and its customers will soon see marked benefits with the new N4 system in place.”

----------------------------------------------------------------
You could say its them following Tecon RG



05/5/2017 - Tecon Rio Grande upgrades to N4 TOS

The developments at the terminal in southern Brazil are expected to increase productivity by 45% according to the TOS provider.

The facility, which is a subsidiary of Wilson Sons Group, manages 98% of the containerised cargo that passes through the Port of Rio Grande.

With 24/7 operations, the terminal currently handles 720,000 teu annually with an average of 55.5 berth moves per hour.

Following the N4 implementation and acquisition of new equipment, Tecon RG is targeting an increase in moves per hour from 55.5 to 80 through the end of 2017 and then to 100 as of 2018.

The terminal recently acquired 11 new pieces of quay and yard equipment, and upgraded to N4 as part of its larger initiative to optimise operations.

Paulo Bertinetti, terminal executive president director at Tecon RG, said that the N4 project was part of the terminal’s modernisation, preparing it to deal with larger vessels and the “challenging business environment”.

The terminal selected N4 after working with the Navis platform for several years.

Chuck Schneider, Navis vice president and general manager, Americas, said: “Thanks in large part to consolidation taking place within the industry, Tecon RG is facing a tremendous increase in cargo volumes arriving on megaships in the coming years.

“Despite the rising volume, the terminal is committed to providing its customers reliable service, strong productivity, and efficient, automated processes through its investments in new equipment and systems.”

Tecon RG is also utilising Navis’s PrimeRoute, Expert Decking and AutoStow optimisation modules.

As a next step in their engagement, the terminal will implement a Navis Business Intelligence project to unlock terminal system data and provide operational insights for terminal improvements to its management team.

LOTM

[piedro] 11/10/2017 12:33

FWIW,

Edison Investment Research:
Ocean Wilsons Holdings
Making headway in a challenging environment
11 October 2017 | Investment companies, Ocean Wilsons Holdings, Update

Download printable PDF

[piedro] 10/10/2017 13:12

Dozey3, when considering the activity figures for September and October,{when we get there}, please bear in mind that c.5 hurricanes will have passed through the Caribe during that period, disrupting the shipping apart from other damages ....

[dozey3] 10/10/2017 10:25

Btw I agree with tttie’s comments. Ups and downs are to be expected, but for diversification away from the UK with generous dollar denominated dividend and prospects of growth OCN is a strong hold IMO.

[dozey3] 10/10/2017 08:36

Today’s activity figures seem rather better than previously.

[trytotakeiteasy] 03/10/2017 13:14

LOTM - you raise valid points but I think your overall slant is unduly bearish. Brazil is just exiting a two year downturn. Wilson Sons has a very inexpensive P/E rating and offers a good dividend. Container terminal and tugboat demand are the two two key drivers and are linked to Brazil's economic recovery. Wilson Sons recently held an investor day and is optimistic about container terminal and tugboat demand. Wilson Sons is the leading tugboat business in Brazil.

At the end of the day the forecast Wilson Sons P/E is 10.7X for 2018 with a 4.7% yield and 9.6X in 2019 with a 5.2% yield. Borrowing is at a very low rate of interest. EBITDA is expected to cover interest 28X in 2017 and net debt to EBITDA is expected to be 1.5X.

In my view, you are focusing on a small part of the business to extrapolate an unwarranted bearish case.

[flyfisher] 03/10/2017 13:07

WSON33 share price in on new multi year highs and yet OCN lags £3 below highs and is at a 35% discount to a SOTP valuation, which is at the higher end of its range.

Growth should come from an improvement in the brazilian economy and an improvement in ports capacity and efficiency.

[last of the mohicans] 28/9/2017 00:36

Trytotakeiteasy,

Where's the future growth coming from ?

Tecon Salvador, has legal issues to get over before it can expand any further. There's no sign of them buying up or even trying to buy up / start up another container terminal.

Towage has little room for growth at the moment.

Ship building is doing very little, as is bonded warehousing.

All that debt has to be repaid on the PSV fleet & $100M plus invested in oil & gas and doing nothing with a ticking time limit is another noose around the company. The numbers you refer to are low, but always will be, there's not that many oil & gas players in the first place. Yes it was a small share in 2016 because day rates and margins everywhere else in the sector were being squeezed, but that's the sector they pinned there hopes on for real growth in the coming years and its now going to be delayed considerably.

Yes flyfisher the recent rise in the WSON33 share price is strange when you take into account all of the above.

LOTM

[trytotakeiteasy] 27/9/2017 12:27

Last of the Mohicans - I meant not significant relevant to the current drivers of total profit for Wilson Sons. Only 17% of clients are related to offshore support. Only 17% of 2016 EBITDA was driven by the offshore Vessels JV. See slides 5 and slides 27 below:



The reality is that the business is driven by towage and container terminal ports. Both areas made up 78% of 2016 total EBITDA. With Brazil's economy recovering and trade on a growing global trend the backdrop is positive for Wilson Sons.

[flyfisher] 27/9/2017 12:12

Fair point LOTM, but a greater issue was announced with the Q1 results of WSON33, with the Brazilian Federal Government having lifted the payroll tax exemption from 1 July 2017, with a net EBITDA impact of approx US$5.8M.

Rather surprisingly in light of that announcement, the wson33 share price has shrugged it off and been very firm, having increased by over 20% in recent weeks.

With hindsight, the company went into the O&G j/v at the top of the cycle and is getting no return for it.