You were hoping to see the list of rich people, but I show you which companies paid the most income tax to Rauma budget instead.
The salaries and incomes (dividends, sale of real estate, inheritance etc) of people are public in Finland! So maybe I just bring out one name to give respect for the support he has given to the town in taxes. One of the owners of Oras, Pertti Paasikivi, made 48 times the average Rauma income. He paid 39% of his revenues to the city budget in 2017.
In Rauma, as many as eight companies paid over € 1 million in corporate taxes in 2017. The largest, Länsi-Suomen Osuuspankki, paid 5 million euros taxes. ( 3.8 mEUR a year earlier).
Rauma’s corporate income tax is 20%. It is the difference between taxable income and deductible expenses. In 2017, companies in Rauma paid 31.1 million EUR in corporate income tax. Here is the list of 10 biggest Rauma companies in terms of taxes paid.
The first one: Länsi- Suomen Osuuspankki
OP Länsi-Suomi (officially known as Länsi-Suomen Osuuspankki) is one of OP Financial Group’s largest banks and the leading bank in its business area. The bank has 6 offices and 5 meeting places in four cities and six municipalities, as well as network, mobile and telephone services. The bank has more than 142,000 customers, half of which are owner-customers. More than 200 employees.
2. Rolls-Royce OY AB / new name is KONGSBERG!
The Rauma propeller equipment business is now done under the name of Kongsberg Maritime Finland.
British Rolls-Royce sold its loss-making shipping business to Kongsberg, a Norwegian defense equipment company, for £ 500 million. Read about the merger here.
In Finland, Rolls-Royce’s shipping business includes a factory that manufactures ship propellers in Rauma, which employs some 470 people. There are also activities in Turku and Kokkola. The company employs approximately 500 people in Finland.
The business to be sold includes engines and supplies for the oil refining industry. According to the Kongsberg press release, the deal did not include Bergen engines or Rolls-Royce fleet products.
In the future, the Rolls-Royce group will focus on three sectors: civil aviation technology, defense equipment industry and energy equipment and nuclear technology. The reason for the abandonment of the Rauma mill is the poor profitability of marine technology, which is the result of a decrease in oil and gas prices. Investments in search and production vessels have also decreased. The investment in Rauma’s production facilities is nearly 60 mEUR (Kauppalehti).
In 2011, Rolls Royce brought more than half (n 16.4 mEUR) of Rauma’s corporate taxes. “The city of Rauma can thank the propeller manufacturer Rolls Royce as a true benefactor,” wrote newspaper Länsi- Suomi. Other good corporate tax payers in 2011 were Länsi-Suomen Osuuspankki, Alfa Laval Aalborg, Raumaster, Steerprop and Osuuskauppa Keula.
3. Raumaster OY
Approximately 70 per cent of Raumaster’s net sales for industrial conveyor systems come from exports. The company was founded in 1984.
Talouselämä magazine’s traditional 500 largest companies in Finland listed 8 companies from the Rauma region in 2018. Of these only one company received the perfect 10 points – the Raumaster Group. The company made EUR 8 million net profit with a turnover of EUR 115 million.
4. Forchem OY
In 2017, Forchem, a tall oil refinery in Rauma, paid a corporation tax of nearly 1.8 mEUR, a million more the previous year. The company’s net sales in 2015 were 135 mEUR and the number of employees was 45. Forchem is one of Rauma’s largest companies in terms of turnover.
5. Oras OY
Oras Group, which manufactures kitchen and bathroom fittings and valves, employs 1443 people in 20 countries. Oras Group is owned by the family company Oras Invest.
The Group has two strong brands, Oras and Hansa. The group’s headquarters are in Rauma and factories in Rauma, Burglengenfeld in Germany, Kralovice in the Czech Republic and Olesno in Poland.
The factory in Burglengenfeld in Germany will be closed soon and its production will be shifted to the Polish plant. The role of Rauma will be stronger as the production is shifted to the rest of the factories. There are about 500 employees in Finland.
Oras Group’s net sales for 2018 were 228 mEUR and operating profit was 7 mEUR. Net sales decreased by 7%. In the Nordic countries, Oras faucet products were well traded, but sales in the Hansa brand in Central Europe declined. “We lost market shares in cheaper price groups. In advanced tap products, the market share remained good in Central Europe. Demand for Oras Touchless taps is growing in Europe.”
6. LähiTapiolan Lännen Keskinäinen Vakuutusyhtiö
LähiTapiola Lännen operates in South and Central Satakunta and Vakka-Finland as a leading and financially sound insurer in home, farm and corporate insurance.
The company has 61,000 customers and 95 employees. In 2018, non-life insurance indemnities were paid to customers in the amount of EUR 724 million, an increase of 11 percent compared to the previous year. The company is the market leader in car insurance.
7. Kivikylän Kotipalvaamo OY
The turnover of Kivikylä Kotipalvaamo increased by 13% in 2017 to EUR 64 million. It was a good result in the meat business, where competition is tight. “The company was not even doing the discounts and campaigns.” In 2017, the company employed 285 people.
Since 2010, the company has been the name sponsor for the Lukko ice hall. Co-operation has given Kivikylä its national visibility.
8. Alfa Laval Aalborg OY
Alfa Laval Aalborg operates in designing and manufacturing of oil-fired boilers and exhaust gas economizers for ships as well as heat recovery systems for land-based industrial power plants but also waste heat recovery solutions for process industry.
Turnover for 2018 was 50 million euros. Rauma employs a total of 65 people.
Alfa Laval Aalborg is part of the Swedish Alfa Laval Group, but the company’s history dates back to 1964, when Uusikaupunki’s Shipyard started manufacturing boilers in Uusikaupunki. Subsequently, as a result of the acquisition, the company became the owner of the then docking company Finnyards, becoming part of Pipemasters Oy. In 1994, the product range also included heat recovery systems for power plants. The Danish company Aalborg Industries A / S acquired Pipemasters Oy in 1997. The company changed its name to Aalborg Industries Oy. As a result of the acquisition in 2011, the entire Aalborg Industries Group was transferred to Alfa Laval and thus formed the current Alfa Laval Aalborg Oy.
9. Osuuskauppa Keula
Osuuskauppa Keula runs a number of shops in Rauma. The company is owned by its 30,000 customers.
Keula’s net sales for the past year (2018) were 152 mEUR, of which operating profit was 4 mEUR. The company employs 500 people.
The company’s business areas are supermarket and specialty goods, ABC business and restaurant business. In Rauma they have one Prisma, 7 S-market shops, 9 Sale shops, Kortela ABC gas station-shop, service station Talliketo, 6 ABC-automatic gas stations, Emotion cosmetics shop, hair salon Rauman HiusPrisma, Amarillo bar-restaurant, 2 Presso cafes, PizzaBuffa, Laitilan Tupa restaurant at the Laitila gas station and Hesburger burger sales points at Prisma supermarket, ABC Kortela gas station and Laitila Business Center.
Keula’s market share in Rauma’s food trade is about 52% (2019). Rauma Prisma supermarket area will be expanded by 3000 m2. The renovation costs 10mEUR. The current Prisma of about 13,000 square meters was opened in 2007. The investment proved to be very profitable and the last long-term bank loan was disbursed in January 2019.
Keula was established 115 years ago. In 1903, Otto Palen, a man from Rauma, invited 30 craftsmen and professionals gathered at the temperance society (the association of sober people) on Kalatori market in Rauma. As a result of this unanimous meeting, the Rauma cooperative society was established. Three years later they bought on Kauppakatu the city’s most beautiful house. In 1913, the Rauma Cooperative had already 9 stores.
10. RTK Palvelu OY
RTK-Palvelu Oy is a Finnish specialist in real estate services, employing over 3,000 professionals in over 30 locations. Turnover is n 115 mEUR.
RTK Service is part of the Finnish Contineo Group, which provides nationwide cleaning, real estate and industrial services and customer-oriented personnel services. Contineo also offers sporting entertainment and a variety of restaurant and event services. The Group includes RTK-Palvelu Oy, RTK-Henkilöstöpalvelu Oy, Rauman Lukko Oy and Helmiranta Wellness and Experience Center.
The top taxpaying companies. The taxable income and the taxes they paid to Rauma city in 2017.