A hidden champion
Brazilian logistics riding high, despite political conditions. Expectations were cautious in international business circles after Brazil’s new government took power. Since the beginning of 2023 the signs have pointed towards an upswing, however, with the logistics sector, which was long restrained, also making progress. Wilson Sons, one of Brazil’s oldest firms and a port and maritime operator since 1837, is also in the mix.
The Brazilian economy has surprised forecasters so far in 2023, as it has displayed much more positive developments than expected at the beginning of this year. The good news includes the launch of numerous infrastructure projects – including the construction of the Ferrogrão–Miritituba railway line over a length of 933 km, a higher trade surplus than in the previous year (30% better so far), the upgrading by the rating agency Fitch of Brazil’s standing from BB– to Boeing, and the appreciation of the Brazilian real (BRL).
The logistics industry has played its part. Wilson Sons, for example, one of Brazil’s oldest firms and a port and maritime operator since 1837, has reported good results in the first half of 2023.
The figures are spot on
In the first half of this year Wilson Sons, which is listed on the stock exchange, increased its turnover to BRL 1.2 billion (USD 240 million; +9% year-on-year). The firm also improved its ebitda by 13%, to BRL 497 million (USD 99.4 million), and posted a total net profit of BRL 197 million (USD 39.4 million). This represents a rise of 23% over H1 / 2022.
These good developments are reflected at every level. Its Tecon Rio Grande container terminal, for example, recorded a 12% growth in volumes, with higher throughput figures partially also due to increasing inland shipping volumes.
Volumes in all of its box facilities grew by 7%, whilst revenues improved by 6% in H1 / 2023. Wilson Sons’ ebitda was up by 1%. The Bahia terminal completed the upgrade of its quay in August this year and therefore expects traffic to increase in the first half of 2023.
Adding a tug to its fleet
The tugboat division benefited from the boom in the Brazilian commodities segment and increased its ebitda by approximately 10%. In April, Wilson Sons’ fleet of 80 vessels was expanded by the addition of the WS Rosalvo, with 91 t static traction; it moves large iron-ore and oil tankers in the port of Açu.
Demand for berths at offshore bases improved in the first half of 2023, increasing at the rather substantial rate of 68%. Wilson Sons CEO Fernando Salek was pleased with his corporation’s “strong organic growth.”