Costs trim Tropical Shipping’s income

Costs trim Tropical ShippingÆs income Faced with increased costs for bunker fuel and inland transportation, Tropical Shipping's operating income decreased 15.5 percent for both the second quarter and the first half, Tropical parent company Nicor Inc. reported Tuesday.
   Tropical's operating income for the quarter decreased to $8.7 million from $10.3 million. Operating income for the first half dropped to $19 million from $22.5 million compared to the same periods in 2005.
   Revenue for the first half was up 3.8 percent to $189.8 million. Operating expenses for the shipping unit increased to $85.8 million from $82 million during the second quarter. Operating expenses for the first half increased to $170.8 from $160.3.
   'Declines in both periods were due primarily to higher operating costs relating to higher transportation-related expenses (including fuel and inland freight costs), employee-related costs and leased equipment,' a statement from Nicor said.
   'Partially offsetting these negative factors were increased revenues from higher average rates, offset in part by the impact of lower volumes shipped.'