Essity — Interim / Quarterly Report 2024

Apr 25, 2024

Interim Report

Quarter 1, 2024

essity

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Essity Aktiebolag (publ)
Interim Report Q1 2024

High profitability and strong cash flow

Quarter 1, 2024

• Net sales decreased 4.1% to SEK 34,850m (36,352)
• Organic growth amounted to -4.0%, of which volume accounted for -1.8% and price/mix -2.2%. Excluding restructuring and exited contracts, volumes increased 0.6%.
• EBITA increased 4% to SEK 4,523m (4,368)
• EBITA excl. IAC increased 14% to SEK 4,880m (4,281) and the EBITA margin excl. IAC increased 2.2 percentage points to 14.0% (11.8)
• ROCE increased to 15.9% (15.5) and ROCE excl. IAC increased 2.0 percentage points to 17.2% (15.2).
• Operating cash flow increased 48% to SEK 4,253m (2,870)
• Essity completed the divestment of all shares in the subsidiary Vinda. The sales proceeds amounted to approximately SEK 19bn and the profit from divestment to approximately SEK 9bn. Vinda is reported as discontinued operations.
• Profit for the period, total operations, amounted to SEK 11,493m (2,703)
• Earnings per share, continuing operations, amounted to SEK 3.51 (3.75)
• Earnings per share, total operations, increased to SEK 16.21 (3.79)

-4.0% 14.0% 17.2%

Sales growth (organic and acquisitions) EBITA margin excl. IAC ROCE excl. IAC

Financial overview, continuing operations

	2024:1	2023:1	%
Net sales, SEKm	34,850	36,352	-4
Organic sales growth, %	-4.0	15.9
EBITA, SEKm	4,523	4,368	4
EBITA margin, %	13.0	12.0
EBITA excl. IAC, SEKm	4,880	4,281	14
EBITA margin excl. IAC, %	14.0	11.8
Profit for the period, SEKm	2,477	2,651	-7
Earnings per share, SEK	3.51	3.75	-7
Earnings per share excl. IAC and amortization of acquisition-related intangible assets, SEK	4.33	3.93	10
ROCE, %	15.9	15.5
ROCE excl. IAC, %	17.2	15.2
Operating cash flow, SEKm	4,253	2,870	48

Financial overview, total operations

	2024:1	2023:1	%
Profit for the period, SEKm	11,493	2,703	325
Earnings per share, SEK	16.21	3.79	327
Net debt / EBITDA excl. IAC	1.34	2.89

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Essity Aktiebolag (publ)
Interim Report Q1 2024
2

CEO's comments

Essity had a strong first quarter with all three business areas increasing their margins. Volume growth excluding restructuring was positive. Our focus as we move forward remains on growing volume and gaining market share with good profitability. During the quarter, we received the proceeds from the sale of shares in Vinda of approximately SEK 19bn, which together with sustained high cash flow strengthened the balance sheet.

Innovation-driven growth

Volume growth was positive for the quarter, except for the impact of restructuring measures implemented in Professional Hygiene and contracts exited in Incontinence Products Health Care. In Consumer Goods, Feminine Care gained market shares and Incontinence Products Retail continued to grow strongly.

“Essity is in better shape than ever. The pace of innovation is high, which provides us with a good foundation for growth moving forward and to gain market shares.”

By increasing investments in sales and marketing in our segments with the highest margins, the product mix remained positive. The mix this quarter was mainly driven by Professional Hygiene and Health & Medical. The pace of innovation is high, which provides us with a good foundation for growth moving forward and to gain market shares.

Higher margins

Margins were higher for all business areas. We have had a good price discipline despite lower costs for raw materials and energy compared with one year ago. The gap between our sales prices and costs has thus increased. In addition, we achieved good cost savings for the quarter through continuous efficiency improvements, primarily in sourcing and material rationalizations.

Strong cash flow and a good financial position

During the quarter, we received proceeds of approximately SEK 19bn from the sale of shares in Vinda. The transaction entailed a profit from divestment of approximately SEK 9bn. We also continued to generate strong cash flow in operations, providing us with a good financial position. Essity is in better shape than ever.

Magnus Groth

President and CEO

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Essity Aktiebolag (publ)
Interim Report Q1 2024
3

Group

Net sales

Net sales decreased 4.1% in the first quarter of 2024 compared with the corresponding period a year ago and amounted to SEK 34,850m (36,352).

Sales growth decreased 4.0%. Volumes were lower, mainly related to restructuring in Professional Hygiene and exited contracts with insufficient profitability in Incontinence Products Health Care. Excluding these, volumes increased 0.6%. All categories in Consumer Goods reported higher volumes and the underlying volume growth in Professional Hygiene and Health & Medical was positive. Sales prices were lower, primarily in Consumer Tissue and Professional Hygiene. Health & Medical reported higher prices. Compared to quarter 4 2023, sales prices were stable for the Group. Health & Medical and Professional Hygiene contributed to a positive mix for the Group.

Change in net sales

%	2024:1 vs 2023:1
Total	-4.1
Volume	-1.8
Price/Mix	-2.2
Organic growth	-4.0
Acquisitions	0.0
Sales growth	-4.0
Divestments	-1.9
Currency	1.8

In emerging markets, which accounted for 26% of net sales, organic growth was positive, mainly driven by Latin America.

Operating profit

The gross margin increased by 3.6 percentage points to 32.1% (28.5). Gross margin excl. IAC increased 4.8 percentage points to 33.2% (28.4). The higher margin was primarily related to lower costs for raw materials and energy as well as cost savings. The savings amounted to approximately SEK 430m. Lower sales prices and volumes as well as salary inflation had a negative impact.

EBITA increased 4% to SEK 4,523m (4,368). Excl. IAC, EBITA increased 14% to SEK 4,880m (4,281) and the margin amounted to 14.0% (11.8). The improvement was primarily a result of the increased gross margin, while investments in sales and marketing were higher in order to drive growth. In addition, salary inflation increased costs. A&P as percent of net sales increased 0.7 percentage points to 5.5%.

Change in EBITA excl. IAC

	SEKm
EBITA excl. IAC 2023:1	4,281
Volume	-197
Price/Mix	-723
Cost of goods sold	2,163
Sales & Administration	-470
Currency	88
Other	-262
EBITA excl. IAC 2024:1	4,880

IAC amounted to SEK -426m (87) mainly attributable to restructuring measures.

Net sales 2403 by business area

Net sales

EBITA excl. IAC

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Essity Aktiebolag (publ)
Interim Report Q1 2024
4

Financial items

Financial items decreased to SEK -607m (-625) on account of lower average net debt. Higher interest rates had a negative impact on net interest items.

Tax

The tax expense was SEK 1,050m (809), corresponding to a tax rate of 29.8% (23.4). The tax expense excl. IAC was SEK 1,144m (803), corresponding to a tax rate of 28.9% (23.8). The tax rate was negatively affected by non-recurring items.

Profit for the period

Profit for the period, total operations, amounted to SEK 11,493m (2,703). Earnings were impacted positively by the capital gain of approximately SEK 9bn from the divestment of the holding in Vinda. Profit for the period, continuing operations, was SEK 2,477m (2,651).

Cash flow

Operating cash flow amounted to SEK 4,253m (2,870). The increase compared with the corresponding period a year ago was mainly related to a higher operating profit and a more favorable development of working capital.

The net sum of acquisitions and divestments was SEK 23,891m (-16). The increase was mainly related to the divestment of the holding in Vinda, see Note 5 Acquisitions and divestments. Dividends amounted to SEK -5,444m (-2). The dividend for 2022 was disbursed during the second quarter of 2023. Net cash flow for continuing operations was SEK 21,081m (1,540), and for discontinued operations SEK -467m (-709).

Operating cash flow statement

SEKm	2024:1	2023:1
Operating cash surplus	6,594	5,962
Change in working capital	-291	-1,506
Investments in non-current assets, net	-1,409	-1,227
Restructuring costs, etc.	-601	-162
Investments in operating assets through leases	-40	-197
Operating cash flow	4,253	2,870
Financial items	-607	-625
Income taxes paid	-1,013	-663
Other	1	-24
Cash flow from current operations	2,634	1,558
Acquisitions of Group companies and other operations	-17	-16
Divestments of Group companies and other operations	23,908	0
Cash flow before transactions with shareholders	26,525	1,542
Dividend to non-controlling interests	-1	-2
Dividend	-5,443	0
Net cash flow, continuing operations	21,081	1,540
Net cash flow, discontinued operations	-467	-709
Net cash flow, total operations	20,614	831

Operating cash flow

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Essity Aktiebolag (publ)
Interim Report Q1 2024
5

Financial position

Net debt decreased by SEK 19,440m compared with December 31, 2023, and amounted to SEK 34,263m. Net cash flow reduced net debt by SEK 20,614m. Net cash flow included compensation received for the divestment of Vinda of SEK 19,360m.

Compared to December 31, 2023, working capital increased to SEK 9,609m, mainly due to higher inventory levels and trade receivables. Higher trade payables and other current liabilities had a positive impact on working capital. Working capital amounted to 7% (5) of net sales.

Equity attributable to owners of the Parent company increased SEK 10,871m compared with December 31, 2023. Profit for the period attributable to owners of the Parent company increased SEK 16,330m, mainly related to the divestment of Vinda. The dividend of SEK 5,443m reduced equity attributable to owners of the Parent company. The Group's total equity increased SEK 2,771m during the period.

Net debt

Financial position

	2403	2303	2312
Working capital, SEKm	9,609	7,506	8,771
Capital employed, SEKm	116,439	110,265	110,750
Net debt, SEKm	34,263	62,114	53,703
Debt/equity ratio	0.42	0.84	0.68
Debt payment capacity, %	50	28	34
Net debt / EBITDA	1.46	2.93	2.16
Net debt / EBITDA excl. IAC	1.34	2.89	2.00

ROCE excl. IAC and ROE excl. IAC

Return

%	2024:1	2023:1
ROCE	15.9	15.5
ROCE excl. IAC	17.2	15.2
ROE	56.9	14.4
ROE excl. IAC	15.0	14.0

Change in net debt

SEKm	2403	2303	2312
Net debt at the beginning of the period	-53,703	-62,869	-62,869
Net cash flow	20,614	831	8,464
Remeasurements to equity	921	467	1,339
Investments in non-operating assets through leases	-211	-93	-491
Translation differences	-1,884	-450	-146
Net debt at the end of the period	-34,263	-62,114	-53,703

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Essity Aktiebolag (publ)
Interim Report Q1 2024
6

Health & Medical

• Higher prices and better product mix
• Sharp improvement in EBITA and margin, excl. IAC
• Strong cash flow

Net sales

Net sales increased organically 2.6%, driven by higher prices and an improved product mix. Prices increased for both Incontinence Products Health Care and Medical Solutions. The favorable product mix was largely related to increased sales of pants in Incontinence Products Health Care. Volumes were lower, primarily due to the earlier decision to exit contracts with insufficient profitability in Incontinence Products Health Care. Excluding the effect of these, volumes increased for Health & Medical by 0.2%.

The organic growth was mainly attributable to Europe. Latin America and Asia also reported high organic growth.

EBITA excl. IAC

EBITA and EBITA margin excl. IAC increased significantly, mainly driven by implemented price increases, a positive mix and lower costs for raw materials as well as cost savings. Sales costs increased in order to drive growth. Currency translation effects had a positive impact on earnings of SEK 27m compared with the corresponding period a year ago.

Global launch of new packaging design for JOBST compression stockings to assist consumers in choosing the right product.

Change in net sales

%	2024:1 vs 2023:1
Total	2.7
Volume	-1.2
Price/Mix	3.8
Organic growth	2.6
Acquisitions	0.0
Sales growth	2.6
Divestments	-0.9
Currency	1.0

Organic sales growth

%	2024:1 vs 2023:1	% of net sales
Incontinence Products Health Care	3.4	59
Medical Solutions	1.5	41

Financial overview

	2024:1	2023:1	%
Net sales, SEKm	6,842	6,665	3
Organic sales growth, %	2.6	10.6
Gross profit margin excl. IAC, %	45.2	37.8
EBITA excl. IAC, SEKm	1,290	777	66
EBITA margin excl. IAC, %	18.9	11.7
ROCE excl. IAC, %	15.4	9.1
Operating cash flow, SEKm	1,330	270	393

Net sales

EBITA excl. IAC

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Essity Aktiebolag (publ)
Interim Report Q1 2024
7

Consumer Goods

• Higher volumes in all categories
• Strong growth in Incontinence Products Retail
• Higher EBITA and margin, excl. IAC

Net sales

Net sales decreased organically by 4.8%, primarily as a result of lower prices in Consumer Tissue. Volumes increased for all categories and in particular for Incontinence Products Retail, where prices were also higher. The mix was slightly negative in Consumer Tissue.

In Europe, organic growth decreased which was mainly related to Consumer Tissue. Conversely, Feminine Care and Incontinence Products Retail reported high organic growth with both increased volumes and prices. Growth was also positive for Baby Care, driven by volume. In Latin America, Incontinence Products Retail reported high growth.

EBITA excl. IAC

EBITA and EBITA margin excl. IAC increased mainly due to lower costs for raw materials and energy but also with contributions from higher volumes and cost savings. Lower prices had a negative impact on earnings. Investments in marketing and sales increased in order to drive growth. The divestment of the Russian operations in 2023 had a negative impact on earnings. Currency translation effects had a positive impact on earnings of SEK 96m compared with the corresponding period a year ago.

A new Feminine Care range was launched in Mexico that is better for the environment under the market-leading Saba brand.

Change in net sales

%	2024:1 vs 2023:1
Total	-4.5
Volume	0.6
Price/Mix	-5.4
Organic growth	-4.8
Acquisitions	0.0
Sales growth	-4.8
Divestments	-2.5
Currency	2.8

Organic sales growth

%	2024:1 vs 2023:1	% of net sales
Incontinence Products Retail	6.8	15
Feminine Care	0.7	18
Baby Care	-0.7	9
Consumer Tissue	-9.0	58

Financial overview

	2024:1	2023:1	%
Net sales, SEKm	19,338	20,257	-5
Organic sales growth, %	-4.8	14.8
Gross profit margin excl. IAC, %	30.4	26.3
EBITA excl. IAC, SEKm	2,545	2,400	6
EBITA margin excl. IAC, %	13.2	11.8
ROCE excl. IAC, %	19.1	18.2
Operating cash flow, SEKm	2,331	1,760	32

Net sales

EBITA excl. IAC

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Essity Aktiebolag (publ)
Interim Report Q1 2024
8

Professional Hygiene

• Volume growth of 0.9% excl. restructuring
• Strong growth in Latin America
• Higher EBITA and margin, excl. IAC

Net sales

Net sales decreased organically by 6.9%, primarily as a result of lower volumes due to restructuring in North America and Europe. Excluding the effect of this, volume growth was 0.9%. A higher share of premium products contributed to a positive mix, while sales prices were lower.

In Latin America, growth was high, driven by higher prices and a better mix.

EBITA excl. IAC

EBITA and EBITA margin excl. IAC increased mainly due to lower costs for raw materials and energy but cost savings also made a positive contribution. The strong mix trend had a positive impact on earnings, partly offset by lower prices. Sales costs increased in order to drive growth. Currency translation effects had a negative impact on earnings of SEK 34m compared with the corresponding period a year ago.

In Latin America, an upgrade was launched of the Tork Xpressnap® Café dispenser, which reduces napkin consumption and refilling time.

Change in net sales

%	2024:1 vs 2023:1
Total	-7.8
Volume	-7.7
Price/Mix	0.8
Organic growth	-6.9
Acquisitions	0.0
Sales growth	-6.9
Divestments	-1.2
Currency	0.3

Financial overview

	2024:1	2023:1	%
Net sales, SEKm	8,686	9,422	-8
Organic sales growth, %	-6.9	22.6
Gross profit margin excl. IAC, %	29.9	26.3
EBITA excl. IAC, SEKm	1,332	1,288	3
EBITA margin excl. IAC, %	15.3	13.7
ROCE excl. IAC, %	21.4	18.6
Operating cash flow, SEKm	780	951	-18

Net sales

EBITA excl. IAC

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Essity Aktiebolag (publ)
Interim Report Q1 2024
9

Other Group information

Sustainability

Sustainability is integrated into Essity's strategy and is a priority for long-term profitable growth.

Sustainability targets and outcomes 2023

Essity is working actively to achieve sustainability targets in several areas, including health and safety, science-based targets, production waste and sustainable innovations. The outcomes for 2023 are presented in the Annual Report that was published in the first quarter of 2024.

Sustainability recognition

During the quarter, Essity received several awards for its sustainability activities. For the fifth consecutive year, the company received an award from the global non-profit environmental organization CDP for the way Essity has successfully worked with its suppliers in the fight against climate change. The company was again assigned a place on CDP's prestigious A List for its leadership in sustainability and its efforts to fight deforestation. Essity was also included in S&P Global's Sustainability Yearbook for the third consecutive year. In the review of more than 9,400 companies globally, Essity is part of the top 10% to be selected for this year's Sustainability Yearbook.

Events during the quarter

Essity completes divestment of its shares in Vinda

On March 21, Essity announced that it had completed the divestment of its holding of 51.59% of shares in the Asian hygiene company Vinda International Holdings Limited (Vinda) for HKD 23.50 per share. The sales proceeds amounted to about HKD 14.6bn (approximately SEK 19bn). Essity will retain a presence in Asia and in Vinda through continued licensing of Essity's brands.

Essity's 2024 Annual General Meeting

Essity's Annual General Meeting was held on March 21, 2024. The Meeting approved the Parent company's income statement and balance sheet and the consolidated income statement and consolidated balance sheet for 2023. The proposed dividend for the 2023 fiscal year of SEK 7.75 per share was approved by the Meeting.

The Board members Ewa Björling, Maria Carell, Annemarie Gardshol, Magnus Groth, Jan Gurander, Torbjörn Lööf, Bert Nordberg and Barbara Milian Thoralfsson were re-elected and Karl Åberg was elected as a new Board member. Jan Gurander was elected as the Chairman of the Board.

Essity is a global, leading hygiene and health company. Every day, our products, solutions and services are used by a billion people around the world. Our purpose is to break barriers to well-being for the benefit of consumers, patients, caregivers, customers and society. Sales are conducted in approximately 150 countries under the leading global brands TENA and Tork, and other strong brands such as Actimove, Cutimed, JOBST, Knix, Leukoplast, Libero, Libresse, Lotus, Modibodi, Nosotras, Saba, Tempo, TOM Organic and Zewa. In 2023, Essity had net sales of approximately SEK 147bn (EUR 13bn) and employed 36,000 people. The company's headquarters is in Stockholm, Sweden and Essity is listed on Nasdaq Stockholm.

More information at essity.com and follow Essity on social media.

Stockholm, April 25, 2024
Essity Aktiebolag (publ)

Magnus Groth
President and CEO

NB. This interim report has not been reviewed by the company's auditors. This information is such that Essity Aktiebolag (publ) is obligated to make public pursuant to the EU Market Abuse Regulation. This report has been prepared in both Swedish and English versions. In case of variations in the content between the two versions, the Swedish version shall govern. The information was submitted for publication, through the agency of Karl Stoltz, Media Relations Director, at 07:00 CET on April 25, 2024.

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Essity Aktiebolag (publ)
Interim Report Q1 2024
10

Financial statements

Condensed consolidated income statement

SEKm	2024:1	2023:1	%
Net sales	34,850	36,352	-4
Cost of goods sold	-23,283	-26,031
Items affecting comparability (IAC) - cost of goods sold	-366	38
Gross profit	11,201	10,359	8
Gross profit excl. IAC	11,567	10,321	12
Sales, general and administration	-6,689	-6,042
Items affecting comparability (IAC) - sales, general and administration	9	49
Share of profits of associates and joint ventures	2	2
Operating profit before amortization of acquisition-related intangible assets (EBITA)	4,523	4,368	4
Operating profit before amortization of acquisition-related intangible assets (EBITA) excl. IAC	4,880	4,281	14
Amortization of acquisition-related intangible assets	-320	-283
Items affecting comparability (IAC) - acquisition - related intangible assets	-69	0
Operating profit	4,134	4,085	1
Operating profit excl. IAC	4,560	3,998	14
Financial items	-607	-625
Profit before tax	3,527	3,460	2
Profit before tax excl. IAC	3,953	3,373	17
Income taxes	-1,050	-809
Profit for the period, continuing operations	2,477	2,651	-7
Profit for the period, discontinued operations	9,016	52
Profit for the period, total operations	11,493	2,703	325
Profit for the period excl. IAC, continuing operations	2,809	2,570	9
Items affecting comparability (IAC) before tax	-426	87
Items affecting comparability (IAC) after tax	-332	81
Tax on amortization of acquisition-related intangible assets	73	79
SEKm	2024:1	2023:1
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Earnings attributable to:
Owners of the Parent company
Profit for the period, continuing operations	2,463	2,635
Profit for the period, discontinued operations	8,920	28
Profit for the period, total operations	11,383	2,663
Non-controlling interests
Profit for the period, continuing operations	14	16
Profit for the period, discontinued operations	96	24
Profit for the period, total operations	110	40
Earnings per share - owners of the Parent company
Earnings per share before and after dilution effects, continuing operations, SEK	3.51	3.75
Earnings per share before and after dilution, discontinued operations, SEK	12.70	0.04
Earnings per share before and after dilution, total operations, SEK	16.21	3.79
Average numbers of shares before and after dilution, million	702.3	702.3

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Essity Aktiebolag (publ)
Interim Report Q1 2024
11

Consolidated statement of comprehensive income

SEKm	2024:1	2023:1	%
Profit for the period, continuing operations	2,477	2,651	-7
Profit for the period, discontinued operations	9,016	52
Profit for the period, total operations	11,493	2,703	325
Other comprehensive income for the period
Items that will not be reclassified to the income statement
Actuarial gains/losses on defined benefit pension plans	921	466
Fair value through other comprehensive income	1	1
Income tax attributable to components in other comprehensive income	-237	-120
Total, continuing operations	685	347
Total operations	685	347
SEKm	2024:1	2023:1
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Items that have been or may be reclassified subsequently to the income statement
Cash flow hedges
Result from remeasurement of derivatives recognized in equity	-417	-2,127
Transferred to profit or loss for the period	592	-212
Translation differences in foreign operations	5,935	770
Gains/losses from hedges of net investments in foreign operations	-1,041	138
Income tax attributable to components in other comprehensive income	165	600
Total, continuing operations	5,234	-831
Total, discontinued operations	-557	0
Total, operations	4,677	-831
Other comprehensive income for the period, net of tax	5,362	-484
Of which, continuing operations	5,919	0
Of which, discontinued operations	-557	0
Total comprehensive income for the period	16,855	2,219
Of which, continuing operations	8,396	0
Of which, discontinued operations	8,459	0
Total comprehensive income attributable to:
Owners of the Parent company	16,330	2,125
Non-controlling interests	525	94

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Essity Aktiebolag (publ)
Interim Report Q1 2024
12

Consolidated balance sheet

SEKm	Mar 31,2024	Mar 31, 2023	Dec 31, 2023
ASSETS
Non-current assets
Goodwill	41,271	44,964	39,337
Other intangible assets	21,968	25,713	21,345
Property, plant and equipment	47,328	59,599	44,909
Right-of-use assets	4,066	3,984	3,934
Investments in associates and joint ventures	309	297	294
Shares and participations	6	6	6
Surplus in funded pension plans	4,012	2,349	3,072
Non-current financial assets	123	131	117
Deferred tax assets	2,561	2,710	2,343
Other non-current assets	778	989	745
Total non-current assets	122,422	140,742	116,102
Current Assets
Inventories	19,031	29,845	17,546
Trade receivables	23,686	26,395	21,920
Current tax assets	1,294	983	1,289
Other current receivables	3,267	4,487	3,391
Current financial assets	5,003	4,396	5,259
Cash and cash equivalents	11,373	8,904	5,159
Total current assets	63,654	75,010	54,564
Total assets, continuing operations	186,076	215,752	170,666
Assets held for sale	0	0	32,327
Total assets, total operations	186,076	215,752	202,993
SEKm	Mar 31, 2024	Mar 31, 2023	Dec 31, 2023
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EQUITY AND LIABILITIES
Equity
Owners of the Parent company
Share capital	2,350	2,350	2,350
Reserves	13,685	10,596	9,421
Retained earnings including profit/loss for the period	65,682	51,420	59,075
Equity attributable to owner of the Parent company	81,717	64,366	70,846
Non-controlling interests	459	9,311	8,559*
Total equity	82,176	73,677	79,405
Non-current liabilities
Non-current financial liabilities	40,332	53,055	45,336
Provisions for pensions	2,537	2,575	2,587
Deferred tax liabilities	7,108	8,111	6,935
Other non-current provisions	433	523	466
Other non-current liabilities	1,051	1,331	1,073
Total non-current liabilities	51,461	65,595	56,397
Current liabilities
Current financial liabilities	11,905	22,264	15,648
Trade payables	16,171	24,296	15,119
Current tax liabilities	2,475	1,743	2,165
Current provisions	1,453	968	1,408
Other current liabilities	20,435	27,209	19,143
Total current liabilities	52,439	76,480	53,483
Total liabilities, continuing operations	103,900	142,075	109,880
Liabilities directly attributable to assets held for sale	0	0	13,708
Total equity and liabilities, total operations	186,076	215,752	202,993

• Of which, attributable to discontinued operations
  8,145

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Essity Aktiebolag (publ)
Interim Report Q1 2024
13

Consolidated statement of change in equity

SEKm	Mar 31, 2024	Mar 31, 2023	Dec 31, 2023
Equity attributable to owners of the Parent company
Value, January 1	70,846	67,346	67,346
Total comprehensive income for the period	16,330	2,125	8,617
Dividend	-5,443	-5,092	-5,092
Acquisition of non-controlling interests	0	1	1
Transferred to cost of hedged investments	5	6	52
Revaluation effect upon acquisition of non-controlling interests	-21	-20	-78
Value, December 31	81,717	64,366	70,846
Non-controlling interests
Value, January 1	8,559	9,218	9,218
Total comprehensive income for the period	525	94	-340
Dividend	-1	0	-319
Divestment of non-controlling interests	-8,624	0	0
Acquisition of non-controlling interests	0	-1	0
Value, December 31	459	9,311	8,559
Total equity, value December 31	82,176	73,677	79,405

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Essity Aktiebolag (publ)
Interim Report Q1 2024
14

Consolidated cash flow statement

SEKm	2024:1	2023:1
Operating activities
Operating profit	4,134	4,085
Adjustments for non-cash items	2,154	1,819
Operating profit excluding non-cash items	6,288	5,904
Interest paid	-951	-415
Interest received	113	62
Other financial items	181	-361
Capitalized expenditures to fulfill contracts with customers	-105	-115
Change in liabilities relating to restructuring programs, etc.	-189	-12
Paid tax	-1,013	-663
Cash flow from operating activities before changes in working capital	4,324	4,400
Cash flow from changes in working capital
Change in inventories	-557	-811
Change in operating receivables	-306	-350
Change in operating liabilities	572	-345
Cash flow from operating activities, continuing operations	4,033	2,894
Cash flow from operating activities, discontinued operations	-368	-399
Cash flow from operating activities, total operations	3,665	2,495
Investing activities
Acquisitions of Group companies and other operations	-17	-12
Divestments of Group companies and other operations, see note 5	17,980	0
Investments in intangible assets and property, plant and equipment	-1,399	-1,221
Paid interest capitalized in intangible assets and property, plant and equipment	-11	0
Sale of property, plant and equipment	1	-5
Disposal of financial assets, etc.	0	303
Investment in financial assets, etc.	-452	0
Cash flow from investing activities, continuing operations	16,102	-935
Cash flow from investing activities, discontinued operations	-87	-316
Cash flow from investing activities, total operations	16,015	-1,251
SEKm	2024:1	2023:1
---	---	---
Financing activities
Proceeds from borrowings	0	2,725
Repayment of borrowings	-9,993	-189
Dividend to non-controlling interests	-1	-2
Dividend	-5,443	0
Cash flow from financing activities, continuing operations	-15,437	2,534
Cash flow from financing activities, discontinued operations	-12	899
Cash flow from financing activities, total operations	-15,449	3,433
Cash flow for the period, continuing operations	4,698	4,493
Cash flow for the period, discontinued operations	-467	184
Cash flow for the period, total operations	4,231	4,677
Cash and cash equivalents at the beginning of the period	6,927	4,288
Translation differences in cash and cash equivalents	215	-61
Cash and cash equivalents at the end of the period, total operations	11,373	8,904
SEKm	2024:1	2023:1
---	---	---
Adjustments for non-cash items
Depreciation/amortization and impairment of non-current assets	2,079	1,732
Depreciation of capitalized selling expenses	115	121
Gain/loss on sale of assets	8	2
Non-cash items relating to efficiency program	61	-11
Other	-109	-25
Total	2,154	1,819

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Essity Aktiebolag (publ)
Interim Report Q1 2024
15

Consolidated cash flow statement, cont.

SEKm	2024:1	2023:1
Reconciliation with consolidated operating cash flow statement
Cash flow for the period, continuing operations	4,698	4,493
Repayment of borrowings	9,993	189
Proceeds from borrowings	0	-2,725
Investments in financial assets, etc.	452	0
Net debt in acquired and divested operations	5,928	-4
Disposal of financial assets, etc.	0	-303
Investments in operating assets through leases	-40	-197
Accrued interest	50	88
Other	0	-1
Net cash flow according to consolidated operating cash flow statement	21,081	1,540

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Essity Aktiebolag (publ)
Interim Report Q1 2024
16

Condensed financial statements, Parent company

Condensed Parent company income statement

SEKm	2403	2303
Administrative expenses	-426	-196
Other operating income	12	12
Operating loss	-414	-184
Financial items	11,278	-556
Profit/loss before tax	10,864	-740
Income taxes	91	-46
Profit/loss for the period	10,955	-786

Parent company statement of comprehensive income

SEKm	2403	2303
Profit/Loss for the period	10,955	-786
Other comprehensive income	-	-
Total comprehensive income	10,955	-786

Condensed Parent company balance sheet

SEKm	Mar 31, 2024	Dec 31, 2023
Assets
Intangible assets	0	0
Property, plant and equipment	10	10
Financial non-current assets	176,974	176,774
Total non-current assets	176,984	176,784
Total current assets	1,131	2,178
Total assets	178,115	178,962
Equity, provisions and liabilities
Equity
Restricted equity	2,350	2,350
Non-restricted equity	77,042	71,530
Total equity	79,392	73,880
Untaxed reserves	828	828
Provisions	856	880
Non-current liabilities	37,930	42,901
Current liabilities	59,109	60,473
Total equity, provisions and liabilities	178,115	178,962

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Essity Aktiebolag (publ)
Interim Report Q1 2024
17

Notes

Note 1 Accounting principles

This interim report has been prepared in accordance with IAS 34 and recommendation RFR 1 of the Swedish Financial Reporting Board (RFR) and RFR 2 for the Parent company.

A few amended accounting standards published by the IASB® entered into force on January 1, 2024 following approval by the EU. Essity Aktiebolag (publ) applies these amendments, which have not had any material impact on the Group's or the Parent company's financial statements.

The Group is subject to the OECD Pillar II model rules that came into effect on January 1, 2024. According to the legislation, the Parent company is to pay a top-up tax on the profits of its subsidiaries that are taxed at an effective tax rate that is less than 15%. Based on the Safe Harbour tests and further analysis, Essity does not see the need for any material current or future top-up tax payments.

In other respects, the accounting principles and calculation methods applied correspond to those described in Essity's 2023 Annual Report.

Note 2 Risks and uncertainties

Processes for risk management

Essity's Board determines the Group's strategic direction based on recommendations from the Executive Management Team. Responsibility for the long-term, overall management of strategic risks corresponds to the company's delegation structure, from the Board of Directors to the CEO and from the CEO to the Business Unit Presidents. This means that most operational risks are managed by Essity's business units at the local level but they are centrally coordinated when considered necessary. The tools used for coordination consist primarily of the business units' regular reporting and the annual strategy process, which includes risks and risk management.

Within Essity, the financial risk management, the Group's internal bank (used for the Group companies' financial transactions), and the management of the Group's energy risks are all centralized. Financial risks are managed in accordance with the Group's Finance Policy, which is adopted by Essity's Board of Directors and forms, together with Essity's Energy Risk Policy, a framework for risk management. Risks are aggregated and monitored on a regular basis to ensure compliance with these guidelines. Essity has also centralized other risk management.

Essity has a staff function for internal audit, which monitors compliance with the Group's policies.

Essity's risk exposure and risk management are described on pages 40–45 in the 2023 Annual Report and in the sections under environmental information and social information on pages 61–89. No significant changes have taken place that have affected the reported risks.

Risks in conjunction with company acquisitions are analyzed in the due diligence processes that Essity carries out prior to all acquisitions. In cases where acquisitions have been carried out that may affect the assessment of Essity's risk exposure, these are described under the heading "Events during the quarter" in the interim or year-end reports.

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Essity Aktiebolag (publ)
Interim Report Q1 2024
18

Note 3 Financial assets and liabilities

SEKm	Carrying amount in the balance sheet	Fair value	Carrying amount in the balance sheet	Fair value	Measurement level^{1)}
	Mar 31, 2024	Mar 31, 2024	Dec 31, 2023	Dec 31, 2023
Assets
Derivatives	1,206	1,206	1,989	1,989	2
Non-current financial assets	103	103	98	98	1
Total assets	1,309	1,309	2,087	2,087
Liabilities
Derivatives	5,986	5,986	6,788	6,788	2
Current financial liabilities^{2)}	9,417	9,417	12,676	12,676	2
Non-current financial liabilities^{3)}	34,085	33,288	39,061	38,429	2
Total liabilities	49,488	48,691	58,525	57,893

1) No financial instruments have been classified to level 3.
2) The measurement level refers to liabilities measured at fair value in a hedging relationship.

Measurement principles and classifications of financial instruments, as described in Essity's 2023 Annual Report, Note E1, were applied consistently throughout the reporting period. Financial liabilities are measured at amortized cost provided they are not part of a fair value hedge when they are recognized at fair value through profit or loss. The fair value of trade receivables, other current and non-current receivables, cash and cash equivalents, trade payables and other current and non-current liabilities is estimated to be equal to their carrying amount.

Note 4 Share

Share distribution

Mar 31, 2024	Class A	Class B	Total
Registered number of shares	60,970,043	641,372,446	702,342,489

At the end of the period, the proportion of Class A shares was 8.7%. In the first quarter, 7,838 Class A shares were converted to Class B shares at the request of shareholders. The total number of votes in the company amounted to 1,251,072,876.

Note 5 Acquisitions and divestments

On March 21, 2024, Essity completed the divestment of its holding of 51.59% of shares in the Asian hygiene company Vinda International Holdings Limited (Vinda). The sales proceeds amounted to approximately HKD 14.6bn (SEK 19,360m).

Statement of profit for the period, discontinued operations

MSEK	2403	2303
Profit for the period, Vinda	217	52
Other profit for the period, Vinda	8,799^{1)}	0
Profit for the period, discontinued operations	9,016	52
1) Of which:
Profit from divestment	8,366
Reclassification of realized translation differences after tax	748
Transaction cost	-226
Impairment of Essity owned intangible asset related to Vinda after tax	-89

Income statement, discontinued operations

MSEK	2403	2303
Net sales	4,533	6,574
Operating costs	-4,261	-6,500
Operating profit	272	74
Financial items	-27	-29
Profit before tax	245	45
Income taxes	-28	7
Profit for the period, discontinued operations	217	52

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Essity Aktiebolag (publ)
Interim Report Q1 2024
19

Note 5 cont.

Income statement, discontinued operations, cont.

SEKm	2403	2303
Profit for the period, discontinued operations attributable to:
Owners of the Parent company	8,920	28
Non-controlling interests	96	24
Earnings per share, discontinued operations - Owners of the parent company
Earnings per share before and after dilution, discontinued operations, SEK	12.70	0.04
Average numbers of shares before and after dilution, million	702.3	702.3

Balance sheet, discontinued operations

SEKm	Dec 31, 2023
ASSETS
Intangible assets	7,080
Property, plant and equipment	14,300
Financial assets, excl. cash and cash equivalents	1
Operating assets	9,178
Cash and cash equivalents	1,768
Total assets held for sale	32,327
LIABILITIES
Financial liabilities	5,508
Operating liabilities	7,283
Deferred tax liabilities	917
Total liabilities directly attributable to assets held for sale	13,708

Assets and liabilities included in divestments of Group companies and other operations

SEKm	Mar 31, 2024
Intangible assets	7,404
Property, plant and equipment	14,724
Other non-non current assets	1,090
Operating assets	8,901
Cash and cash equivalents	1,380
Provisions and other non-current liabilities	-1,107
Net debt excluding cash and cash equivalents	-5,928
Operating liabilities	-6,846
Non-controlling interests	-8,624
Profit from divestment^{5}	8,366
Compensation received	19,360
Less:
Cash and cash equivalents in divested companies	-1,380
Impact on the Group's cash and cash equivalents, divestments of Group’s companies and other operations	17,980
Add:
Divested net debt excluding cash and cash equivalents	5,928
Divestment of Group companies and other operations during the period, including net debt transferred	23,908

5Excluding realized translation difference SEK 775m in divested company that is reclassified to the income statement. The profit from the divestment is included as a part of the profit for the period, discontinued operations in the income statement.

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Essity Aktiebolag (publ)
Interim Report Q1 2024
20

Note 6 Use of non-International Financial Reporting Standards (IFRS®) performance measures

Guidelines for Alternative Performance Measures (APMs) for companies with securities listed on a regulated market in the EU have been issued by ESMA (European Securities and Markets Authority). These guidelines are to be applied for APMs not supported under IFRS.

This interim report refers to a number of performance measures not defined in IFRS. These performance measures are used to help investors, management and other stakeholders to analyze the company's operations. These non-IFRS performance measures may differ from similarly titled measures among other companies. Essity's Annual Report 2023, pages 116-120, describes the various non-IFRS performance measures that are used as a complement to the financial information presented in accordance with IFRS. Abbreviations are used in the report for the performance and return measures below.

From the first quarter of 2024, Essity resolved to replace the term "Adjusted" when referring to non-IFRS performance measures and instead use "excl. IAC".

Abbreviation	Complete expression
EBITA	Operating profit before amortization of acquisition-related intangible assets
EBITDA	Operating profit before depreciation/amortization of property, plant and equipment and intangible assets
Sales growth	Sales growth including organic sales growth and acquisitions
IAC	Items affecting comparability
ROCE	Return on capital employed
ROE	Return on equity
New terms for non-IFRS performance measure (used from the interim report for the first quarter of 2024)	Previous term for non-IFRS performance measure
---	---
Return on capital employed, ROCE excl. IAC	Adjusted return on capital employed, ROCE
Return on equity excl. IAC	Adjusted return on equity
Debt payment capacity excl. IAC	Adjusted debt payment capacity
Net debt/EBITDA excl. IAC	Net debt/Adjusted EBITDA
Gross profit excl. IAC	Adjusted gross profit
---	---
Operating profit before depreciation, amortization and impairment of property, plant and equipment and intangible assets (EBITDA) excl. IAC	Adjusted operating profit before depreciation/amortization of property, plant and equipment and intangible assets (EBITDA)
Operating profit before amortization of acquisition-related intangible assets (EBITA) excl. IAC	Adjusted operating profit before amortization of acquisition-related intangible assets (EBITA)
Gross margin excl. IAC	Adjusted gross margin
EBITA margin excl. IAC	Adjusted EBITA margin
Operating margin excl. IAC	Adjusted operating margin
Operating profit excl. IAC	Adjusted operating profit
Profit before tax excl. IAC	Adjusted profit before tax
Taxes excl. IAC	Adjusted tax
Profit for the period excl. IAC	Adjusted profit for the period
Earnings per share excl. IAC	Adjusted earnings per share
Cash earnings excl. IAC	Adjusted cash earnings

Capital employed

SEKm	2403	2303	2312
Total assets	186,076	215,752	202,993
-Total asset, discontinued operations	0	0	-32,327
-Financial assets	-20,511	-15,780	-13,607
-Non-current non-interest bearing liabilities	-8,592	-9,965	-8,474
-Current non-interest bearing liabilities	-40,534	-54,216	-37,835
Capital employed	116,439	135,791	110,750
Capital employed, continuing operations	116,439	110,265	110,750

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Essity Aktiebolag (publ)
Interim Report Q1 2024
21

Working capital

SEKm	2403	2303	2312
Inventories	19,031	29,845	17,546
Trade receivables	23,686	26,395	21,920
Other current receivables	3,267	4,487	3,391
Trade payables	-16,171	-24,296	-15,119
Other current liabilities	-20,435	-27,209	-19,143
Other	231	687	176
Working capital	9,609	9,909	8,771
Working capital, continuing operations	9,609	7,506	8,771

Net debt

SEKm	2403	2303	2312
Surplus in funded pension plans	4,012	2,349	3,072
Non-current financial assets	123	131	117
Current financial assets	5,003	4,396	5,259
Cash and cash equivalents	11,373	8,904	5,159
Financial assets	20,511	15,780	13,607
Non-current financial liabilities	40,332	53,055	45,336
Provisions for pensions	2,537	2,575	2,587
Current financial liabilities	11,905	22,264	15,648
Financial liabilities	54,774	77,894	63,571
Net debt, continuing operations	34,263	57,751	49,964
Net debt, discontinued operations	0	4,363	3,739
Net debt, total operations	34,263	62,114	53,703

EBITA

SEKm	2024:1	2023:1
Operating profit	4,134	4,085
-Amortization of acquisition-related intangible assets	320	283
-Items affecting comparability (IAC) - impairment of acquisition related intangible assets	69	0
Operating profit before amortization and impairment of acquisition-related intangible assets (EBITA)	4,523	4,368
---	---	---
EBITA margin (%)	13.0	12.0
-Items affecting comparability (IAC) - cost of goods sold	366	-38
-Items affecting comparability (IAC) - sales, general and administration	-9	-49
EBITA excl. IAC	4,880	4,281
EBITA margin excl. IAC (%)	14.0	11.8

EBITDA

SEKm	2024:1	2023:1
Operating profit	4,134	4,085
-Amortization of acquisition-related intangible assets	320	283
-Depreciation/amortization	1,219	1,220
-Depreciation right-of-use asset	267	256
-Impairment	0	36
-Items affecting comparability (IAC) - impairment net	204	-63
-Items affecting comparability (IAC) - impairment of acquisition-related intangible assets	69	0
EBITDA	6,213	5,817
-Items affecting comparability (IAC) excluding depreciation/amortization and impairment	153	-24
EBITDA excl. IAC	6,366	5,793

Sales growth

SEKm	2024:1	2023:1
Organic sales growth	-1,461	4,597
Acquisitions	0	420
Sales growth including organic sales growth and acquisitions	-1,461	5,017
Divestments	-693	0
Exchange rate effect¹	651	2,426
Recognized change	-1,503	7,443

¹Consists solely of currency translation effects

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Essity Aktiebolag (publ)
Interim Report Q1 2024
22

Other financial information

Group information by quarter

	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Net sales, SEKm	34,850	36,625	37,092	37,078	36,352	36,629	34,226
Organic sales growth, %	-4.0	-0.7	2.4	7.7	15.9	16.0	16.9
Sales growth^{5}, %	-4.0	-0.7	3.3	9.3	17.4	18.0	18.1
Gross profit, SEKm	11,201	11,675	10,683	10,454	10,359	9,935	8,214
Gross profit excl. IAC, SEKm	11,567	11,720	11,670	10,809	10,321	10,237	8,345
EBITA, SEKm	4,523	4,611	3,497	4,131	4,368	3,818	2,657
EBITA excl. IAC, SEKm	4,880	4,853	5,147	4,617	4,281	4,112	2,863
Operating profit, SEKm	4,134	4,341	2,903	3,819	4,085	3,519	2,367
Profit for the period, SEKm	2,477	2,858	1,563	2,445	2,651	2,222	1,530
Operating cash flow, SEKm	4,253	5,914	6,054	2,847	2,870	2,621	2,849
ROCE, %	15.9	16.2	11.7	14.2	15.5	12.9	9.1
ROCE excl. IAC, %	17.2	17.1	17.2	15.8	15.2	13.9	9.8
Capital employed, SEKm	116,439	110,750	116,928	122,817	110,265	114,793	122,530
ROE, %	56.9	14.4	8.2	13.3	14.4	11.2	8.1
ROE excl. IAC, %	15.0	15.5	16.5	15.2	14.0	12.4	9.1
Debt/equity ratio, %	0.42	0.68	0.75	0.86	0.84	0.82	0.77
Equity/assets ratio, %	44	35	34	32	30	32	33
Net debt, SEKm	34,263	53,703	60,633	69,124	62,114	62,869	64,387
Debt payment capacity, %	50	34	32	27	28	24	20
Net debt/EBITDA	1.46	2.16	2.44	2.93	2.93	3.39	3.88
Net debt/EBITDA excl. IAC	1.34	2.00	2.29	2.87	2.89	3.33	3.81
Earnings per share, SEK	3.51	4.04	2.20	3.46	3.75	3.14	2.16
Earnings per share excl. IAC, SEK	4.33	4.54	4.83	4.26	3.93	3.75	2.74
Equity per share, SEK	117	113	115	114	105	109	119

5 Including organic sales growth and acquisitions.

Margins (%)	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Gross margin	32.1	31.9	28.8	28.2	28.5	27.1	24.0
Gross margin excl. IAC	33.2	32.0	31.5	29.2	28.4	27.9	24.4
EBITA margin	13.0	12.6	9.4	11.1	12.0	10.4	7.8
EBITA margin excl. IAC	14.0	13.3	13.9	12.5	11.8	11.2	8.4
Operating margin	11.9	11.9	7.8	10.3	11.2	9.6	6.9
Operating margin excl. IAC	13.1	12.5	13.1	11.7	11.0	10.4	7.5
Financial net margin	-1.7	-1.4	-1.7	-1.6	-1.7	-1.5	-1.0
Profit margin	10.2	10.5	6.1	8.7	9.5	8.1	5.9
Profit margin excl. IAC	11.4	11.1	11.4	10.1	9.3	8.9	6.5
Income taxes	-3.0	-2.7	-1.9	-2.1	-2.2	-2.0	-1.4
Income taxes excl. IAC	-3.3	-2.9	-2.7	-2.5	-2.2	-2.2	-1.4
Net margin	7.2	7.8	4.2	6.6	7.3	6.1	4.5
Net margin excl. IAC	8.1	8.2	8.7	7.6	7.1	6.7	5.1

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Essity Aktiebolag (publ)
Interim Report Q1 2024
23

Information by business area

Net sales

SEKm	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	6,842	7,001	7,158	6,905	6,665	6,589	6,404
Consumer Goods	19,338	19,870	19,729	20,056	20,257	20,454	18,537
Professional Hygiene	8,686	9,752	10,184	10,123	9,422	9,617	9,279
Other	-16	2	21	-6	8	-31	6
Total	34,850	36,625	37,092	37,078	36,352	36,629	34,226

Organic sales growth

%	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	2.6	4.3	5.8	8.0	10.6	4.5	7.3
Consumer Goods	-4.8	-2.8	-0.4	5.7	14.8	18.4	18.3
Professional Hygiene	-6.9	0.1	5.7	11.7	22.6	20.7	21.5
Total	-4.0	-0.7	2.4	7.7	15.9	16.0	16.9

Sales growth including organic sales growth and acquisitions

%	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	2.6	4.3	5.8	8.0	10.6	6.4	9.8
Consumer Goods	-4.8	-2.8	1.1	8.7	17.2	21.1	19.4
Professional Hygiene	-6.9	0.1	5.7	11.7	22.9	21.3	21.9
Total	-4.0	-0.7	3.3	9.3	17.4	18.0	18.1

EBITA excl. IAC

SEKm	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	1,290	1,125	1,188	947	777	719	678
Consumer Goods	2,545	2,585	2,395	2,417	2,400	2,293	1,368
Professional Hygiene	1,332	1,531	1,887	1,582	1,288	1,405	1,057
Other	-287	-388	-323	-329	-184	-305	-240
Total	4,880	4,853	5,147	4,617	4,281	4,112	2,863

EBITA margin excl. IAC

%	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	18.9	16.1	16.6	13.7	11.7	10.9	10.6
Consumer Goods	13.2	13.0	12.1	12.1	11.8	11.2	7.4
Professional Hygiene	15.3	15.7	18.5	15.6	13.7	14.6	11.4
Total	14.0	13.3	13.9	12.5	11.8	11.2	8.4

Capital employed

SEKm	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	34,153	32,762	34,956	36,532	34,472	34,062	35,076
Consumer Goods	54,612	52,009	54,676	56,725	52,926	52,667	57,161
Professional Hygiene	25,663	24,021	25,765	28,225	27,500	27,741	30,596
Other	2,011	1,958	1,531	1,335	-4,633	323	-303
Total	116,439	110,750	116,928	122,817	110,265	114,793	122,530

ROCE excl. IAC

%	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	15.4	13.3	13.3	10.7	9.1	8.3	7.8
Consumer Goods	19.1	19.4	17.2	17.6	18.2	16.7	10.3
Professional Hygiene	21.4	24.6	28.0	22.7	18.6	19.3	14.2
Total	17.2	17.1	17.2	15.8	15.2	13.9	9.8

Operating cash flow

SEKm	2024:1	2023:4	2023:3	2023:2	2023:1	2022:4	2022:3
Health & Medical	1,330	1,411	1,676	323	270	818	887
Consumer Goods	2,331	2,506	2,235	1,732	1,760	1,043	877
Professional Hygiene	780	2,227	2,370	1,782	951	1,344	1,207
Other	-188	-230	-227	-990	-111	-584	-122
Total	4,253	5,914	6,054	2,847	2,870	2,621	2,849

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Invitation to presentation

President and CEO Magnus Groth and Executive Vice President and CFO Fredrik Rystedt will present the interim report at a live webcast and teleconference at 09:00 CET on April 25, 2024.

Link to the live presentation, which can also be viewed afterwards: essity.videosync.fi/2024-04-25

Contact information for conference call with the possibility to ask questions:

UK: +44 (0) 33 0551 02 00
USA: +1 786 697 35 01
SWE: +46 (0) 8 505 204 24

Please call in well in advance of the start of the presentation. Indicate: "Essity".

The presentation will also be broadcast live on LinkedIn.

For additional information, please contact:
Fredrik Rystedt, CFO and Executive Vice President Tel: +46 (0) 8 788 51 31
Sandra Åberg, Vice President Investor Relations Tel: +46 (0) 70 564 96 89
Per Lorentz, Vice President Corporate Communications Tel: +46 (0) 73 313 30 55

Calendar 2024-2025

Interim Report, Quarter 2 2024 July 18, 2024
Interim Report, Quarter 3 2024 October 24, 2024
Year-end Report 2024 January 23, 2025
Annual Report 2024 March 2025