Essity driving sound investments for a healthier world
The company stands out for global leadership, innovation and sustainability transforming into a strategic investment opportunity
Magnus Groth, president and CEO of Essity, said, “At Essity, innovation drives our competitiveness and accelerates growth opportunities, now and in the future. We innovate to ensure customer and consumer satisfaction, to increase sales and profits, and to lead in sustainability.”
The company’s commitment to the hygiene and health of one billion people in approximately 150 countries positions it as the undisputed leader in the products market. It stands out for its leading brands and successful innovations, ranking first or second in 90% of brand sales. Among its most outstanding flagships are the TENA and Tork brands, which consolidate its position as a world leader in the market.
Sustainability is a central pillar of the company’s strategy for long-term profitable growth. The company is committed to achieving net zero emissions by 2050, with recognitions such as AAA in MSCI ESG rating and its inclusion in the CDP A List for its efforts against deforestation, in addition to leading in diversity according to the Financial Times.
During the past year, 68% of Essity’s innovations contributed to social and/or environmental improvements, reinforcing its commitment to social responsibility. Essity’s value creation strategy focuses on profitable product segments, fast-growing sales channels and a strong presence in North America, Latin America and Southeast Asia. Notably, e-commerce representing 16% and emerging markets 37% of sales by 2022.
Essity’s attractive financial profile is reflected in a stable business with solid cash flow. In addition, the financial policy aims to ensure stable and growing dividends, experiencing an increase of
26% over the period 2018-2022. In terms of financial targets, the company is targeting annual sales growth of over 5% and an adjusted return on capital employed of over 17% by 2025.
Essity’s proven execution is manifested in the robust development and successful restructuring of the production structure and portfolio. These achievements are backed by a results-driven corporate culture and high employee engagement, cementing Essity’s position as an industry benchmark.
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