“Year 2021 was the second year under Covid-19 pandemic, but Paptic continued for the third year in a row to grow company revenue at growth speed of over 2.5x per annum. Month by month we set new monthly revenue records during H2/2021. At the end of the year, our revenue for 2021 was EUR 3.3 million, beating even our own forecast made during the year. This superb result is due to excellent performance of the Paptic sales team.
The year 2021 was also colored with intense fluctuation in the market, witnessing huge increases of prices of all key raw materials and we are all familiar with the news of the soaring energy prices. With this headwind taken into account, the year 2021 was a massive success for Paptic.
The growth of our business is naturally thanks to the company’s great customers. During the year, we have announced a strong list of success cases with international and well-known brands and retailers. Here’s a short recap of some of the cases:
Accent Diffusion, a French packaging company, took Paptic® into use in their Woopak® range. This packaging can already be found in French supermarkets. More recently, also a Finnish home textile brand Familon, started using WOOPAK and Paptic® in their pillow and quilt packaging in January 2022.
COS, a global brand of the Swedish fast-fashion brand H&M, started using Paptic® based product packaging for T-shirts in 2021.
Decathlon Singapore, switched to Paptic® in their e-commerce mailers.
In general, the pandemic has slowed down new business generation, but in 2021 the market has been recovering well. Our expectation has been, that the overall macrotrend of sustainability is not wavering but rather gaining ground faster and faster.
During 2021, we completed the private placement round initiated already in 2020 by welcoming a new shareholder Itochu Fiber Limited. The transaction was closed in August with an EUR 2 million investment. As Itochu Group is one of the leading Japanese trading houses, the partnership will also entail a distribution partnership of Paptic products in the Japanese market.
Two new product families were launched in 2021. Paptic Apus® and Paptic Apus Seal® for flexible product packaging applications are now in market validation phase. Paptic Sterna®, for high volume retail and product packaging applications, is already enjoying growing demand and order intake.
During the year, Paptic team has warmly welcomed six new members in the sales, sustainability, technology and marketing teams, all being necessary recruitments to support our growth. In 2022, we will continue to hire new talents for the company in quality management, technology and R&D positions. Please check the recently updated www.paptic.com/careers website for further info on open positions.
The target in 2022 is to continue the sustainable growth at above 3x speed per annum. In numbers, we are targeting to beat EUR 10 million in sales of Paptic® materials. With the record high order book at the turn of the year, January 2022 breaking again the monthly invoicing record, and steady order intake continuing in 2022, this is a very realistic target.
Therefore, we are starting the year 2022 with a positive attitude towards our ambitious growth targets and I’m sure that we will reach these set targets. The timing is our warm friend, our offering matches the market demand perfectly, and our excellent team is our best asset to address this challenge.”
Co-Founder and CEO