It looks to have been shot with 2.2x digital zoom which could explain the granularity. I would suggest, as the first thing I do on P&S's, disable the digital zoom and stick with plain optical. If you can't get close enough then zoom with your feet.
Very nice shot in it's compostion and great you were there at the right time, it has great potential
Have you done any processing in PhotoShop and the like?
Oh and finally, welcome to the forum