Paf posts 23% YoY revenue rise for 2022

Paf has posted a 23% year-on-year (YoY) increase in full-year 2022 revenue to €165.7m as the operator pointed towards improved performance in Europe and its cruise ship business.

The Åland Islands-based firm saw online revenue jump from €121.2m in 2021 to €142.1m in 2022, which was driven by the group’s Swedish and Spanish businesses as well as growth in customer numbers.

In fact, the number of registered accounts increased by 44% YoY from 336,206 to 482,595. Paf noted that it expects this figure to increase throughout 2024.

Elsewhere, operating profit increased 36% from €35.7m to €48.5m.

Profit jumped from €34.3m to €44.4m, with the firm noting an €8m benefit due to a temporary reduction in lottery tax in Finland.

Paf said it would distribute €33.1m to good causes, which will take its total donated to such causes to more than €400m since the group’s foundation in 1966.

In terms of Paf’s land- and ship-based operations, revenue increased from €13.8m in 2021 to €23.5m in 2022 as customers returned following Covid-19.

The operator noted that customer numbers in the vertical is still below pre-pandemic levels but is aiming to increase the figure throughout 2023.

Paf also detailed the revenue breakdown for its customers within its various loss limit boundaries.

The majority of Paf’s customers, 76.9%, come from the €8,000 per year loss limit band, an increase on the 70.5% in 2021.

In April, the firm introduced further mandatory loss limits which saw them drop from a maximum of €20,000 to €17,500.

Loss limits for customers aged 18 and 19 have been slashed from €10,000 to just €1,800. Paf expects the measures to result in a €7m loss for the business.

Christer Fahlstedt, Paf CEO, said: “We are pleased with last year, it is a good result and a testament to our ability to deliver. We are doing much better in Sweden, Switzerland and Spain. In addition, our ship operations have largely recovered.”