Annual Report 2022: Lower travel activity affected the result
In 2022, SOS International helped over 1 million people with roadside assistance, psychological advice, medical treatment abroad and much more. Despite a negative result, SOS International is financially solid.
After a couple of years heavily impacted by the Covid-19 pandemic, and after the restrictions imposed on society were lifted, the second half of 2022 appeared to be a return to normal.
But continued impact of Covid-19 pandemic in some parts of the world and the war in Ukraine affected especially the travel assistance business during 2022. The flight cancellations and lack of airport capacity throughout the summer season had a significant impact on travel activity as well as the complexity of the travel assistance cases. As a result, both the top line and the bottom line of the Travelcare Division were affected.
On the other hand, the economic situation did not affect the Mobility Division negatively compared to 2019 (i.e. pre-Covid), even though 2022 brought higher fuel prices, rising interest rates and inflation.
Similarly, our Healthcare business has not been notably affected by the pandemic or inflation. The need for psychological treatment is currently rising and the Healthcare business has experienced a remarkably growth, especially in Sweden.
Organisational changes were also part of the mix for 2022. Jon Risfelt was elected as new chairman of the Board, and three new EVPs joined SOS International to become members of our Group Management.
A strategy process to transform the company was initiated in 2022. The transformation process is planned to continue in the coming years and will lead the company into an even stronger market position.
In terms of financial performance, our earnings before tax (EBT) amounted to a loss of DKK 47 million in 2022. This reflects the lower activity level in the Travelcare Division during the first half of the year. The aftermath of Covid-19 as well as inflation and the financial uncertainty are contributing reasons why travel activity has not bounced back to the same level as before the pandemic.
Despite the negative result, SOS International is financially solid with an equity of DKK 348 million and a solvency ratio of 47%.
Sustainability in SOS International
Sustainability is of increasing importance to SOS International and together with our stakeholders we work to find ways to further support this agenda in the years ahead. Please read our sustainability report to learn more about our approach.
In our annual sustainability report you can read about our efforts within our three signature areas:
- Climate and Environment
- People and Health
- Ethics and Security