Essity — Interim / Quarterly Report 2025

Jan 22, 2026

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Report for quarter 4 and full-year 2025

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Increased market shares and high profitability ended 2025

Quarter 4, 2025

• Net sales decreased 8.2% to SEK 34,695m (37,805). Excl. currency translation effects, net sales decreased SEK 400m.

• Organic sales growth amounted to -1.1%, of which volume accounted for -0.2% and price/mix -0.9%
• EBITA increased 9% to SEK 5,005m (4,585)
• EBITA excl. IAC increased 3% to SEK 5,117m (4,969). Excl. currency translation effects, EBITA excl. IAC increased 12%, corresponding to SEK 594m.
• EBITA margin excl. IAC increased 1.6 percentage points to 14.7% (13.1)
• ROCE increased to 17.6% (15.8) and ROCE excl. IAC increased to 18.0% (17.1)
• Profit for the period, total operations, increased to SEK 3,224m (2,893)
• Earnings per share, total operations, increased to SEK 4.69 (4.13)

Full-year 2025

• Net sales decreased 4.8% to SEK 138,494m (145,546). Excl. currency translation effects, net sales increased SEK 1,354m.
• Organic sales growth amounted to 0.9%, of which volume accounted for 0.0% and price/mix 0.9%
• EBITA increased to SEK 19,503m (19,475)
• EBITA excl. IAC decreased 4% to SEK 19,572m (20,344). Excl. currency translation effects, EBITA excl. IAC increased 3%, corresponding to SEK 586m.
• EBITA margin excl. IAC increased 0.1 percentage points to 14.1% (14.0)
• ROCE increased to 17.2% (16.9) and ROCE excl. IAC amounted to 17.2% (17.6)
• Profit for the period, total operations, amounted to SEK 12,718m (21,048)
• Earnings per share, total operations, amounted to SEK 18.37 (29.83)
• The Board of Directors proposes an increase in the dividend of 6% to SEK 8.75 per share (8.25)

-1.1% 14.7%

Organic sales growth, quarter 4 2025 EBITA margin excl. IAC, quarter 4 2025

Financial overview, continuing operations

	2025:4	2024:4	%	2512	2412	%
Net sales, SEKm	34,695	37,805	-8	138,494	145,546	-5
Organic sales growth, %	-1.1	3.9		0.9	0.2
EBITA, SEKm	5,005	4,585	9	19,503	19,475	0
EBITA margin, %	14.4	12.1		14.1	13.4
EBITA excl. IAC, SEKm	5,117	4,969	3	19,572	20,344	-4
EBITA margin excl. IAC, %	14.7	13.1		14.1	14.0
Profit for the period, SEKm	3,224	2,893	11	12,718	12,033	6
Earnings per share, SEK	4.69	4.13	14	18.37	17.09	7
Earnings per share*, SEK	5.07	4.85	4	19.44	19.29	1
ROCE, %	17.6	15.8		17.2	16.9
ROCE excl. IAC, %	18.0	17.1		17.2	17.6
Operating cash flow, SEKm	4,369	3,297	33	14,998	17,242	-13

* Earnings per share excl. IAC and amortization of acquisition-related intangible assets

Financial overview, total operations

	2025:4	2024:4	%	2512	2412	%
Profit for the period, SEKm	3,224	2,893	11	12,718	21,048	-40
Earnings per share, SEK	4.69	4.13	14	18.37	29.83	-38
Net debt/EBITDA excl. IAC				1.03	1.16

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CEO's comments

A quarter with increased market shares, high profitability, growth in strategic segments, acquisition and strong cash flow ended 2025. Organic sales growth for the full-year was positive and the margin increased. This demonstrates the strength of our portfolio of leading hygiene and health products that people need, regardless of the state of the economy or world. Meanwhile, we are focused on increasing the growth rate going forward and are now executing on launched initiatives to faster achieve our Group targets.

Increased market shares

Strong product launches, selective price adjustments and intensified marketing activities yielded higher market shares during the quarter for more than 65% of our branded sales in the retail trade. High growth was reported in several of our strategic segments, including strong brands such as TENA for men, Hydrofera® advanced wound care, Tork Peakserve® dispensers and Saba® night towels. However, organic sales for the Group decreased in the quarter compared with the preceding year. The decline was mainly attributable to price adjustments. The volume and product mix remained relatively stable in a continued challenging market environment.

Higher margins in all business areas

The gross margin improved as a result of lower costs of goods sold and good price management. An increased marketing spend resulted in higher sales and administration costs. All three business areas reported

higher EBITA margins excl. IAC. We reported a margin of 14.7%, profit of more than SEK 5bn and a strong cash flow.

Acquisition in Feminine Care in North America

During the quarter, we took an important strategic step by acquiring Edgewell's feminine care business in North America, including the Carefree, Stayfree and Playtex brands. With this acquisition, which is expected to close in the first quarter of 2026, we are building a stronger Personal Care business in North America in line with our strategy to focus on categories with high potential for profitable growth in attractive geographies.

A stable 2025 and proposal to increase dividend

In 2025, Essity delivered net sales of SEK 138bn and profit of SEK 19.6bn. We grew our sales organically and reported our highest margin in five years, 14.1% year-onyear. We achieved all of this in a year marked by a turbulent external environment and challenging market conditions. The stable cash flow has enabled us to maintain our strong financial position, allowing us to invest in growth while providing returns to shareholders. The second SEK 3bn share buyback program was launched in April and the Board of Directors now proposes an increase in the dividend of 6% to SEK 8.75 per share.

Change to support faster growth rate

Even though we are proud of our strong performance in 2025 given the market situation, we have a clear ambition to accelerate our progress toward our financial targets. During the year, we strengthened our customer

and consumer offerings with relevant innovations, made an acquisition and took action to further enhance Essity's competitiveness and increase our market shares. The new organization featuring decentralized decisionmaking is effective as of January 1, 2026, and the cost savings program in sales and administration has been initiated. These measures aim to strengthen the focus on our customers and consumers, increase our operational flexibility and invest in profitable growth for an even stronger Essity moving forward.

Ulrika Kolsrud President and CEO

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Group

Net sales

Net sales decreased 8.2% in the fourth quarter of 2025 compared with the corresponding period a year ago and amounted to SEK 34,695m (37,805). Excluding currency translation effects, net sales decreased SEK 400m.

Organic sales decreased 1.1%, mainly due to lower sales prices in Consumer Goods and Professional Hygiene. Volumes were relatively stable for the Group as favorable volume growth in Health & Medical largely offset lower volumes in Consumer Goods and Professional Hygiene. The product mix was unchanged.

Growth was negative in Europe due to lower sales in Consumer Goods related to Consumer Tissue and Baby Care. Growth was also negative in North America, mainly as a result of lower sales in Professional Hygiene. In Latin America, growth was high, with good growth in Consumer Goods and Professional Hygiene.

Operating profit

The gross margin increased 1.9 percentage points to 33.6% (31.7). The gross margin excl. IAC increased 1.8 percentage points to 33.7% (31.9). Costs of goods sold

Change in net sales

%	2025:4 vs 2024:4
Total	-8.2
Volume	-0.2
Price/Mix	-0.9
Organic growth	-1.1
Acquisitions	─
Divestments	0.0
Currency translation	-7.1

were lower, mainly due to lower costs for raw materials and energy. Savings in cost of goods sold amounted to approximately SEK 190m. Lower sales prices had a negative earnings effect.

EBITA increased to SEK 5,005m (4,585) and EBITA excl. IAC increased 3% to SEK 5,117m (4,969). Excluding currency translation effects, EBITA excl. IAC increased 12%, corresponding to SEK 594m. EBITA margin excl. IAC increased 1.6 percentage points to 14.7% (13.1). Sales and administration costs amounted to 19.0% (18.8), of which marketing costs increased to 5.1% (4.7). IAC amounted to SEK -131m (-384), mainly attributable to restructuring costs.

Change in EBITA excl. IAC

	SEKm
EBITA excl. IAC 2024:4	4,969
Volume	47
Price/Mix	-279
Cost of goods sold	749
Sales & Admin	77
Currency translation	-446
EBITA excl. IAC 2025:4	5,117

Net sales 2512 by business area

Net sales 2512 by region

Net sales

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Financial items

Financial items decreased to SEK -309m (-416), mainly on account of lower average net debt.

Tax

The tax expense was SEK 1,226m (1,006), corresponding to a tax rate of 27.5% (25.8). The tax expense excl. IAC was SEK 1,257m (1,073), corresponding to a tax rate of 27.4% (25.1).

Profit for the period

Profit for the period, total operations, amounted to SEK 3,224m (2,893). Profit for the period, continuing operations, was SEK 3,224m (2,893).

Cash flow

Operating cash flow amounted to SEK 4,369m (3,297). The increase compared with a year ago was mainly related to more favorable development in working capital. Net cash flow totaled SEK 2,243m (-394). During the quarter, Essity bought back 2,150,228 own Class B shares for a total amount of SEK 555m (1,016).

Cost savings program

In the fourth quarter of 2025, Essity launched a cost savings program to create better conditions for profitable growth. The program primarily targets sales and administrative costs, excluding marketing costs, and is expected to generate annual savings of approximately SEK 1bn, with full effect by the end of 2026. The savings generated by the program will be reported as of Q1, 2026 and will be mainly invested in profitable volume growth. Restructuring costs related to the program are estimated to amount to approximately SEK 1bn. The costs will mainly affect 2026 and are recognized as items affecting comparability. During the fourth quarter of 2025, the cost amounted to SEK 71m.

Operating cash flow statement

SEKm	2025:4	2024:4	2512	2412
Operating cash surplus	6,817	6,638	26,301	26,998
Change in inventories	706	384	-916	-946
Change in operating receivables	774	-1,000	853	-2,218
Change in operating liabilities	-1,156	593	-2,882	2,756
Investments in non-current assets, net	-2,460	-2,610	-6,898	-7,332
Restructuring costs, etc.	-166	-470	-741	-1,456
Investments in operating assets through leases	-146	-238	-719	-560
Operating cash flow	4,369	3,297	14,998	17,242
Financial items	-309	-416	-1,384	-1,931
Income taxes paid	-1,253	-2,187	-4,713	-5,860
Other	0	1	27	34
Cash flow from current operations	2,807	695	8,928	9,485
Acquisitions of Group companies and other operations	─	-51	─	-68
Divestments of Group companies and other operations	─	─	5	23,908
Cash flow before transactions with shareholders	2,807	644	8,933	33,325
Dividend	─	─	-5,711	-5,443
Dividend to non-controlling interests	-9	-22	-20	-23
Repurchase of own shares	-555	-1,016	-3,160	-2,224
Net cash flow, continuing operations	2,243	-394	42	25,635
Net cash flow, discontinued operations	─	─	─	-467
Net cash flow, total operations	2,243	-394	42	25,168

Operating cash flow

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Financial position

Net debt decreased SEK 4,226m compared with December 31, 2024 and amounted to SEK 26,543m. The Group's interest-bearing gross debt amounted to SEK 34,669m at the end of the quarter. The average maturity period was 3.3 years.

Compared with December 31, 2024, working capital increased SEK 1,491m. Working capital amounted to 9% (7) of net sales.

Equity attributable to owners of the Parent company decreased SEK 2,689m compared with December 31, 2024. Profit for the period attributable to owners of the Parent company increased the equity of owners of the Parent company by SEK 12,656m. Net translation effects excluding tax reduced equity by SEK 8,162m. The decrease is mainly attributable to a stronger Swedish krona. The dividend of SEK 5,711m and the buyback of own shares of SEK 3,160m reduced equity attributable to owners of the Parent company. The Group's total equity decreased SEK 2,701m compared with December 31, 2024.

Share buyback program

During the October 1–December 31, 2025 period, Essity bought back 2,150,228 own Class B shares for a total amount of SEK 555m. The share buyback is part of the SEK 3bn buyback program announced by Essity on April 23, 2025. The buyback program will extend from April 24, 2025 until the 2026 Annual General Meeting at the latest. As of December 31, 2025, Essity's holdings of own shares amounted to 10,005,826, corresponding to 1.4% of the total number of outstanding shares. The repurchased shares are expected to be canceled. The share buyback is financed using cash flow from current operations after the ordinary dividend with the ambition to continue with share buybacks over time as a recurring part of Essity's capital allocation.

Financial position

	2512	2412
Working capital, SEKm	12,237	10,746
Capital employed, SEKm	112,583	119,510
Net debt, SEKm	26,543	30,769
Debt/equity ratio	0.31	0.35
Debt payment capacity, %	74	59
Net debt/EBITDA	1.03	1.19
Net debt/EBITDA excl. IAC	1.03	1.16

Change in net debt

SEKm	2512	2412
Net debt at the beginning of theperiod	-30,769	-53,703
Net cash flow	42	25,168
Remeasurements to equity	2,423	96
Investments in non-operatingassets through leases	-331	-581
Translation differences	2,092	-1,749
Net debt at the end of the period	-26,543	-30,769

Net debt ROCE excl. IAC and ROE excl. IAC

Return

%	2025:4	2024:4	2512	2412
ROCE	17.6	15.8	17.2	16.9
ROCE excl. IAC	18.0	17.1	17.2	17.6
ROE	15.2	13.4	15.2	25.2
ROE excl. IAC	15.6	14.9	15.2	15.5

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Health & Medical

• Positive organic sales growth
• Higher volumes in both Incontinence Products Health Care and Medical Solutions
• Higher margin

Net sales

Net sales increased organically 0.7% as a result of higher volumes.

Growth was positive in North America and stable in Europe. In Latin America and Asia, growth was negative.

In Incontinence Products Health Care, volumes were higher while sales prices were lower.

Organic growth in Medical Solutions was mainly driven by higher sales prices and volume growth. Growth was positive in all three therapeutic areas: wound care, compression therapy and orthopedics.

EBITA excl. IAC

EBITA excl. IAC decreased while the EBITA margin excl. IAC increased. Volumes were higher and the cost of goods sold was slightly lower. Sales and administration costs were stable. Currency translation effects had a negative impact on earnings of SEK 113m.

A new campaign promotes the updated wound care product Cutimed® Siltec® Sorbact®, a bacteria-binding dressing featuring Sorbact® technology for improved wound management.

Change in net sales

%	2025:4 vs 2024:4
Total	-6.6
Volume	0.8
Price/Mix	-0.1
Organic growth	0.7
Acquisitions	─
Divestments	─
Currency translation	-7.3

Organic sales growth

	2025:4 vs	% of net
%	2024:4	sales
Incontinence Products Health Care	0.5	58
Medical Solutions	1.1	42

Financial overview

	2025:4	2024:4	%
Net sales, SEKm	6,926	7,417	-7
Organic sales growth, %	0.7	5.6
Gross profit margin excl. IAC, %	44.2	44.1
EBITA excl. IAC, SEKm	1,296	1,361	-5
EBITA margin excl. IAC, %	18.7	18.3
ROCE excl. IAC, %	16.1	16.1
Operating cash flow, SEKm	1,538	976	58

Net sales 2512 by region

Net sales

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Consumer Goods Financial overview

• Increased market shares
• High volume growth for Incontinence Products Retail
• Higher margin

Net sales

Net sales decreased organically 2.0%, primarily driven by lower sales prices. Volumes and product mix were also somewhat lower.

Growth was high in Latin America but negative in Europe and North America.

Incontinence Products Retail reported strong organic growth driven by higher volumes. The underlying growth in Feminine Care was good in the quarter although volumes were some what lower in Europe. Net sales were negatively impacted by an adjustment of previously reported customer discounts in Latin America. The Baby Care market in Europe remained challenging during the quarter, and growth in Baby Care was negative. In contrast, our leading Baby Care brand Libero noted strong growth in the Nordic region. Growth in Consumer Tissue was negative, mainly due to lower volumes and lower prices in the private label division. Own-brand sales increased in Consumer Tissue under brands such as Tempo, Zewa, Lotus and Familia.

Market shares increased for more than 65% of branded sales, with all four categories reporting an increase.

EBITA excl. IAC

EBITA and the EBITA margin excl. IAC increased mainly due to lower costs of goods sold. Lower sales prices and higher marketing costs had a negative impact. Currency translation effects had a negative impact on earnings of SEK 167m.

The upgrade of Invisible Day Pad, our ultra-thin pad range, provides maximum comfort and confidence, even absorbing sudden flows. The unique SmartPROTECT™ technology increases leak protection.

Change in net sales

%	2025:4 vs 2024:4
Total	-8.2
Volume	-0.4
Price/Mix	-1.6
Organic growth	-2.0
Acquisitions	─
Divestments	0.0
Currency translation	-6.2

Organic sales growth

%	2025:4 vs2024:4	% of netsales
Incontinence Products Retail	6.9	16
Feminine Care	-0.6	17
Baby Care	-3.5	9
Consumer Tissue	-4.4	58

	2025:4	2024:4	%
Net sales, SEKm	18,793	20,472	-8
Organic sales growth, %	-2.0	4.5
Gross profit margin excl. IAC, %	29.7	27.5
EBITA excl. IAC, SEKm	2,432	2,245	8
EBITA margin excl. IAC, %	12.9	11.0
ROCE excl. IAC, %	18.2	16.7
Operating cash flow, SEKm	1,838	1,114	65

Net sales 2512 by region

Net sales

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Professional Hygiene

• Market situation remains challenging
• Good growth in premium products
• Higher margin

Net sales

Net sales decreased organically 0.8%, driven by lower sales prices and volumes. Volumes were negatively affected by lower demand in the hotel and restaurant sector. The product mix remained favorable with an increased share of premium products.

Growth was positive in Latin America and Europe but negative in North America.

EBITA excl. IAC

EBITA excl. IAC decreased while the EBITA margin excl. IAC increased. Lower volumes and lower selling prices had a negative impact. Costs of goods sold were lower. Sales and administration costs were slightly higher. Currency translation effects had a negative impact on earnings of SEK 178m.

Tork Reflex™ dispenser with single-sheet dispensing helps our customers to reduce paper consumption by up to 37% and improves hygiene. The associated refill is made from completely recycled material, largely from cardboard boxes and beverage containers.

Change in net sales

%	2025:4 vs 2024:4
Total	-9.7
Volume	-0.5
Price/Mix	-0.3
Organic growth	-0.8
Acquisitions	─
Divestments	─
Currency translation	-8.9

Financial overview

	2025:4	2024:4	%
Net sales, SEKm	8,961	9,923	-10
Organic sales growth, %	-0.8	1.4
Gross profit margin excl. IAC, %	34.0	32.2
EBITA excl. IAC, SEKm	1,750	1,817	-4
EBITA margin excl. IAC, %	19.5	18.3
ROCE excl. IAC, %	27.7	28.8
Operating cash flow, SEKm	1,922	1,678	15

Net sales 2512 by region

46%		41%	9% 4%
Europe	North America	Latin America	Other

Net sales

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Other Group information

Sustainability

Sustainability is integrated into Essity's strategy and is a priority, with ambitious Group targets in several areas. The outcome for four of the targets is presented below. More information on these and other targets can be found in Essity's Annual Report.

Health and safety: 2025 Target: -75% vs 2019

Reduction in total recordable incident rate

2021	2022	2023	2024	2025
-45%	-39%	-58%	-66%	-66%

Total recordable incidents (TRI) include lost time accidents (LTA), restricted work cases (RWC), medical treatment cases (MTC), permanent disability (P) and fatality (F)

Ensuring a healthy and safe work environment for its employees is one of Essity's highest priorities. In 2025, the frequency of reported injuries had decreased by 66% compared with 2019, following dedicated and systematic safety efforts across all of Essity's production facilities. An important driver behind this progress is the company's "I Care" program, which strengthens the safety culture and provides employees with tools for a safe and healthy workplace.

Science-based emissions targets: 2030 Target: -35% vs 2016

Reduction in absolute greenhouse gas emissions, Scope 1 and 2

2021	2022	2023	2024	2025
-16%	-17%	-27%	-27%	-27%

Essity has reduced its absolute scope 1 and 2 emissions by 27% compared with 2016, in line with the company's SBTi validated targets. During 2025, contributions from measures such as fuel switching, renewable energy, and more efficient power supply helped reduce emissions, and Essity remains well on track to achieve a 35% emissions reduction by 2030.

Sustainable innovations: Target: >50% annually

Percentage leading to social and/or environmental improvements

2021	2022	2023	2024	2025
59%	72%	85%	87%	80%

Essity's ambition is to develop innovative solutions that meet user needs, create business value, and promote social and environmental sustainability. To reach this goal, Essity focuses on resource efficiency throughout the entire lifecycle, sustainable consumption, and reduced post consumer waste. In 2025, for example TENA Stretch™ Plus Briefs was launched, contributing to improved sustainability.

Gender distribution at management levels

Essity's target is that gender distribution at all management levels (Executive Management Team, senior management, middle management) is to be within the interval 40/60%, where the majority group based on gender is to constitute no more than 60%. The target is reported at an aggregate outcome level for the three management levels and the outcome for 2025 was 36/64%.

Gender distribution at management levels 2025

Share/number of women on the Board elected bythe Annual General Meeting	44%/4 (9)
Share/number of women on the Board elected by
trade unions	67%/2 (3)
Share/number of women in the Executive
Management Team	38%/5 (13)
Share/number of women in senior management	35%/36 (102)
Share/number of women in middle management	37%/255 (698)

In 2025, Essity's sustainability work continued to receive recognition. For example, the Group was once again awarded the Platinum medal by EcoVadis, the world's leading provider of business sustainability ratings. EcoVadis rewards not only strong policies but also measurable actions and results. This recognition places Essity among the top 1% of all companies assessed worldwide.

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Full-year 2025

Net sales

Net sales decreased 4.8% compared with the corresponding period a year ago and amounted to SEK 138,494m (145,546).

Sales increased organically 0.9%. All business areas reported positive organic growth. Volumes for the Group were stable, with higher volumes in Consumer Goods and Health & Medical. However, volumes were lower in Professional Hygiene, mainly due to lower demand in the hotel and restaurant sector. Higher prices had a positive impact on growth, mainly driven by Professional Hygiene and Consumer Goods. The product mix was stable for the Group.

Operating profit

The gross margin increased 0.9 percentage points to 33.3% (32.4). The gross margin excl. IAC amounted to 33.3% (32.7). Earnings were positively impacted by higher sales prices. The costs of goods sold increased, primarily due to higher raw material and distribution costs, including trade tariffs. Energy costs were lower. Savings in cost of goods sold amounted to approximately SEK 500m.

EBITA amounted to SEK 19,503m (19,475) and EBITA excl. IAC decreased 4% to SEK 19,572m (20,344). Excluding currency translation effects, EBITA excl. IAC increased 3%. The EBITA margin excl. IAC increased 0.1 percentage points to 14.1% (14.0). Sales and administration costs increased to 19.2% (18.8), of which marketing costs accounted for 5.2% (5.2). IAC amounted to SEK -69m (-939).

Group	2512	2412	%
Net sales, SEKm	138,494	145,546	-5
Organic sales growth, %	0.9	0.2
Gross profit margin excl. IAC, %	33.3	32.7
EBITA excl. IAC, SEKm	19,572	20,344	-4
EBITA margin excl. IAC, %	14.1	14.0
ROCE excl. IAC, %	17.2	17.6
Operating cash flow, SEKm	14,998	17,242	-13

Financial items

Financial items decreased to SEK -1,384m (-1,931) mainly on account of lower average net debt.

Tax

The tax expense was SEK 4,443m (4,331), corresponding to a tax rate of 25.9% (26.5). The tax expense excl. IAC was SEK 4,454m (4,525), corresponding to a tax rate of 25.8% (26.2).

Profit for the period

Profit for the period, total operations, amounted to SEK 12,718m (21,048). Profit for the period, continuing operations, was SEK 12,718m (12,033).

Health & Medical	2512	2412	%
Net sales, SEKm	27,468	28,599	-4
Organic sales growth, %	1.0	3.9
Gross profit margin excl. IAC, %	44.1	44.9
EBITA excl. IAC, SEKm	4,946	5,509	-10
EBITA margin excl. IAC, %	18.0	19.3
ROCE excl. IAC, %	15.0	16.3
Operating cash flow, SEKm	4,639	4,859	-5

Consumer Goods	2512	2412	%
Net sales, SEKm	75,095	78,892	-5
Organic sales growth, %	1.2	0.3
Gross profit margin excl. IAC, %	29.9	28.8
EBITA excl. IAC, SEKm	9,605	9,509	1
EBITA margin excl. IAC, %	12.8	12.1
ROCE excl. IAC, %	17.9	17.7
Operating cash flow, SEKm	6,735	7,680	-12

Professional Hygiene	2512	2412	%
Net sales, SEKm	35,904	38,067	-6
Organic sales growth, %	0.3	-2.5
Gross profit margin excl. IAC, %	32.3	31.7
EBITA excl. IAC, SEKm	6,364	6,829	-7
EBITA margin excl. IAC, %	17.7	17.9
ROCE excl. IAC, %	24.9	27.1
Operating cash flow, SEKm	5,346	6,149	-13

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Cash flow

Operating cash flow amounted to SEK 14,998m (17,242). Net cash flow for continuing operations was SEK 42m (25,635), and for discontinued operations SEK 0m (-467).

Share buyback

The SEK 3bn share buyback program, which began on June 17, 2024, was completed on March 13, 2025. A new SEK 3bn buyback program began on April 24, 2025 and extends until the 2026 Annual General Meeting at the latest. During 2025, Essity bought back in total 11,895,826 own Class B shares for a total amount of SEK 3,160m. As of December 31, 2025, Essity's holdings of own shares amounted to 10,005,826, corresponding to 1.4% of the total number of shares outstanding. The repurchased shares are expected to be canceled. The share repurchase is financed using cash flow from current operations after the ordinary dividend with the ambition to continue with share buybacks over time as a recurring part of Essity's capital allocation.

Dividend

The Board of Directors proposes an increase in the dividend of 6% to SEK 8.75 per share (8.25). Based on the number of outstanding shares at December 31, 2025, the dividend corresponds to a total amount of SEK 5,977m (5,711). March 30, 2026 is proposed as the record date for the right to receive dividends, and the dividend is expected to be paid on April 2, 2026.

NB: This information is such information 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 a.m. CET on January 22, 2026.

This report has not been reviewed by the company's auditors.

Events during the quarter

Essity strengthens conditions for profitable growth

On October 23, 2025, Essity announced that the company was launching measures to create better conditions for profitable growth. Actions include an organizational change as well as a cost savings program that is expected to generate annual savings of approximately SEK 1bn with full effect by the end of 2026. Effective from January 1, 2026, the new organization consists of the business areas Health & Medical, Personal Care, Consumer Tissue and Professional Hygiene. Tuomas Yrjölä, President Global Marketing & Innovation, has been appointed President Personal Care. Volker Zöller, President Consumer Goods EMEA, has been appointed President Consumer Tissue. Anand Chandarana and Pablo Fuentes have been appointed President Health & Medical and President Professional Hygiene, respectively, also in the new organization.

Essity acquires feminine care business

On November 12, 2025, Essity announced that it had entered into an agreement to acquire Edgewell Personal Care's feminine care business, including the brands Carefree, Stayfree and o.b. The acquisition supports Essity's strategy to focus on high-margin categories and to strengthen its market positions in the US. The transaction is expected to close in the first quarter of 2026.

Ilham Smaali appointed Chief Supply Chain Officer

On December 12, 2025, Essity announced the appointment of Ilham Smaali as Chief Supply Chain Officer. She took office on December 31, 2025, and also joined the company's Executive Management Team on the same date. Supply Chain Enablement is a newly

established function tasked with ensuring economies of scale and supporting functional transformation and standardized working methods.

Events after the quarter

Discontinued lawsuit against Essity regarding bond loans

On January 8, 2026, Essity announced that the funds that had brought an action against Essity in the English courts regarding bond loans issued by the company had chosen to discontinue their action. The case is therefore closed.

Stockholm, January 22, 2026 Essity Aktiebolag (publ) Ulrika Kolsrud President and CEO

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 2025, Essity had net sales of approximately SEK 138bn (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.

{12}------------------------------------------------

Financial statements

Condensed consolidated income statement

SEKm	2025:4	2024:4	%	2512	2412	%
Net sales	34,695	37,805	-8	138,494	145,546	-5
Cost of goods sold	-23,000	-25,731		-92,351	-97,929
Items affecting comparability (IAC) - cost of goodssold	-24	-106		-21	-483
Gross profit	11,671	11,968	-2	46,122	47,134	-2
Gross profit excl. IAC	11,695	12,074	-3	46,143	47,617	-3
Sales, general and administration costs	-6,578	-7,119		-26,571	-27,351
Items affecting comparability (IAC) - sales, generaland administration costs	-88	-278		-48	-386
Share of profits of associates and joint ventures1)	─	14		─	78
Operating profit before amortization of acquisitionrelated intangible assets (EBITA)	5,005	4,585	9	19,503	19,475	0
Operating profit before amortization of acquisitionrelated intangible assets (EBITA) excl. IAC	5,117	4,969	3	19,572	20,344	-4
Amortization of acquisition-related intangible assets	-232	-270		-972	-1,110
Items affecting comparability (IAC) - acquisitionrelated intangible assets	-19	─		─	-70
Operating profit	4,754	4,315	10	18,531	18,295
Operating profit excl. IAC	4,885	4,699	4	18,600	19,234	-3
Share of profits of associates and joint ventures1)	5	─		14	─
Financial items	-309	-416		-1,384	-1,931
Profit before tax	4,450	3,899	14	17,161	16,364	5
Profit before tax excl. IAC	4,581	4,283	7	17,230	17,303	0
Income taxes	-1,226	-1,006		-4,443	-4,331
Profit for the period, continuing operations	3,224	2,893	11	12,718	12,033	6
Profit for the period excl. IAC, continuing operations	3,324	3,210	4	12,776	12,778	0
Profit for the period, discontinued operations	─	─		─	9,015
Profit for the period, total operations	3,224	2,893	11	12,718	21,048	-40
Items affecting comparability (IAC) before tax	-131	-384		-69	-939
Items affecting comparability (IAC) after tax	-100	-317		-58	-745
Tax on amortization of acquisition-related intangibleassets	71	80		289	316

SEKm	2025:4	2024:4	2512	2412
Earnings attributable to:
Owners of the Parent company
Profit for the period, continuing operations	3,208	2,874	12,656	11,969
Profit for the period, discontinued operations	─	─	─	8,919
Profit for the period, total operations	3,208	2,874	12,656	20,888
Non-controlling interests
Profit for the period, continuing operations	16	19	62	64
Profit for the period, discontinued operations	─	─	─	96
Profit for the period, total operations	16	19	62	160
Earnings per share
-owners of the Parent company
Earnings per share before and after dilutioneffects, continuing operations, SEK	4.69	4.13	18.37	17.09
Earnings per share before and after dilutioneffects, discontinued operations, SEK	─	0.00	─	12.74
Earnings per share before and after dilutioneffects, total operations, SEK	4.69	4.13	18.37	29.83
Average numbers of shares before and afterdilution effects, million	683.9	696.5	689.0	700.3

1) Until 2024, the share of results of associates and joint ventures was recognized in operating profit. From 2025 onwards, these results are recognized below operating profit.

{13}------------------------------------------------

Consolidated statement of comprehensive income

SEKm	2025:4	2024:4	%	2512	2412	%
Profit for the period, continuing operations	3,224	2,893	11	12,718	12,033	6
Profit for the period, discontinued operations	─	─		─	9,015
Profit for the period, total operations	3,224	2,893	11	12,718	21,048	-40
Other comprehensive income for the period
Items that will not be reclassified to the incomestatement
Actuarial gains/losses on defined benefit pensionplans	1,214	-706		2,420	92
Fair value through other comprehensive income	2	0		4	4
Income tax attributable to components in othercomprehensive income	-64	192		-371	-36
Total, continuing operations	1,152	-514		2,053	60
Total operations	1,152	-514		2,053	60

SEKm	2025:4	2024:4	2512	2412
Items that have been or may be reclassifiedsubsequently to the income statement
Cash flow hedges:
Result from remeasurement of derivativesrecognized in equity	-218	346	-774	-3
Transferred to profit or loss for the period	94	214	203	1,740
Translation differences in foreign operations	-1,742	3,904	-9,999	4,623
Gains/losses from hedges of net investments inforeign operations	62	-911	1,784	-1,488
Income tax attributable to components in othercomprehensive income	15	63	-243	-146
Total, continuing operations	-1,789	3,616	-9,029	4,726
Total, discontinued operations	─	─	─	-557
Total operations	-1,789	3,616	-9,029	4,169
Other comprehensive income for the period, netof tax	-637	3,102	-6,976	4,229
Of which, continuing operations	-637	3,102	-6,976	4,786
Of which, discontinued operations	─	─	─	-557
Total comprehensive income for the period	2,587	5,995	5,742	25,277
Of which, continuing operations	2,587	5,995	5,742	16,819
Of which, discontinued operations	─	─	─	8,458
Total comprehensive income attributable to:
Owners of the Parent company	2,580	5,956	5,734	24,719
Non-controlling interests	7	39	8	558

{14}------------------------------------------------

Consolidated balance sheet

SEKm	Dec 31, 2025	Dec 31, 2024
ASSETS
Non-current assets
Goodwill	36,861	41,137
Intangible assets	18,273	20,734
Property, plant and equipment	46,308	48,304
Right-of-use assets	3,752	4,088
Investments in associates and joint ventures	307	351
Shares and participations	8	8
Surplus in funded pension plans	4,340	2,475
Non-current financial assets	142	128
Deferred tax assets	2,122	2,326
Other non-current assets	725	824
Total non-current assets	112,838	120,375
Current Assets
Inventories	18,153	18,914
Trade receivables	21,332	23,538
Current tax assets	1,626	1,673
Other current receivables	3,414	4,480
Current financial assets	1,266	5,342
Cash and cash equivalents	8,487	10,962
Total current assets	54,278	64,909
Total assets	167,116	185,284

SEKm	Dec 31, 2025	Dec 31, 2024
EQUITY AND LIABILITIES
Equity
Owners of the Parent company
Share capital	2,350	2,350
Reserves	4,257	13,224
Retained earnings including profit/loss for the period	79,018	72,740
Equity attributable to owner of the Parent company	85,625	88,314
Non-controlling interests	415	427
Total equity	86,040	88,741
Non-current liabilities
Non-current financial liabilities	31,386	40,674
Provisions for pensions	2,146	2,578
Deferred tax liabilities	6,272	6,978
Other non-current provisions	384	507
Other non-current liabilities	92	516
Total non-current liabilities	40,280	51,253
Current liabilities
Current financial liabilities	7,246	6,424
Trade payables	14,437	17,098
Current tax liabilities	1,847	1,442
Current provisions	1,200	1,377
Other current liabilities	16,066	18,949
Total current liabilities	40,796	45,290
Total equity and liabilities	167,116	185,284

{15}------------------------------------------------

Consolidated statement of change in equity

SEKm	Dec 31, 2025	Dec 31, 2024
Equity attributable to owners of the Parent company
Value, beginning of the period	88,314	70,846
Total comprehensive income for the period	5,734	24,719
Dividend	-5,711	-5,443
Repurchase of own shares	-3,160	-2,224
Acquisition of non-controlling interests	─	-8
Transferred to cost of hedged investments	6	31
Revaluation effect upon acquisition of non-controllinginterests	442	393
Value, end of period	85,625	88,314
Non-controlling interests
Value, beginning of period	427	8,559
Total comprehensive income for the period	8	558
Dividend	-20	-23
Divestment of non-controlling interests	─	-8,624
Acquisition of non-controlling interests	─	-43
Value, end of period	415	427
Total equity, value end of period	86,040	88,741

{16}------------------------------------------------

Consolidated cash flow statement

SEKm	2512	2412
Operating activities
Operating profit	18,531	18,295
Adjustments for non-cash items1)	7,777	8,019
Capitalized expenditures to fulfill contracts with customers	-490	-467
Change in provisions relating to restructuring programs, etc.	-231	-271
Cash flow from changes in working capital
Change in inventories	-916	-946
Change in operating receivables	853	-2,218
Change in operating liabilities	-2,882	2,756
Cash flow from operations	22,642	25,168
Interest paid	-2,664	-2,473
Interest received	276	569
Other financial items	-82	-235
Income taxes paid	-4,713	-5,860
Cash flow from operating activities, continuing operations	15,459	17,169
Cash flow from operating activities, discontinued operations	─	-368
Cash flow from operating activities, total operations	15,459	16,801
Investing activities
Acquisitions of Group companies and other operations	─	-17
Divestments of Group companies and other operations	5	17,980
Investments in intangible assets and property, plant and equipment	-7,090	-7,396
Paid interest capitalized in intangible assets and property, plant and equipment	-13	-39
Sale of property, plant and equipment	205	103
Purchase and sale of financial assets with short maturities	3,672	-1,137
Cash flow from investing activities, continuing operations	-3,221	9,494
Cash flow from investing activities, discontinued operations	─	-87
Cash flow from investing activities, total operations	-3,221	9,407

SEKm	2512	2412
Financing activities
Acquisition of non-controlling interests	-	-51
Proceeds from borrowings	999	1,397
Repayment of borrowings	-5,173	-15,004
Payment of lease liabilities	-1,090	-1,069
Change in borrowings with short maturities, etc.	-250	93
Dividend	-5,711	-5,443
Dividend to non-controlling interests	-20	-23
Repurchase of own shares	-3,160	-2,224
Cash flow from financing activities, continuing operations	-14,405	-22,324
Cash flow from financing activities, discontinued operations	─	-12
Cash flow from financing activities, total operations	-14,405	-22,336
Cash flow for the period, continuing operations	-2,167	4,339
Cash flow for the period, discontinued operations	─	-467
Cash flow for the period, total operations	-2,167	3,872
Cash and cash equivalents at the beginning of the period	10,962	6,927
Translation differences in cash and cash equivalents	-308	163
Cash and cash equivalents at the end of the period	8,487	10,962

1) Adjustments for non-cash items

SEKm	2512	2412
Depreciation/amortization and impairment of non-current assets	7,157	7,505
Depreciation of capitalized selling expenses	453	474
Gain/loss on sale of assets	-34	-30
Gain/loss on divestment and liquidation	4	─
Non-cash items relating to restructuring program	106	185
Other	91	-115
Total	7,777	8,019

{17}------------------------------------------------

Consolidated cash flow statement, cont.

SEKm	2512	2412
Reconciliation with consolidated operating cash flow statement
Cash flow for the period, continuing operations	-2,167	4,339
Proceeds from borrowings	-999	-1,397
Repayment of borrowings	5,173	15,004
Payment of lease liabilities	1,090	1,069
Change in borrowings with short maturities, etc.	250	-93
Purchase and sale of financial assets with short maturities	-3,672	1,137
Net debt in acquired and divested operations	─	5,928
Investments in operating assets through leases	-719	-560
Accrued interest, etc.	1,087	208
Other	-1	0
Net cash flow according to consolidated operating cash flow statement	42	25,635

{18}------------------------------------------------

Condensed financial statements, Parent company

Condensed Parent company income statement

SEKm	2512	2412
Administrative expenses	-979	-1,090
Other operating income	393	688
Operating loss	-586	-402
Financial items	11,601	19,945
Profit/loss before appropriations and tax	11,015	19,543
Appropriations and income taxes1)	1,219	-1,392
Profit/loss for the period	12,234	18,151

1)As of the 2025 fiscal year, the Parent company applies the alternative rule in accordance with RFR 2 Accounting for Legal Entities when reporting Group contributions and recognizes the net of Group contributions paid and received as appropriations. The comparative period has been restated. Group contributions were recognized under financial items in previous years.

Parent company statement of comprehensive income

SEKm	2512	2412
Profit/loss for the period	12,234	18,151
Other comprehensive income for the period	─	─
Total comprehensive income for the period	12,234	18,151

Condensed Parent company balance sheet

SEKm	Dec 31, 2025	Dec 31, 2024
Assets
Intangible assets	0	0
Property, plant and equipment	11	12
Financial non-current assets	176,680	177,152
Total non-current assets	176,691	177,164
Total current assets	2,568	770
Total assets	179,259	177,934
Equity, provisions and liabilities
Equity
Restricted equity	2,350	2,350
Non-restricted equity	85,376	82,013
Total equity	87,726	84,363
Untaxed reserves	1,477	827
Provisions	830	818
Non-current liabilities	30,028	37,877
Current liabilities	59,198	54,049
Total equity, provisions and liabilities	179,259	177,934

{19}------------------------------------------------

Notes

Note 1 Accounting principles

This interim report has been prepared in accordance with IAS 34 and recommendation RFR 1 of the Swedish Corporate Reporting Board and RFR 2 for the Parent company. On January 1, 2025, the International Accounting Standards Board (IASB®) published amendments to IAS 21, The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability, that entered into force following approval by the EU. Essity Aktiebolag (publ) applies this amendment, which has not had any material impact on the Group's or the Parent company's financial statements.

In other respects, the accounting principles and calculation methods applied correspond to those described in Essity's 2024 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.

Essity's financial risk management is centralized, as is its internal bank for financial transactions conducted by Group companies and the management of the Group's energy risks. Financial risks are managed in accordance with the Group's Finance Policy, which is adopted by Essity's Board and, together with Essity's Energy Risk Policy, provides a management framework. Risks are continuously compiled and monitored 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 41–46 and 59–60 in the 2024 Annual Report. 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.

The introduction or escalation of trade disputes, such as the imposition of significantly higher tariffs by the US administration on imports from certain trading partners, and any subsequent retaliation by such trading partners, may have an impact on tariffs or other barriers imposed on importers of goods between territories. This could directly or indirectly affect the Group's financial position and operating results, by increasing the prices of its products, weakening consumer purchasing power or otherwise causing economic instability in the affected countries.

{20}------------------------------------------------

Note 3 Financial assets and liabilities

Measurement principles and classifications of financial instruments, as described in Essity's 2024 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.

	Carrying		Carrying
	amount inthe balance		amount inthe balance		Measurem
SEKm	sheet	Fair value	sheet	Fair value	ent level 1)
	Dec 31, 2025	Dec 31, 2025	Dec 31,2024	Dec 31,2024
Assets
Derivatives	506	506	1,102	1,102	2
Non-current financial assets	106	106	109	109	1
Total assets	612	612	1,211	1,211
Liabilities
Derivatives	1,607	1,607	3,304	3,304	2
Current financial liabilities2)	5,707	5,707	4,572	4,572	2
Non-current financial liabilities2)	27,692	27,192	34,962	34,176	2
Total liabilities	35,006	34,506	42,838	42,052

1) No financial instruments have been classified to level 3.

Note 4 The share

Number of shares

	2025:4	2024:4	2512	2412
Number of shares, end of period	693,054,489	702,342,489	693,054,489	702,342,489
Of which class A-shares	58,200,658	59,973,654	58,200,658	59,973,654
Of which class B-shares	634,853,831	642,368,835	634,853,831	642,368,835
Number of Class B shares held byEssity, end of period	10,005,826	7,398,000	10,005,826	7,398,000
Number of outstanding sharesbefore and after dilution, end ofperiod	683,048,663	694,944,489	683,048,663	694,944,489
Average number of Class B sharesheld by Essity	9,144,863	5,853,717	6,425,604	2,065,131
Average number of shares beforeand after dilution	683,909,626	696,488,772	688,969,969	700,277,358

At the Annual General Meeting on March 27, 2025, a resolution was passed to cancel the company's own shares, which was carried out in the second quarter. Following the cancellation of 9,288,000 Class B shares, Essity has a total of 693,054,489 outstanding shares.

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

SEKm	2512	2412
Profit for the period, Vinda	─	217
Other profit for the period, Vinda	─	8 7981)
Profit for the period, discontinued operations	─	9,015
1) Of which:
Profit from divestment	─	8,366
Reclassification of realized translation differences after tax	─	748
Transaction cost	─	-227
Impairment of Essity owned intangible asset related to Vinda after tax	─	-89

Income statement, discontinued operations

SEKm	2512	2412
Net sales	─	4,533
Operating expenses	─	-4,261
Operating profit	─	272
Financial items	─	-27
Profit before tax	─	245
Income taxes	─	-28
Profit for the period, discontinued operations	─	217

2) The measurement level refers to liabilities measured at fair value in a hedging relationship.

{21}------------------------------------------------

Note 5 cont.

Income statement, discontinued operations, cont.

SEKm	2512	2412
Profit for the period, discontinued operations attributable to:
Owners of the Parent company	─	8,919
Non-controlling interests	─	96
Earnings per share, discontinued operations - Owners of the Parent company
Earnings per share, discontinued operations before and after dilution effects,SEK	─	12.74
Average numbers of shares before and after dilution, million	─	700.3

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 analyze the company's operations. These non-IFRS performance measures may differ from similarly titled measures among other companies. Essity's 2024 Annual Report, pages 124–128, 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.

Abbreviation	Complete expression
EBITA	Operating profit before amortization of acquisition-related intangible assets
EBITDA	Operating profit before depreciation and amortization of property, plant andequipment and intangible assets
IAC	Items affecting comparability
ROCE	Return on capital employed
ROE	Return on equity

Capital employed

SEKm	2512	2412
Total assets	167,116	185,284
-Financial assets	-14,235	-18,907
-Non-current non-interest bearing liabilities	-6,748	-8,001
-Current non-interest bearing liabilities	-33,550	-38,866
Capital employed	112,583	119,510

Working capital

SEKm	2512	2412
Inventories	18,153	18,914
Trade receivables	21,332	23,538
Other current receivables	3,414	4,480
Trade payables	-14,437	-17,098
Other current liabilities	-16,066	-18,949
Other	-159	-139
Working capital	12,237	10,746

{22}------------------------------------------------

Note 6 cont.

Net debt

SEKm	2512	2412
Surplus in funded pension plans	4,340	2,475
Non-current financial assets	142	128
Current financial assets	1,266	5,342
Cash and cash equivalents	8,487	10,962
Financial assets	14,235	18,907
Non-current financial liabilities	31,386	40,674
Provisions for pensions	2,146	2,578
Current financial liabilities	7,246	6,424
Financial liabilities	40,778	49,676
Net debt	26,543	30,769

EBITA

SEKm	2025:4	2024:4	2512	2412
Operating profit	4,754	4,315	18,531	18,295
-Amortization of acquisition-related intangible assets	232	270	972	1,110
-Items affecting comparability (IAC) - impairment of acquisitionrelated intangible assets	19	0	0	70
Operating profit before amortization and impairment ofacquisition-related intangible assets (EBITA)	5,005	4,585	19,503	19,475
EBITA margin (%)	14.4	12.1	14.1	13.4
-Items affecting comparability (IAC) - cost of goods sold	24	106	21	483
-Items affecting comparability (IAC) - sales, general andadministration	88	278	48	386
EBITA excl. IAC	5,117	4,969	19,572	20,344
EBITA margin excl. IAC (%)	14.7	13.1	14.1	14.0

EBITDA

SEKm	2025:4	2024:4	2512	2412
Operating profit	4,754	4,315	18,531	18,295
-Amortization of acquisition-related intangible assets	232	270	972	1,110
-Depreciation/amortization	1,300	1,316	4,994	5,028
-Depreciation right-of-use assets	277	277	1,111	1,089
-Impairment	12	30	45	56
-Items affecting comparability (IAC) - impairment net	21	-66	35	152
-Items affecting comparability (IAC) - impairment of acquisitionrelated intangible assets	19	─	─	70
EBITDA	6,615	6,142	25,688	25,800
-Items affecting comparability (IAC) excludingdepreciation/amortization and impairment	91	450	34	717
EBITDA excl. IAC	6,706	6,592	25,722	26,517

Organic sales growth

SEKm	2025:4	2024:4	2512	2412
Organic sales growth	-400	1,421	1,382	319
Acquisitions	─	─	─	─
Divestments	0	-7	-28	-1,325
Exchange rate effect1)	-2,710	-234	-8,406	-595
Recognized change	-3,110	1,180	-7,052	-1,601

1) Consists solely of currency translation effects

{23}------------------------------------------------

Note 7 Segment reporting

The tables below show parts of the income statement broken down by operating segment: Health & Medical, Consumer Goods and Professional Hygiene.

SEKm					2025:4
	Health &Medical	ConsumerGoods	ProfessionalHygiene	Otheroperations	TotalGroup
Net sales	6,926	18,793	8,961	15	34,695
Cost of goods sold	-3,862	-13,209	-5,915	-14	-23,000
Sales, general and administration	-1,768	-3,152	-1,296	-362	-6,578
Share of results of associates and jointventures	─	─	─	─	─
Operating profit/loss before amortization ofacquisition-related intangible assets(EBITA) excl. IAC	1,296	2,432	1,750	-361	5,117
Amortization of acquisition-relatedintangible assets	-173	-54	-5	─	-232
Operating profit/loss excl. IAC	1,123	2,378	1,745	-361	4,885
Items affecting comparability (IAC)	-11	-95	-15	-10	-131
Operating profit/loss	1,112	2,283	1,730	-371	4,754
Share of results of associates and jointventures					5
Financial items					-309
Tax expense for the period					-1,226
Profit for the period, continuing operations					3,224

SEKm	Health &Medical	ConsumerGoods	ProfessionalHygiene	Otheroperations	2024:4TotalGroup
Net sales	7,417	20,472	9,923	-7	37,805
Cost of goods sold	-4,144	-14,833	-6,725	-29	-25,731
Sales, general and administration	-1,912	-3,420	-1,369	-418	-7,119
Share of results of associates and jointventures	─	26	-12	─	14
Operating profit/loss before amortization ofacquisition-related intangible assets(EBITA) excl. IAC	1,361	2,245	1,817	-454	4,969
Amortization of acquisition-relatedintangible assets	-203	-62	-5	─	-270
Operating profit/loss excl. IAC	1,158	2,183	1,812	-454	4,699
Items affecting comparability (IAC)	-83	-57	-163	-81	-384
Operating profit/loss	1,075	2,126	1,649	-535	4,315
Share of results of associates and jointventures					─
Financial items					-416
Tax expense for the period					-1,006
Profit for the period, continuing operations					2,893

{24}------------------------------------------------

Note 7 cont.

SEKm					2512
	Health &	Consumer	Professional	Other	Total
	Medical	Goods	Hygiene	operations	Group
Net sales	27,468	75,095	35,904	27	138,494
Cost of goods sold	-15,368	-52,636	-24,298	-49	-92,351
Sales, general and administration	-7,154	-12,854	-5,242	-1,321	-26,571
Share of results of associates and jointventures	─	─	─	─	─
Operating profit/loss before amortizationof acquisition-related intangible assets(EBITA) excl. IAC	4,946	9,605	6,364	-1,343	19,572
Amortization of acquisition-relatedintangible assets	-731	-221	-21	─	-972
Operating profit/loss excl. IAC	4,215	9,384	6,343	-1,342	18,600
Items affecting comparability (IAC)	-12	3	-16	-44	-69
Operating profit/loss	4,203	9,387	6,327	-1,386	18,531
Share of results of associates and jointventures					14
Financial items					-1,384
Tax expense for the period					-4,443
Profit for the period, continuingoperations					12,718

SEKm					2412
	Health &Medical	ConsumerGoods	ProfessionalHygiene	Otheroperations	TotalGroup
Net sales	28,599	78,892	38,067	-12	145,546
Cost of goods sold	-15,761	-56,144	-26,010	-14	-97,929
Sales, general and administration	-7,329	-13,324	-5,221	-1,477	-27,351
Share of results of associates and jointventures	─	85	-7	─	78
Operating profit/loss beforeamortization of acquisition-relatedintangible assets (EBITA) excl. IAC	5,509	9,509	6,829	-1,503	20,344
Amortization of acquisition-relatedintangible assets	-841	-247	-22	─	-1,110
Operating profit/loss excl. IAC	4,668	9,262	6,807	-1,503	19,234
Items affecting comparability (IAC)	-136	-461	-156	-186	-939
Operating profit/loss	4,532	8,801	6,651	-1,689	18,295
Share of results of associates and jointventures					─
Financial items					-1,931
Tax expense for the period					-4,331
Profit for the period, continuingoperations					12,033

{25}------------------------------------------------

Note 8 Supplementary information

Recalculated information by business area – effective January 1, 2026

Net sales

SEKm	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	6,926	6,883	6,723	6,936	27,468	28,599	27,729
Personal Care	7,884	7,927	7,763	7,984	31,558	33,006	31,972
Consumer Tissue	10,909	10,656	10,671	11,301	43,537	45,886	47,940
ProfessionalHygiene	8,961	9,183	9,003	8,757	35,904	38,067	39,481
Other	15	-11	25	-2	27	-12	25
Group	34,695	34,638	34,185	34,976	138,494	145,546	147,147

Organic sales growth

%	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	0.7	1.7	0.1	1.7	1.0	3.9	7.0
Personal Care	1.5	4.5	3.6	3.0	3.2	3.8	8.2
Consumer Tissue	-4.4	-1.9	2.9	2.7	-0.2	-2.0	1.0
ProfessionalHygiene	-0.8	0.7	0.6	0.7	0.3	-2.5	9.1
Group	-1.1	0.9	1.9	2.1	0.9	0.2	5.8

EBITA excl. IAC

SEKm	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	1,296	1,260	1,159	1,231	4,946	5,509	4,037
Personal Care	990	1,110	1,120	1,198	4,418	5,045	4,333
Consumer Tissue	1,442	1,252	1,248	1,245	5,187	4,464	5,464
ProfessionalHygiene	1,750	1,676	1,525	1,413	6,364	6,829	6,288
Other	-361	-242	-359	-381	-1,343	-1,503	-1,224
Group	5,117	5,056	4,693	4,706	19,572	20,344	18,898

EBITA margin excl. IAC

%	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	18.7	18.3	17.2	17.7	18.0	19.3	14.6
Personal Care	12.6	14.0	14.4	15.0	14.0	15.3	13.6
Consumer Tissue	13.2	11.7	11.7	11.0	11.9	9.7	11.4
ProfessionalHygiene	19.5	18.3	16.9	16.1	17.7	17.9	15.9
Group	14.7	14.6	13.7	13.5	14.1	14.0	12.8

Capital employed

SEKm	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	31,577	32,673	33,352	32,366	31,577	34,566	32,762
Personal Care	18,299	18,621	18,405	17,913	18,299	18,593	17,229
Consumer Tissue	34,744	35,512	35,442	34,180	34,744	36,700	34,780
ProfessionalHygiene	25,176	25,311	25,850	25,494	25,176	25,998	24,021
Other	2,787	2,172	2,335	-3,4751)	2,787	3,653	1,958
Group	112,583	114,289	115,384	106,478	112,583	119,510	110,750

1) Of this amount, SEK 5,711m represents a liability relating to the dividend for Essity's shareholders paid on April 3, 2025, as decided at the Annual General Meeting on March 27, 2025.

ROCE excl. IAC

%	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	16.1	15.3	14.1	14.7	15.0	16.3	11.7
Personal Care	21.5	24.0	24.7	26.2	24.1	28.1	24.1
Consumer Tissue	16.4	14.1	14.3	14.1	14.7	12.5	15.3
ProfessionalHygiene	27.7	26.2	23.8	22.0	24.9	27.1	23.6
Group	18.0	17.6	16.9	16.7	17.2	17.6	16.4

Operating cash flow

SEKm	2025:4	2025:3	2025:2	2025:1	2512	2412	2312
Health & Medical	1,538	1,471	398	1,232	4,639	4,859	3,680
Personal Care	541	1,133	654	215	2,543	4,369	4,199
ConsumerTissue	1,297	947	506	1,442	4,192	3,311	4,034
ProfessionalHygiene	1,922	1,880	490	1,054	5,346	6,149	7,330
Other	-929	-107	-508	-178	-1,722	-1,446	-1,558
Group	4,369	5,324	1,540	3,765	14,998	17,242	17,685

{26}------------------------------------------------

Other financial information

Group information by quarter

	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Net sales,SEKm	34,695	34,638	34,185	34,976	37,805	36,274	36,617	34,850	36,625
Organic salesgrowth, %	-1.1	0.9	1.9	2.1	3.9	1.9	-0.9	-4.0	-0.7
Gross profit,SEKm	11,671	11,598	11,389	11,464	11,968	11,962	12,003	11,201	11,675
Gross profitexcl. IAC,SEKm	11,695	11,573	11,401	11,474	12,074	11,826	12,150	11,567	11,720
EBITA, SEKm	5,005	5,152	4,628	4,718	4,585	5,130	5,237	4,523	4,611
EBITA excl.IAC, SEKm	5,117	5,056	4,693	4,706	4,969	5,097	5,398	4,880	4,853
Operatingprofit, SEKm	4,754	4,909	4,386	4,482	4,315	4,868	4,978	4,134	4,341
Profit for theperiod, SEKm	3,224	3,358	3,053	3,083	2,893	3,329	3,334	2,477	2,858
Operatingcash flow,SEKm	4,369	5,324	1,540	3,765	3,297	6,453	3,239	4,253	5,914
ROCE, %	17.6	17.9	16.7	16.7	15.8	17.8	17.9	15.9	16.2
ROCE excl.IAC, %	18.0	17.6	16.9	16.7	17.1	17.7	18.5	17.2	17.1
Capitalemployed,SEKm	112,583	114,289	115,384	106,478	119,510	112,957	117,076	116,439	110,750
ROE, %	15.2	16.3	15.2	14.6	13.4	15.9	16.1	56.9	14.4
ROE excl.IAC, %	15.6	15.9	15.4	14.5	14.9	15.8	16.6	15.0	15.5
Debt/equityratio, %	0.31	0.36	0.42	0.34	0.35	0.35	0.40	0.42	0.68
Equity/assetsratio, %	51	50	48	46	48	46	46	44	35
Net debt,SEKm	26,543	30,306	34,177	26,774	30,769	29,122	33,214	34,263	53,703
Earnings pershare, SEK	4.69	4.86	4.39	4.43	4.13	4.73	4.72	3.51	4.04
Earnings pershare excl.IAC, SEK	5.07	5.01	4.71	4.65	4.85	4.97	5.13	4.33	4.54
Equity pershare, SEK	125	122	117	115	127	119	119	117	113

Margins (%)	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Gross margin	33.6	33.5	33.3	32.8	31.7	33.0	32.8	32.1	31.9
Gross margin excl. IAC	33.7	33.4	33.4	32.8	31.9	32.6	33.2	33.2	32.0
EBITA margin	14.4	14.9	13.5	13.5	12.1	14.1	14.3	13.0	12.6
EBITA margin excl. IAC	14.7	14.6	13.7	13.5	13.1	14.1	14.7	14.0	13.3
Operating margin	13.7	14.2	12.8	12.8	11.4	13.4	13.6	11.9	11.9
Operating margin excl.IAC	14.1	13.9	13.0	12.7	12.4	13.3	14.0	13.1	12.5
Financial net margin	-0.9	-1.1	-0.9	-1.1	-1.1	-1.2	-1.3	-1.7	-1.4
Profit margin	12.8	13.1	11.9	11.7	10.3	12.2	12.3	10.2	10.5
Profit margin excl. IAC	13.2	12.8	12.1	11.6	11.3	12.1	12.7	11.4	11.1
Income taxes	-3.5	-3.4	-3.0	-2.9	-2.7	-3.1	-3.2	-3.0	-2.7
Income taxes excl. IAC	-3.6	-3.3	-3.0	-2.9	-2.8	-3.0	-3.3	-3.3	-2.9
Net margin	9.3	9.7	8.9	8.8	7.6	9.1	9.1	7.2	7.8
Net margin excl. IAC	9.6	9.5	9.1	8.7	8.5	9.1	9.4	8.1	8.2

{27}------------------------------------------------

Information by business area

Net sales

SEKm	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health & Medical	6,926	6,883	6,723	6,936	7,417	7,127	7,213	6,842	7,001
ConsumerGoods	18,793	18,583	18,434	19,285	20,472	19,410	19,672	19,338	19,870
ProfessionalHygiene	8,961	9,183	9,003	8,757	9,923	9,729	9,729	8,686	9,752
Other	15	-11	25	-2	-7	8	3	-16	2
Group	34,695	34,638	34,185	34,976	37,805	36,274	36,617	34,850	36,625

Organic sales growth

%	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health & Medical	0.7	1.7	0.1	1.7	5.6	2.8	4.5	2.6	4.3
ConsumerGoods	-2.0	0.8	3.2	2.9	4.5	3.0	-1.3	-4.8	-2.8
ProfessionalHygiene	-0.8	0.7	0.6	0.7	1.4	-0.8	-3.9	-6.9	0.1
Group	-1.1	0.9	1.9	2.1	3.9	1.9	-0.9	-4.0	-0.7

EBITA excl. IAC

SEKm	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health & Medical	1,296	1,260	1,159	1,231	1,361	1,386	1,472	1,290	1,125
ConsumerGoods	2,432	2,362	2,368	2,443	2,245	2,285	2,434	2,545	2,585
ProfessionalHygiene	1,750	1,676	1,525	1,413	1,817	1,812	1,868	1,332	1,531
Other	-361	-242	-359	-381	-454	-386	-376	-287	-388
Group	5,117	5,056	4,693	4,706	4,969	5,097	5,398	4,880	4,853

EBITA margin excl. IAC

%	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health & Medical	18.7	18.3	17.2	17.7	18.3	19.4	20.4	18.9	16.1
ConsumerGoods	12.9	12.7	12.8	12.7	11.0	11.8	12.4	13.2	13.0
ProfessionalHygiene	19.5	18.3	16.9	16.1	18.3	18.6	19.2	15.3	15.7
Group	14.7	14.6	13.7	13.5	13.1	14.1	14.7	14.0	13.3

Capital employed

SEKm	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health &Medical	31,577	32,673	33,352	32,366	34,566	33,112	34,245	34,153	32,762
ConsumerGoods	53,043	54,133	53,847	52,093	55,293	52,560	54,342	54,612	52,009
ProfessionalHygiene	25,176	25,311	25,850	25,494	25,998	24,501	25,976	25,663	24,021
Other	2,787	2,172	2,335	-3,4751)	3,653	2,784	2,513	2,011	1,958
Group	112,583	114,289	115,384	106,478	119,510	112,957	117,076	116,439	110,750

1) Of this amount, SEK 5,711m represents a liability relating to the dividend for Essity's shareholders paid on April 3, 2025 as decided at the Annual General Meeting on March 27, 2025.

ROCE excl. IAC

%	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health & Medical	16.1	15.3	14.1	14.7	16.1	16.5	17.2	15.4	13.3
Consumer Goods	18.2	17.5	17.9	18.2	16.7	17.1	17.9	19.1	19.4
Professional Hygiene	27.7	26.2	23.8	22.0	28.8	28.7	28.9	21.4	24.6
Group	18.0	17.6	16.9	16.7	17.1	17.7	18.5	17.2	17.1

Operating cash flow

SEKm	2025:4	2025:3	2025:2	2025:1	2024:4	2024:3	2024:2	2024:1	2023:4
Health & Medical	1,538	1,471	398	1,232	976	1,674	879	1,330	1,411
Consumer Goods	1,838	2,080	1,160	1,657	1,114	2,793	1,442	2,331	2,506
Professional Hygiene	1,922	1,880	490	1,054	1,678	2,153	1,538	780	2,227
Other	-929	-107	-508	-178	-471	-167	-620	-188	-230
Group	4,369	5,324	1,540	3,765	3,297	6,453	3,239	4,253	5,914

{28}------------------------------------------------

Invitation to presentation

President and CEO Ulrika Kolsrud and Executive Vice President and CFO Fredrik Rystedt will present the report at a live webcast and teleconference at 09:00 CET on January 22, 2026.

Link to the live presentation, which can also be viewed afterwards: https://essity.videosync.fi/2026-01-22

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".

Financial calendar 2026

Annual Report 2025 Week 10, 2026 Annual General Meeting March 26, 2026 Interim report, Quarter 1, 2026 April 23, 2026 Capital Markets Day May 7, 2026 Interim report, Quarter 2, 2026 July 16, 2026 Interim report, Quarter 3, 2026 October 22, 2026

For additional information

Fredrik Rystedt, Executive Vice President and CFO, 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

For more information about Essity, visit essity.com.