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Essity Interim / Quarterly Report 2026
2912_10-q_2026-04-23_cc82e435-3ccd-4d1d-8bfc-61229849c4a2.pdf
Interim / Quarterly Report
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Interim Report
Quarter 1, 2026
Good start to 2026 – increased volumes and higher margins
Quarter 1, 2026
- Net sales decreased 5.1% to SEK 33,177m (34,976). Excluding currency translation effects, net sales increased SEK 528m.
- Organic sales growth amounted to 0.4%, of which volume accounted for 1.1% and price/mix -0.7%
- The acquisition of Edgewell's feminine care business in North America was completed and consolidated as of February 2, 2026. The acquisition increased the Group's net sales by 1.1%.
- EBITA decreased 6% to SEK 4,448m (4,718)
- EBITA excl. IAC decreased 2% to SEK 4,603m (4,706). Excluding currency translation effects, EBITA excl. IAC increased 5%, corresponding to SEK 236m.
- EBITA margin excl. IAC increased 0.4 percentage points to 13.9% (13.5)
- ROCE amounted to 15.8% (16.7) and ROCE excl. IAC was 16.3% (16.7)
- Profit for the period was SEK 2,901m (3,083)
- Earnings per share were SEK 4.23 (4.43)
- After the end of the first quarter, it was announced that Essity's Board of Directors had resolved on a new share buyback program for SEK 3bn commencing no earlier than May 11, 2026.
Organic sales growth EBITA margin excl. IAC
Financial overview
| 2026:1 | 2025:1 | % | |
|---|---|---|---|
| Net sales, SEKm | 33,177 | 34,976 | -5 |
| Organic sales growth, % | 0.4 | 2.1 | |
| Gross profit margin, % | 33.5 | 32.8 | |
| Gross profit margin excl. IAC, % | 33.4 | 32.8 | |
| EBITA, SEKm | 4,448 | 4,718 | -6 |
| EBITA margin, % | 13.4 | 13.5 | |
| EBITA excl. IAC, SEKm | 4,603 | 4,706 | -2 |
| EBITA margin excl. IAC, % | 13.9 | 13.5 | |
| Profit for the period, SEKm | 2,901 | 3,083 | -6 |
| Earnings per share, SEK | 4.23 | 4.43 | -4 |
| Earnings per share1), SEK | 4.70 | 4.65 | 1 |
| ROCE, % | 15.8 | 16.7 | |
| ROCE excl. IAC, % | 16.3 | 16.7 | |
| Operating cash flow, SEKm | 4,354 | 3,765 | 16 |
| Net debt/EBITDA excl. IAC | 0.96 | 1.02 |
- Earnings per share excl. IAC and amortization of acquisition-related intangible assets
CEO'S comments
We started 2026 with a positive volume trend, increased market shares and higher margins. At the same time, we continued our efforts to accelerate growth, including the completion of the Feminine Care acquisition in North America, several product launches and the implementation of our organizational change. In this quarter we thereby report on the basis of our four new business areas for the first time.
Positive volume trend
We delivered positive organic sales growth for the quarter related to higher volumes. For the new Personal Care business area, we captured market shares and sales performed strongly, fueled by continued high growth in
Incontinence Products and Feminine Care. In Professional Hygiene, we could see the effects of our actions to drive volume which – combined with a somewhat more stable market in North America – yielded volume-related growth. Health & Medical also reported positive growth, supported by a good sales trend in Medical Solutions. Consumer Tissue noted a decline in sales, partly due to lower sales in Private Label. However, our own brands once again performed well this quarter.
Higher margins
The gross margin increased as a result of higher volumes, lower costs of goods sold and good price discipline. Total sales and administration costs were slightly higher, and included an increased marketing spend to support growth. In summary, the EBITA margin excl. IAC increased year on year.
Product launches
Our launches during the quarter reflect our focus on innovation, and our ambition to continue strengthening our leading positions. We launched an even softer Libero baby diaper, upgraded parts of our North American TENA range, and introduced coreless household towels under the Zewa brand in Germany. In Feminine Care, we strengthened our offering in the rapidly growing segment "period pants" with a range specially designed for teenagers.
Acquisition in North America completed
The acquisition of Edgewell's feminine care business in North America was completed during the quarter. We look forward to accelerating the growth and profitability of the Carefree, Stayfree, Playtex and o.b. brands, based on our established recipe for success that comprises
high-impact innovation combined with effective marketing. The acquisition is aligned with our ambition to grow in categories that yield a high return in attractive markets and nearly doubles our presence in Personal Care in North America.
Strong balance sheet and new share buyback program
We reported higher operating cash flow for the quarter and we further strengthened our balance sheet. The Board of Directors has approved a new share buyback program commencing in May and amounting to SEK 3bn.
A turbulent external environment
Considerable geopolitical turbulence dominated the first quarter of 2026. We have a broad range of leading hygiene and health products that people need regardless of the economic conditions and the global situation. Our operational flexibility, with a high proportion of local and regional supply chains and agile pricing, also helps us to be well equipped to meet and navigate the challenges that lie ahead.
Capital Markets Day
On May 7, we hold a Capital Markets Day in Gothenburg, at our largest office and a key center of excellence for the Group. I look forward to, together with members of the executive management team, presenting the initiatives that will accelerate the journey toward our financial targets. A very warm welcome!
Ulrika Kolsrud
President and CEO
Group
Net sales
Net sales decreased 5.1% in the first quarter of 2026 compared with the corresponding period a year ago and amounted to SEK 33,177m (34,976). Excluding currency translation effects, net sales increased SEK 528m. The acquisition of Edgewell's feminine care business in North America increased consolidated net sales by 1.1%.
Organic sales increased 0.4%, driven by higher volumes in Personal Care and Professional Hygiene. Growth was negatively impacted by sales prices, mainly due to lower sales prices in Consumer Tissue.
Growth was high in North America, with positive growth in all business areas with presence in the region. Favorable growth was also reported in Latin America. Growth was negative in Europe, primarily due to lower sales in Consumer Tissue.
Operating profit
The gross margin increased 0.7 percentage points to 33.5% (32.8). The gross margin excl. IAC increased 0.6 percentage points to 33.4% (32.8). Costs of goods sold were lower, mainly due to lower costs for raw materials.
Change in net sales
| % | 2026:1 vs 2025:1 |
|---|---|
| Total | -5.1 |
| Volume | 1.1 |
| Price/Mix | -0.7 |
| Organic growth | 0.4 |
| Acquisitions | 1.1 |
| Divestments | 0.0 |
| Currency translation | -6.6 |
Savings in costs of goods sold amounted to approximately SEK 130m. Higher volumes offset the negative impact of lower sales prices.
EBITA decreased 6% to SEK 4,448m (4,718) and EBITA excl. IAC decreased 2% to SEK 4,603m (4,706). Excluding currency translation effects, EBITA excl. IAC increased 5%, corresponding to SEK 236m. EBITA margin excl. IAC increased to 13.9% (13.5). Sales and administration costs amounted to 19.5% (19.4), of which marketing costs increased to 5.5% (5.2). Savings amounted to approximately SEK 30m. IAC amounted to SEK -162m (32), of which SEK -118m related to acquisition costs and SEK -54m related to the cost savings program.
EBITA excl. IAC Change in EBITA excl. IAC
| SEKm | |
|---|---|
| EBITA excl. IAC 2025:1 | 4,706 |
| Volume | 211 |
| Price/Mix | -207 |
| Cost of goods sold | 259 |
| Sales & Admin | -32 |
| Currency translation | -339 |
| Acquisitions & Divestments | 5 |
| EBITA excl. IAC 2026:1 | 4,603 |
Net sales 2603 by business area
Health & Medical Personal Care Consumer Tissue Professional Hygiene
Net sales 2603 by region
Net sales
Net sales Organic sales growth %
Financial items
Financial items decreased to SEK -250m (-373), mainly on account of lower interest rates. Lower average net debt and exchange rate effects also had a positive impact.
Tax
The tax expense was SEK 1,041m (1,025), corresponding to a tax rate of 26.4% (25.0). The tax expense excl. IAC was SEK 1,060m (1,016), corresponding to a tax rate of 25.8% (24.9).
Profit for the period
Profit for the period was SEK 2,901m (3,083).
Cash flow
Operating cash flow amounted to SEK 4,354m (3,765). The increase compared with a year ago was mainly related to more favorable development in working capital. Net cash flow totaled SEK -621m (1,394). The completion of the acquisition of Edgewell's feminine care business had a negative impact on cash flow of SEK 3,004m. During the quarter, Essity bought back 2,343,615 own Class B shares for a total amount of SEK 612m.
Operating cash flow statement
| SEKm | 2026:1 | 2025:1 |
|---|---|---|
| Operating cash surplus | 6,297 | 6,376 |
| Change in inventories | -172 | -868 |
| Change in operating receivables | -478 | 301 |
| Change in operating liabilities | 674 | -465 |
| Investments in non-current assets, net | -1,251 | -1,133 |
| Restructuring costs, etc. | -538 | -280 |
| Investments in operating assets through leases | -178 | -166 |
| Operating cash flow | 4,354 | 3,765 |
| Financial items | -250 | -373 |
| Income taxes paid | -1,109 | -1,222 |
| Other | 0 | 0 |
| Cash flow from current operations | 2,995 | 2,170 |
| Acquisitions of Group companies and other operations | -3,004 | ─ |
| Cash flow before transactions with shareholders | -9 | 2,170 |
| Repurchase of own shares | -612 | -776 |
| Net cash flow | -621 | 1,394 |
Operating cash flow
Financial position
Net debt decreased SEK 2,005m compared with December 31, 2025 and amounted to SEK 24,538m. The decrease is mainly related to revaluation of pension assets and pension obligations. The Group's interestbearing gross debt amounted to SEK 38,272m (34,669) at the end of the quarter. The average maturity period was 2.9 years (3.3).
Compared with December 31, 2025, working capital decreased to SEK 7,962m, mainly due to an approved but unpaid dividend. Working capital amounted to 6% (4) of net sales.
Equity attributable to owners of the Parent company increased SEK 2,090m compared with December 31, 2025. Profit for the period attributable to owners of the Parent company increased the equity of owners of the Parent company by SEK 2,887m. Net translation effects increased equity by SEK 2,471m. Decided but not paid dividend of SEK 5,956m and the buyback of own shares of SEK 612m reduced equity attributable to owners of the Parent company. The Group's total equity increased SEK 2,121m during the quarter.
Share buyback program
The share buyback program of SEK 3bn, which began on April 24, 2025, was completed on March 19, 2026, when Essity repurchased a total of 11,566,941 Class B own shares for SEK 3bn. As of March 31, 2026, Essity's holdings of own shares correspond to 1.8% of the total number of shares outstanding. The Annual General Meeting on March 26, 2026 resolved to cancel own shares. After the end of the quarter, Essity therefore canceled 11,109,318 Class B own shares.
Financial position 2603 2503 2512 Working capital, SEKm 7,962 5,211 12,237 Capital employed, SEKm 112,699 106,478 112,583 Net debt, SEKm 24,538 26,774 26,543 Debt/equity ratio 0.28 0.34 0.31 Debt payment capacity, % 80 67 74 Net debt/EBITDA 0.97 1.04 1.03 Net debt/EBITDA excl. IAC 0.96 1.02 1.03
Return
| % | 2026:1 | 2025:1 |
|---|---|---|
| ROCE | 15.8 | 16.7 |
| ROCE excl. IAC | 16.3 | 16.7 |
| ROE | 13.3 | 14.6 |
| ROE excl. IAC | 14.0 | 14.5 |
Change in net debt
| SEKm | 2603 | 2503 | 2512 |
|---|---|---|---|
| Net debt at the beginning of theperiod | -26,543 | -30,769 | -30,769 |
| Net cash flow | -621 | 1,394 | 42 |
| Remeasurements to equity | 3,248 | 1,147 | 2,423 |
| Investments in non-operatingassets through leases | -59 | -319 | -331 |
| Translation differences | -563 | 1,773 | 2,092 |
| Net debt at the end of the period | -24,538 | -26,774 | -26,543 |
Essity Aktiebolag (publ) Interim Report Quarter 1, 2026 5
Net debt ROCE excl. IAC and ROE excl. IAC
Health & Medical
- Positive organic sales growth
- High growth in wound care
- Higher margin
Net sales
Net sales increased organically 0.5%, driven by a positive price trend. Volumes were unchanged.
High growth was reported in North America. In Europe, growth was negative.
In Incontinence Products, organic growth was negative primarily due to lower volumes.
Organic growth in Medical Solutions was mainly driven by higher sales prices. Higher volumes also had a positive impact. Growth in wound care was high, while orthopedics also noted good sales development.
EBITA excl. IAC
EBITA excl. IAC declined while EBITA margin excl. IAC increased. The costs of goods sold was slightly higher. Earnings were positively impacted by higher sales prices and slightly lower sales and administration costs. Currency translation effects had a negative impact on earnings of SEK 87m.
Parts of our TENA range in the North American market were upgraded during the quarter. The new TENA ProSkin® Super Briefs and TENA ProSkin® Ultra Briefs are designed for a secure and comfortable fit and feature improved functionality to keep skin dry.
Change in net sales
| % | 2026:1 vs 2025:1 |
|---|---|
| Total | -6.3 |
| Volume | -0.1 |
| Price/Mix | 0.6 |
| Organic growth | 0.5 |
| Acquisitions | 0.0 |
| Divestments | 0.0 |
| Currency translation | -6.8 |
Organic sales growth
| 2026:1 vs | % of net | |
|---|---|---|
| % | 2025:1 | sales |
| Incontinence Products Health Care | -0.9 | 58 |
| Medical Solutions | 2.5 | 42 |
Financial overview
| 2026:1 | 2025:1 | % | |
|---|---|---|---|
| Net sales, SEKm | 6,499 | 6,936 | -6 |
| Organic sales growth, % | 0.5 | 1.7 | |
| Gross profit margin excl. IAC, % | 44.9 | 44.4 | |
| EBITA excl. IAC, SEKm | 1,193 | 1,231 | -3 |
| EBITA margin excl. IAC, % | 18.4 | 17.7 | |
| ROCE excl. IAC, % | 14.9 | 14.7 | |
| Operating cash flow, SEKm | 1,080 | 1,232 | -12 |
Net sales 2603 by region
| 67% | 17% | 5% | 11% |
|---|---|---|---|
Europe North America Latin America Other
Net sales
EBITA excl. IAC
Personal Care Financial overview
• Increased market shares
- Strong growth in Incontinence Products and Feminine Care
- Higher margin
Net sales
Net sales increased organically 4.1%. Volumes performed strongly and sales prices made a positive contribution. The product mix was also favorable, with increased sales of high-margin products in Feminine Care and Baby Care. Market shares increased for more than 60% of branded sales. The acquisition in Feminine Care in North America was consolidated as of February 2 and increased net sales by 4.9%.
Growth was high in North America. Growth was positive in Europe and Latin America.
Incontinence Products and Feminine Care reported high organic growth, primarily driven by increased volumes. In Feminine Care, higher sales prices and a favorable product mix also made a contribution. The Baby Care market remained challenging. Growth in our Baby Care business was somewhat negative, mainly due to lower volumes in Retailer Brands. However, market positions of our leading brand Libero were further strengthened and high growth was reported.
EBITA excl. IAC
EBITA and the EBITA margin excl. IAC increased mainly driven by higher volumes, while contributions were also made by higher sales prices and lower costs of goods sold. Marketing costs were higher. Currency translation effects had a negative impact on earnings of SEK 71m.
In Feminine Care, we strengthened our offering in the rapidly growing segment "period pants" with a range specially designed for teenagers.
| 2026:1 | 2025:1 | % | |
|---|---|---|---|
| Net sales, SEKm | 8,180 | 7,984 | 2 |
| Organic sales growth, % | 4.1 | 3.0 | |
| Gross profit margin excl. IAC, % | 42.5 | 42.3 | |
| EBITA excl. IAC, SEKm | 1,262 | 1,198 | 5 |
| EBITA margin excl. IAC, % | 15.4 | 15.0 | |
| ROCE excl. IAC, % | 24.7 | 26.2 | |
| Operating cash flow, SEKm | 786 | 215 | 266 |
| Net sales 2603 by region |
| 46%36% | 13%5% | |
|---|---|---|
| -- | ------------ | ----------- |
Europe Latin America North America Other
Net sales Organic sales growth %
EBITA excl. IAC
Change in net sales
| % | 2026:1 vs 2025:1 |
|---|---|
| Total | 2.5 |
| Volume | 3.5 |
| Price/Mix | 0.6 |
| Organic growth | 4.1 |
| Acquisitions | 4.9 |
| Divestments | 0.0 |
| Currency translation | -6.5 |
Organic sales growth
| 2026:1 vs | ||
|---|---|---|
| % | 2025:1 | % of net sales |
| Incontinence Products Retail | 5.1 | 35 |
| Feminine Care | 5.6 | 46 |
| Baby Care | -0.3 | 19 |
Consumer Tissue Financial overview
- Higher volumes in own brands
- Lower sales prices
- Favorable growth in Latin America
Net sales
Net sales decreased organically 3.5% as a result of lower sales prices and volumes.
Good growth was reported in Latin America. The sales trend was negative in Europe.
Volumes were higher in branded sales, and we captured market shares in own brands during the quarter.
EBITA excl. IAC
EBITA and the EBITA margin excl. IAC decreased, mainly due to lower sales prices and volumes. The cost of goods sold was lower. Sales costs were slightly higher. Currency translation effects had a negative impact on earnings of SEK 55m compared with the corresponding period a year ago.
For the first time, coreless household towels was launched. A product that produces less waste. The launch was made on the German market under the leading brand Zewa
Change in net sales
| % | 2026:1 vs 2025:1 |
|---|---|
| Total | -8.4 |
| Volume | -0.6 |
| Price/Mix | -2.9 |
| Organic growth | -3.5 |
| Acquisitions | 0.0 |
| Divestments | 0.0 |
| Currency translation | -4.9 |
| % | |||
|---|---|---|---|
| 2026:1 | 2025:1 | ||
| Net sales, SEKm | 10,356 | 11,301 | -8 |
| Organic sales growth, % | -3.5 | 2.7 | |
| Gross profit margin excl. IAC, % | 20.7 | 20.5 | |
| EBITA excl. IAC, SEKm | 1,112 | 1,245 | -11 |
| EBITA margin excl. IAC, % | 10.7 | 11.0 | |
| ROCE excl. IAC, % | 12.8 | 14.1 | |
| Operating cash flow, SEKm | 1,460 | 1,442 | 1 |
Net sales 2603 by region
| 79% | 19% | 2% | |
|---|---|---|---|
| Europe | Latin America | Other |
EBITA excl. IAC
Professional Hygiene
- Higher volumes
- Strong growth in premium products
- High growth in North America
Net sales
Net sales increased organically by 1.9%, primarily driven by higher volumes in North America. The product mix also remained favorable with an increased share of premium products. Sales prices were slightly lower.
High growth was reported in North America and Latin America. In Europe, growth was somewhat negative.
EBITA excl. IAC
EBITA excl. IAC declined while EBITA margin excl. IAC was stable. Higher volumes had a positive impact on earnings. Costs of goods sold were stable. Sales costs were slightly higher in order to drive growth. Currency translation effects had a negative impact on earnings of SEK 139m.
The Tork PeakServe® automatic dispenser is a new addition to the range and a further development of the existing and appreciated Tork PeakServe® dispenser.
Change in net sales
| % | 2026:1 vs 2025:1 |
|---|---|
| Total | -7.1 |
| Volume | 1.8 |
| Price/Mix | 0.1 |
| Organic growth | 1.9 |
| Acquisitions | 0.0 |
| Divestments | 0.0 |
| Currency translation | -9.0 |
Financial overview
| 2026:1 | 2025:1 | % | |
|---|---|---|---|
| Net sales, SEKm | 8,139 | 8,757 | -7 |
| Organic sales growth, % | 1.9 | 0.7 | |
| Gross profit margin excl. IAC, % | 31.3 | 31.0 | |
| EBITA excl. IAC, SEKm | 1,311 | 1,413 | -7 |
| EBITA margin excl. IAC, % | 16.1 | 16.1 | |
| ROCE excl. IAC, % | 20.4 | 22.0 | |
| Operating cash flow, SEKm | 804 | 1,054 | -24 |
Net sales 2603 by region
| 46%% | 40%% | 10%% 4% | |
|---|---|---|---|
| Europe | North America | Latin America | Other |
Net sales
EBITA excl. IAC
EBITA excl. IAC EBITA margin excl. IAC %
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 two of the targets is presented below. More information on these and other targets can be found in Essity's Annual Report.
Science-based emissions targets: 2030 Target: -35% vs 2016
Reduction in absolute greenhouse gas emissions, Scope 1 and 2
| 2022 | 2023 | 2024 | 2025 | Q1 2026* |
|---|---|---|---|---|
| -17% | -27% | -27% | -27% | -28% |
| *Outcome for the last 12 months |
Sustainable innovations: Target: >50% annually Percentage leading to social and/or environmental improvements
| 2022 | 2023 | 2024 | 2025 | Q1 2026 |
|---|---|---|---|---|
| 68% | 85% | 87% | 80% | 81% |
During the quarter, Essity was awarded a place on the environmental non-profit organization CDP's prestigious "A List" for its sustainability efforts linked to forests.
Events during 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.
Essity signs EUR 400m loan agreement with EIB
On January 26, Essity announced that it had secured a EUR 400m loan at favorable terms with the European Investment Bank (EIB). The loan has a tenor of 7 years and will support the company's research, development, and innovation initiatives.
Essity completes the acquisition of Edgewell's feminine care business
On February 2, Essity announced that it had completed the acquisition of Edgewell's feminine care business, including the Carefree, Stayfree and o.b. brands in North America and Playtex globally. The total purchase price amounted to USD 339m (approximately SEK 2,994m) on a cash and debt-free basis and was consolidated into Essity's financial statements for the Group as of February 2, 2026.
Change to Essity's Executive Management Team
On March 3, Essity announced that it had appointed Niklas Westin Sundberg as Chief Digital & Information Officer. He will succeed Carl-Magnus Månsson. Niklas took office on April 15, 2026 and is a member of the Executive Management Team.
Essity's 2026 Annual General Meeting
Essity's Annual General Meeting was held on March 26, 2026. The Meeting approved the financial statements for 2025 and resolved on a dividend for the 2025 fiscal year of SEK 8.75 per share. Board members Maria Carell, Annemarie Gardshol, Jan Gurander, Alexander Lacik, Torbjörn Lööf, Katarina Martinson, Bert Nordberg, Barbara M. Thoralfsson and Karl Åberg were re-elected. Jan Gurander was re-elected as the Chairman of the Board. The meeting resolved to reduce the share capital through cancellation of own shares and to increase the share capital through a bonus issue.
Events after the quarter
Essity decides on new share buyback program of SEK 3bn
On April 22, 2026, Essity announced that the Group's Board of Directors had resolved to utilize the authorization granted by the Annual General Meeting on March 26, 2026, and initiate a new program to buy back Class B shares in Essity for SEK 3bn. The program begins no earlier than on May 11, 2026, and extends until the 2027 Annual General Meeting at the latest. The share repurchase will be 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. Repurchasing will take place on Nasdaq Stockholm in accordance with the stock exchange's issuer regulations and be implemented in accordance with the EU Market Abuse Regulation (MAR) and the European Commission's Delegated Regulation 2016/1052 (Safe Harbour Regulation).
Stockholm, April 23, 2026 Essity Aktiebolag (publ)
Ulrika Kolsrud President and CEO
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, Public Relations Director at 07:00 a.m. CET on April 23, 2026.
Financial statements
Condensed consolidated income statement
| SEKm | 2026:1 | 2025:1 | % |
|---|---|---|---|
| Net sales | 33,177 | 34,976 | -5 |
| Cost of goods sold | -22,092 | -23,502 | |
| Items affecting comparability (IAC) - cost of goods sold | 24 | -10 | |
| Gross profit | 11,109 | 11,464 | -3 |
| Gross profit excl. IAC | 11,085 | 11,474 | -3 |
| Sales, general and administration | -6,482 | -6,768 | |
| Items affecting comparability (IAC) - sales, general and administration | -179 | 22 | |
| Operating profit before amortization of acquisition-related intangibleassets (EBITA) | 4,448 | 4,718 | -6 |
| Operating profit before amortization of acquisition-related intangibleassets (EBITA) excl. IAC | 4,603 | 4,706 | -2 |
| Amortization of acquisition-related intangible assets | -245 | -256 | |
| Items affecting comparability (IAC) - acquisition-related intangible assets | -7 | 20 | |
| Operating profit | 4,196 | 4,482 | -6 |
| Operating profit excl. IAC | 4,358 | 4,450 | -2 |
| Share of profits of associates and joint ventures | -4 | -1 | |
| Financial items | -250 | -373 | |
| Profit before tax | 3,942 | 4,108 | -4 |
| Profit before tax excl. IAC | 4,104 | 4,076 | 1 |
| Income taxes | -1,041 | -1,025 | |
| Profit for the period | 2,901 | 3,083 | -6 |
| Profit for the period excl. IAC | 3,044 | 3,060 | -1 |
| Items affecting comparability (IAC) before tax | -162 | 32 | |
| Items affecting comparability (IAC) after tax | -143 | 23 | |
| Tax on amortization of acquisition-related intangible assets | 72 | 75 |
| SEKm | 2026:1 | 2025:1 |
|---|---|---|
| Earnings attributable to: | ||
| Owners of the Parent company | 2,887 | 3,069 |
| Non-controlling interests | 14 | 14 |
| Profit for the period | 2,901 | 3,083 |
| Earnings per share | ||
| -owners of the Parent company | ||
| Earnings per share before and after dilution effects, SEK | 4.23 | 4.43 |
| Average numbers of shares before and after dilution effects, million | 681.9 | 693.4 |
Consolidated statement of comprehensive income
| SEKm | 2026:1 | 2025:1 | % |
|---|---|---|---|
| Profit for the period | 2,901 | 3,083 | -6 |
| Other comprehensive income for the period | |||
| Items that will not be reclassified to the income statement | |||
| Actuarial gains/losses on defined benefit pension plans | 3,250 | 1,148 | |
| Fair value through other comprehensive income | -2 | -1 | |
| Income tax attributable to components in other comprehensiveincome | -712 | -284 | |
| Total | 2,536 | 863 |
| SEKm | 2026:1 | 2025:1 |
|---|---|---|
| Items that have been or may be reclassified subsequently to theincome statement | ||
| Cash flow hedges: | ||
| Result from remeasurement of derivatives recognized in equity | 742 | -160 |
| Transferred to profit or loss for the period | 222 | -16 |
| Translation differences in foreign operations | 2,684 | -7,080 |
| Gains/losses from hedges of net investments in foreign operations | -196 | 942 |
| Income tax attributable to components in other comprehensiveincome | -201 | -175 |
| Total | 3,251 | -6,489 |
| Other comprehensive income for the period, net of tax | 5,787 | -5,626 |
| Total comprehensive income for the period | 8,688 | -2,543 |
| Total comprehensive income attributable to: | ||
| Owners of the Parent company | 8,657 | -2,527 |
| Non-controlling interests | 31 | -16 |
Consolidated balance sheet
| SEKm | Mar 31, 2026 | Mar 31, 2025 | Dec 31, 2025 |
|---|---|---|---|
| ASSETS | |||
| Non-current assets | |||
| Goodwill | 38,804 | 38,124 | 36,861 |
| Intangible assets | 19,478 | 19,343 | 18,273 |
| Property, plant and equipment | 48,054 | 45,097 | 46,308 |
| Right-of-use assets | 3,823 | 4,055 | 3,752 |
| Investments in associates and joint ventures | 307 | 330 | 307 |
| Shares and participations | 8 | 8 | 8 |
| Surplus in funded pension plans | 7,811 | 2,593 | 4,340 |
| Non-current financial assets | 124 | 221 | 142 |
| Deferred tax assets | 2,067 | 2,203 | 2,122 |
| Other non-current assets | 898 | 728 | 725 |
| Total non-current assets | 121,374 | 112,702 | 112,838 |
| Current assets | |||
| Inventories | 19,395 | 18,493 | 18,153 |
| Trade receivables | 22,689 | 22,278 | 21,332 |
| Current tax assets | 1,497 | 1,446 | 1,626 |
| Other current receivables | 3,780 | 3,586 | 3,414 |
| Current financial assets | 1,381 | 2,893 | 1,266 |
| Non-current assets held for sale | ─ | 76 | ─ |
| Cash and cash equivalents | 10,741 | 9,767 | 8,487 |
| Total current assets | 59,483 | 58,539 | 54,278 |
| Total assets | 180,857 | 171,241 | 167,116 |
| SEKm | Mar 31, 2026 | Mar 31, 2025 | Dec 31, 2025 |
|---|---|---|---|
| EQUITY AND LIABILITIES | |||
| Equity | |||
| Owners of the Parent company | |||
| Share capital | 2,350 | 2,350 | 2,350 |
| Reserves | 7,490 | 6,768 | 4,257 |
| Retained earnings including profit/loss for the period | 77,875 | 70,175 | 79,018 |
| Equity attributable to owner of the Parent company | 87,715 | 79,293 | 85,625 |
| Non-controlling interests | 446 | 411 | 415 |
| Total equity | 88,161 | 79,704 | 86,040 |
| Non-current liabilities | |||
| Non-current financial liabilities | 26,331 | 38,161 | 31,386 |
| Provisions for pensions | 2,284 | 1,571 | 2,146 |
| Deferred tax liabilities | 7,194 | 6,699 | 6,272 |
| Other non-current provisions | 304 | 400 | 384 |
| Other non-current liabilities | 58 | 516 | 92 |
| Total non-current liabilities | 36,171 | 47,347 | 40,280 |
| Current liabilities | |||
| Current financial liabilities | 15,980 | 2,516 | 7,246 |
| Trade payables | 15,127 | 15,675 | 14,437 |
| Current tax liabilities | 1,671 | 1,364 | 1,847 |
| Current provisions | 1,016 | 1,211 | 1,200 |
| Other current liabilities | 22,7311) | 23,4242) | 16,066 |
| Total current liabilities | 56,525 | 44,190 | 40,796 |
| Total equity and liabilities | 180,857 | 171,241 | 167,116 |
-
Of this amount, SEK 5,956m represents a liability relating to the dividend for Essity's shareholders paid on April 2, 2026, as decided at the Annual General Meeting on March 26, 2026.
-
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.
Consolidated statement of change in equity
| SEKm | Mar 31, 2026 | Mar 31, 2025 | Dec 31, 2025 |
|---|---|---|---|
| Equity attributable to owners of the Parentcompany | |||
| Value, beginning of the period | 85,625 | 88,314 | 88,314 |
| Total comprehensive income for the period | 8,657 | -2,527 | 5,734 |
| Dividend | -5,9561) | -5,7112) | -5,711 |
| Repurchase of own shares | -612 | -776 | -3,160 |
| Transferred to cost of hedged investments | 1 | 5 | 6 |
| Revaluation effect uponacquisition of non-controllinginterests | ─ | -12 | 442 |
| Value, end of period | 87,715 | 79,293 | 85,625 |
| Non-controlling interests | |||
| Value, beginning of the period | 415 | 427 | 427 |
| Total comprehensive income for the period | 31 | -16 | 8 |
| Dividend | ─ | ─ | -20 |
| Value, end of the period | 446 | 411 | 415 |
| Total equity, value end of theperiod | 88,161 | 79,704 | 86,040 |
- Dividend of SEK 5,956m decided at the Annual General Meeting on March 26, 2026, paid on April 2, 2026. 2) Dividend of SEK 5,711m decided at the Annual General Meeting on March 27, 2025, paid on April 3, 2025.
Consolidated cash flow statement
| SEKm | 2603 | 2503 |
|---|---|---|
| Operating activities | ||
| Operating profit | 4,196 | 4,482 |
| Adjustments for non-cash items1) | 1,999 | 1,875 |
| Capitalized expenditures to fulfill contracts with customers | -165 | -118 |
| Change in provisions relating to restructuring programs, etc. | -271 | -143 |
| Cash flow from changes in working capital | ||
| Change in inventories | -172 | -868 |
| Change in operating receivables | -478 | 301 |
| Change in operating liabilities | 674 | -465 |
| Cash flow from operations | 5,783 | 5,064 |
| Interest paid | -448 | -1,011 |
| Interest received | 57 | 117 |
| Other financial items | -44 | -32 |
| Income taxes paid | -1,109 | -1,222 |
| Cash flow from operating activities | 4,239 | 2,916 |
| Investing activities | ||
| Acquisitions of Group companies and other operations | -2,994 | ─ |
| Investments in intangible assets and property, plant and equipment | -1,253 | -1,144 |
| Paid interest capitalized in intangible assets and property, plant and equipment | -5 | -6 |
| Sale of property, plant and equipment | 7 | 17 |
| Purchase and sale of financial assets with short maturities | 280 | 2,863 |
| Cash flow from investing activities | -3,965 | 1,730 |
| SEKm | 2603 | 2503 |
|---|---|---|
| Financing activities | ||
| Proceeds from borrowings | 1,990 | 42 |
| Repayment of borrowings | -128 | -4,227 |
| Payment of lease liabilities | -266 | -289 |
| Change in borrowings with short maturities, etc. | 894 | -413 |
| Repurchase of own shares | -612 | -776 |
| Cash flow from financing activities | 1,878 | -5,663 |
| Cash flow for the period | 2,152 | -1,017 |
| Cash and cash equivalents at the beginning of the period | 8,487 | 10,962 |
| Translation differences in cash and cash equivalents | 102 | -178 |
| Cash and cash equivalents at the end of the period | 10,741 | 9,767 |
1) Adjustments for non-cash items
| SEKm | 2603 | 2503 |
|---|---|---|
| Depreciation/amortization and impairment of non-current assets | 1,746 | 1,747 |
| Depreciation of capitalized selling expenses | 111 | 120 |
| Gain/loss on sale of assets | -3 | ─ |
| Non-cash items relating to restructuring program | 0 | 2 |
| Other | 145 | 6 |
| Total | 1,999 | 1,875 |
Consolidated cash flow statement, cont.
Reconciliation with consolidated operating cash flow statement
| SEKm | 2603 | 2503 |
|---|---|---|
| Cash flow for the period | 2,152 | -1,017 |
| Proceeds from borrowings | -1,990 | -42 |
| Repayment of borrowings | 128 | 4,227 |
| Payment of lease liabilities | 266 | 289 |
| Change in borrowings with short maturities, etc. | -894 | 413 |
| Purchase and sale of financial assets with short maturities | -280 | -2,863 |
| Net debt in acquired and divested operations | -10 | ─ |
| Investments in operating assets through leases | -178 | -166 |
| Accrued interest, etc. | 185 | 553 |
| Net cash flow according to consolidated operating cash flow statement | -621 | 1,394 |
Condensed financial statements, Parent company
Condensed Parent company income statement
| SEKm | 2603 | 2503 |
|---|---|---|
| Administrative expenses | -251 | -199 |
| Other operating income | 14 | -7 |
| Operating loss | -237 | -206 |
| Financial items | 579 | -672 |
| Profit/loss before tax | 342 | -878 |
| Income taxes | 30 | 16 |
| Profit/loss for the period | 372 | -862 |
Parent company statement of comprehensive income
| SEKm | 2603 | 2503 |
|---|---|---|
| Profit/loss for the period | 372 | -862 |
| Other comprehensive income for the period | ─ | ─ |
| Total comprehensive income for the period | 372 | -862 |
Condensed Parent company balance sheet
| SEKm | Mar 31, 2026 | Dec 31, 2025 |
|---|---|---|
| Assets | ||
| Intangible assets | 0 | 0 |
| Property, plant and equipment | 11 | 11 |
| Financial non-current assets | 176,713 | 176,680 |
| Total non-current assets | 176,724 | 176,691 |
| Total current assets | 873 | 2,560 |
| Total assets | 177,597 | 179,251 |
| Equity, provisions and liabilities | ||
| Equity | ||
| Restricted equity | 2,350 | 2,350 |
| Non-restricted equity | 79,179 | 85,376 |
| Total equity | 81,529 | 87,726 |
| Untaxed reserves | 1,477 | 1,477 |
| Provisions | 795 | 830 |
| Non-current liabilities | 24,924 | 30,028 |
| Current liabilities | 68,8721) | 59,190 |
| Total equity, provisions and liabilities | 177,597 | 179,251 |
- The Annual General Meeting on March 26, 2026 resolved to distribute SEK 5,956m to Essity's shareholders, which is recognized as a current liability at March 31, 2026.
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. The following amendments to IFRS® Accounting Standards have gained legal force from January 1, 2026. Essity Aktiebolag (publ) applies these amendments, which have not had any material impact on the Group's or the Parent company's financial statements.
- IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures have been amended with regard to classification and measurement of some specific financial instruments and disclosures.
- A number of other standards have been amended as part of the IASB's annual improvement process and include clarifications, simplifications, corrections and consistency improvements.
In February 2026, the EU endorsed the new standard IFRS 18 Presentation and Disclosure in Financial Statements, which will take effect from January 1, 2027. During the first quarter of 2026, Essity continued analyzing and identifying effects in the areas described on page 119 of the 2025 Annual Report.
In other respects, the accounting principles and calculation methods applied correspond to those described in Essity's 2025 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 in the 2025 Annual Report and in the sections under environmental information and social information on pages 58–60. 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.
Ongoing geopolitical tensions, such as the war in Iran and the conflicts in and around the Persian Gulf, contribute to increased economic uncertainty and rising commodity prices. The prices of oil and gas have increased significantly following the outbreak of the war. Changes in prices of commodities such as oil and gas may directly or indirectly affect the Group's financial position and operating profit through higher costs, price increases and reduced purchasing power among customers and consumers.
Note 3 Financial assets and liabilities
Measurement principles and classifications of financial instruments, as described in Essity's 2025 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.
| SEKm | CarryingamountMar 31, | Fair valueMar 31, | CarryingamountDec 31, | Fair valueDec 31, | Measurement level 1) |
|---|---|---|---|---|---|
| Assets | 2026 | 2026 | 2025 | 2025 | |
| DerivativesNon-current financial assets | 1,630106 | 1,630106 | 506106 | 506106 | 21 |
| Total assets | 1,736 | 1,736 | 612 | 612 | |
| Liabilities | |||||
| Derivatives | 1,540 | 1,540 | 1,607 | 1,607 | 2 |
| Current financial liabilities 2) | 14,310 | 14,310 | 5,707 | 5,707 | 2 |
| Non-current financial liabilities 2) | 22,575 | 22,051 | 27,692 | 27,192 | 2 |
-
No financial instruments have been classified to level 3.
-
The measurement level refers to liabilities measured at fair value in a hedging relationship.
Note 4 The share
Number of shares
| 2026:1 | 2025:1 | |
|---|---|---|
| Number of shares, end of period | 693,054,489 | 702,342,489 |
| Of which class A-shares | 57,200,658 | 58,973,654 |
| Of which class B-shares | 635,853,831 | 643,368,835 |
| Number of Class B shares held by Essity, endof period | 12,349,441 | 10,070,500 |
| Number of outstanding shares before andafter dilution, end of period | 680,705,048 | 692,271,989 |
| Average number of Class B shares held byEssity, end of period | 11,190,518 | 8,981,594 |
| Average number of shares before and afterdilution | 681,863,971 | 693,360,895 |
At the Annual General Meeting on March 26, 2026, a resolution was passed to cancel the company's own shares, which was carried out after the close of the quarter. Following the cancellation of 11,109,318 Class B shares on April 2, 2026, the total number of shares in Essity amounted to 681,945,171.
Note 5 Acquisitions and divestments
On November 12, 2025, Essity announced that it had acquired Edgewell Personal Care's feminine care business, including the brands Carefree, Stayfree and o.b. in North America and Playtex globally. The preliminary purchase price allocation presented in Essity's 2025 Annual Report has subsequently been adjusted based on additional information on the opening balance of the business obtained after completion of the acquisition.
The acquisition strengthens Essity's presence in feminine care in North America and enables expected synergies, and goodwill has thus been recognized. The business has about 500 employees and reported net sales of USD 264m (SEK 2,583m) in 2025.
The purchase price for the assets amounted to USD 339m (SEK 2,994m) as well as the take-over of net debt of SEK 10m. The acquisition supports Essity's strategy to focus on categories that yield a high return and to strengthen the company's market position in the USA, the world's largest hygiene market.
The acquisition was consolidated into Essity's consolidated financial statements from February 2, 2026. From the date of consolidation, reported net sales amounted to SEK 370m, EBITDA to SEK 22m and EBITA to SEK 5m. If the acquisition had been consolidated as of January 1, 2026, net sales would have amounted to SEK 577m, EBITDA to SEK 34m and EBITA to SEK 8m. Acquisition costs amounted to SEK 118m and were recognized as IAC.
| Purchase price allocation | SEKm |
|---|---|
| Intangible assets | 1,099 |
| Property, plant and equipment | 602 |
| Operating assets | 530 |
| Net debt excluding cash and cash equivalents | -10 |
| Operating liabilities | -85 |
| Fair value of net assets | 2,136 |
| Goodwill | 858 |
| Consideration transferred | 2 994 |
| Consideration transferred | -2 994 |
| Acquired net debt excluding cash and cash equivalents | -10 |
| Acquisition of Group companies and other operations during the period, including net debtassumed | -3 004 |
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 2025 Annual Report, pages 120–124, 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.
Capital employed
| SEKm | 2603 | 2503 | 2512 |
|---|---|---|---|
| Total assets | 180,857 | 171,241 | 167,116 |
| -Financial assets | -20,057 | -15,474 | -14,235 |
| -Non-current non-interest bearing liabilities | -7,556 | -7,615 | -6,748 |
| -Current non-interest bearing liabilities | -40,5451) | -41,6742) | -33,550 |
| Capital employed | 112,699 | 106,478 | 112,583 |
Working capital
| SEKm | 2603 | 2503 | 2512 |
|---|---|---|---|
| Inventories | 19,395 | 18,493 | 18,153 |
| Trade receivables | 22,689 | 22,278 | 21,332 |
| Other current receivables | 3,780 | 3,586 | 3,414 |
| Trade payables | -15,127 | -15,675 | -14,437 |
| Other current liabilities | -22,7311) | -23,4242) | -16,066 |
| Other | -44 | -47 | -159 |
| Working capital | 7,962 | 5,211 | 12,237 |
-
Of this amount, SEK 5,956m represents a liability relating to the dividend for Essity's shareholders paid on April 2, 2026, as decided at the Annual General Meeting on March 26, 2026.
-
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.
| 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 |
Note 6 cont.
Net debt
| SEKm | 2603 | 2503 | 2512 |
|---|---|---|---|
| Surplus in funded pension plans | 7,811 | 2,593 | 4,340 |
| Non-current financial assets | 124 | 221 | 142 |
| Current financial assets | 1,381 | 2,893 | 1,266 |
| Cash and cash equivalents | 10,741 | 9,767 | 8,487 |
| Financial assets | 20,057 | 15,474 | 14,235 |
| Non-current financial liabilities | 26,331 | 38,161 | 31,386 |
| Provisions for pensions | 2,284 | 1,571 | 2,146 |
| Current financial liabilities | 15,980 | 2,516 | 7,246 |
| Financial liabilities | 44,595 | 42,248 | 40,778 |
| Net debt | 24,538 | 26,774 | 26,543 |
EBITDA
| SEKm | 2026:1 | 2025:1 |
|---|---|---|
| Operating profit | 4,196 | 4,482 |
| -Amortization of acquisition-related intangible assets | 245 | 256 |
| -Depreciation/amortization | 1,221 | 1,227 |
| -Depreciation right-of-use asset | 269 | 282 |
| -Impairment | 2 | 3 |
| -Items affecting comparability (IAC) - impairment net | 2 | -1 |
| -Items affecting comparability (IAC) - impairment of acquisitionrelated intangible assets | 7 | -20 |
| EBITDA | 5,942 | 6,229 |
| -Items affecting comparability (IAC) excludingdepreciation/amortization and impairment | 153 | -11 |
| EBITDA excl. IAC | 6,095 | 6,218 |
EBITA
| SEKm | 2026:1 | 2025:1 |
|---|---|---|
| Operating profit | 4,196 | 4,482 |
| -Amortization of acquisition-related intangible assets | 245 | 256 |
| -Items affecting comparability (IAC) - impairment of acquisitionrelated intangible assets | 7 | -20 |
| Operating profit before amortization and impairment ofacquisition-related intangible assets (EBITA) | 4,448 | 4,718 |
| EBITA margin (%) | 13.4 | 13.5 |
| -Items affecting comparability (IAC) - cost of goods sold | -24 | 10 |
| -Items affecting comparability (IAC) - sales, general andadministration | 179 | -22 |
| EBITA excl. IAC | 4,603 | 4,706 |
| EBITA margin excl. IAC (%) | 13.9 | 13.5 |
Organic sales growth
| SEKm | 2026:1 | 2025:1 |
|---|---|---|
| Organic sales growth | 140 | 743 |
| Acquisitions | 388 | ─ |
| Divestments | ─ | -10 |
| Exchange rate effect1) | -2,327 | -607 |
| Recognized change | -1,799 | 126 |
- Consists solely of currency translation effects
Note 7 Segment reporting
Effective January 1, 2026, Essity has implemented an organizational change, simplifying its structure and creating end-to-end accountability. This aims to further enhance customer and consumer focus, while increasing speed, agility and operational efficiency throughout the Group. The change facilitates increased strategic focus on the product categories and segments with the greatest potential for profitable growth. The new organization consists of the business areas Health & Medical, Personal Care, Consumer Tissue and Professional Hygiene, with clear overall responsibility in each business area for innovation, production, marketing and sales. The former Consumer Goods business area has been split into Personal Care and Consumer Tissue. Essity's former global units Global Marketing & Innovation and Global Supply Chain have been integrated into the four business areas. The tables below show parts of the income statement broken down by operating segment: Health & Medical, Personal Care, Consumer Tissue and Professional Hygiene. For additional information, refer to page 25.
| SEKm | 2026:1 | |||||
|---|---|---|---|---|---|---|
| Health & | Personal | Consumer | Professional | Other | Total | |
| Medical | Care | Tissue | Hygiene | operations | Group | |
| Net sales | 6,499 | 8,180 | 10,356 | 8,139 | 3 | 33,177 |
| Cost of goods sold | -3,581 | -4,707 | -8,216 | -5,589 | 1 | -22,092 |
| Sales, general andadministration | -1,725 | -2,211 | -1,028 | -1,239 | -279 | -6,482 |
| Operating profit/lossbefore amortization of | ||||||
| acquisition-related | 1,193 | 1,262 | 1,112 | 1,311 | -275 | 4,603 |
| intangible assets (EBITA) | ||||||
| excl. IAC | ||||||
| Amortization of acquisition | -174 | -65 | -1 | -5 | 0 | -245 |
| related intangible assetsOperating profit/loss excl. | ||||||
| IAC | 1,019 | 1,197 | 1,111 | 1,306 | -275 | 4,358 |
| Items affectingcomparability (IAC) | -28 | -36 | 26 | -37 | -87 | -162 |
| Operating profit/loss | 991 | 1,161 | 1,137 | 1,269 | -362 | 4,196 |
| Share of results ofassociates and jointventures | -4 | |||||
| Financial items | -250 | |||||
| Tax expense for the period | -1,041 | |||||
| Profit for the period | 2,901 |
| SEKm | 2025:1 | |||||
|---|---|---|---|---|---|---|
| Health & | Personal | Consumer | Professional | Other | Total | |
| Medical | Care | Tissue | Hygiene | operations | Group | |
| Net sales | 6,936 | 7,984 | 11,301 | 8,757 | -2 | 34,976 |
| Cost of goods sold | -3,856 | -4,609 | -8,980 | -6,039 | -18 | -23,502 |
| Sales, general andadministration | -1,849 | -2,177 | -1,076 | -1,305 | -361 | -6,768 |
| Operating profit/lossbefore amortization of | ||||||
| acquisition-related | 1,231 | 1,198 | 1,245 | 1,413 | -381 | 4,706 |
| intangible assets (EBITA) | ||||||
| excl. IAC | ||||||
| Amortization of acquisitionrelated intangible assets | -193 | -57 | -1 | -5 | ─ | -256 |
| Operating profit/loss excl. | 1,038 | 1,141 | 1,244 | 1,408 | -381 | 4,450 |
| IAC | ||||||
| Items affectingcomparability (IAC) | 30 | -1 | 13 | -10 | ─ | 32 |
| Operating profit/loss | 1,068 | 1,140 | 1,257 | 1,398 | -381 | 4,482 |
| Share of results ofassociates and jointventures | -1 | |||||
| Financial items | -373 | |||||
| Tax expense for the period | -1,025 | |||||
| Profit for the period | 3,083 |
Essity Aktiebolag (publ) Interim Report Quarter 1, 2026 23
Note 8 Supplementary information
Restated description of costs for full-year 2025 by business area valid as of January 1, 2026.
| Full-year 2025 | Group | Health &Medical | PersonalCare | ConsumerTissue | ProfessionalHygiene |
|---|---|---|---|---|---|
| Total operating expenses1), SEKm | 119,894 | 23,253 | 27,356 | 38,354 | 29,561 |
| Sales, general and administration2) | 22% | 31% | 32% | 11% | 18% |
| Energy | 5% | 1% | 1% | 9% | 6% |
| Transportation and distribution costs | 12% | 12% | 10% | 14% | 13% |
| Other costs of goods sold3) | 26% | 29% | 23% | 22% | 32% |
| Raw materials and consumables | 35% | 27% | 34% | 44% | 31% |
| Of which | |||||
| Pulp | 10% | 6% | 6% | 20% | 5% |
| Recovered paper | 3% | 0% | 0% | 4% | 8% |
| Super absorbents | 1% | 2% | 3% | 0% | 0% |
| Non-woven | 3% | 4% | 7% | 0% | 0% |
| Other4) | 18% | 15% | 18% | 20% | 18% |
| Total raw materials and consumables | 35% | 27% | 34% | 44% | 31% |
-
Excluding items affecting comparability.
-
Sales, general and administration include costs for marketing of 6 percentage points.
-
The two largest items of Other costs of goods sold comprise personnel of 12 percentage points and depreciation/amortization of
4 percentage points.
- The item Other in Raw materials and consumables includes costs for chemicals, packaging material and plastic material.
Other financial information
Group information by quarter
| 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 | |
|---|---|---|---|---|---|---|---|---|---|
| Net sales, SEKm | 33,177 | 34,695 | 34,638 | 34,185 | 34,976 | 37,805 | 36,274 | 36,617 | 34,850 |
| Organic salesgrowth, % | 0.4 | -1.1 | 0.9 | 1.9 | 2.1 | 3.9 | 1.9 | -0.9 | -4.0 |
| Gross profit, SEKm | 11,109 | 11,671 | 11,598 | 11,389 | 11,464 | 11,968 | 11,962 | 12,003 | 11,201 |
| Gross profit excl.IAC, SEKm | 11,085 | 11,695 | 11,573 | 11,401 | 11,474 | 12,074 | 11,826 | 12,150 | 11,567 |
| EBITA, SEKm | 4,448 | 5,005 | 5,152 | 4,628 | 4,718 | 4,585 | 5,130 | 5,237 | 4,523 |
| EBITA excl. IAC,SEKm | 4,603 | 5,117 | 5,056 | 4,693 | 4,706 | 4,969 | 5,097 | 5,398 | 4,880 |
| Operating profit,SEKm | 4,196 | 4,754 | 4,909 | 4,386 | 4,482 | 4,315 | 4,868 | 4,978 | 4,134 |
| Profit for theperiod, SEKm | 2,901 | 3,224 | 3,358 | 3,053 | 3,083 | 2,893 | 3,329 | 3,334 | 2,477 |
| Operating cashflow, SEKm | 4,354 | 4,369 | 5,324 | 1,540 | 3,765 | 3,297 | 6,453 | 3,239 | 4,253 |
| ROCE, % | 15.8 | 17.6 | 17.9 | 16.7 | 16.7 | 15.8 | 17.8 | 17.9 | 15.9 |
| ROCE excl. IAC, % | 16.3 | 18.0 | 17.6 | 16.9 | 16.7 | 17.1 | 17.7 | 18.5 | 17.2 |
| Capital employed,SEKm | 112,699 | 112,583 | 114,289 | 115,384 | 106,478 | 119,510 | 112,957 | 117,076 | 116,439 |
| ROE, % | 13.3 | 15.2 | 16.3 | 15.2 | 14.6 | 13.4 | 15.9 | 16.1 | 56.9 |
| ROE excl. IAC, % | 14.0 | 15.6 | 15.9 | 15.4 | 14.5 | 14.9 | 15.8 | 16.6 | 15.0 |
| Debt/equity ratio,% | 0.28 | 0.31 | 0.36 | 0.42 | 0.34 | 0.35 | 0.35 | 0.40 | 0.42 |
| Equity/assetsratio, % | 48 | 51 | 50 | 48 | 46 | 48 | 46 | 46 | 44 |
| Net debt, SEKm | 24,538 | 26,543 | 30,306 | 34,177 | 26,774 | 30,769 | 29,122 | 33,214 | 34,263 |
| Earnings pershare, SEK | 4.23 | 4.69 | 4.86 | 4.39 | 4.43 | 4.13 | 4.73 | 4.72 | 3.51 |
| Earnings per shareexcl. IAC, SEK | 4.70 | 5.07 | 5.01 | 4.71 | 4.65 | 4.85 | 4.97 | 5.13 | 4.33 |
| Equity per share,SEK | 129 | 125 | 122 | 117 | 115 | 127 | 119 | 119 | 117 |
| Margins (%) | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
|---|---|---|---|---|---|---|---|---|---|
| Gross margin | 33.5 | 33.6 | 33.5 | 33.3 | 32.8 | 31.7 | 33.0 | 32.8 | 32.1 |
| Gross margin excl.IAC | 33.4 | 33.7 | 33.4 | 33.4 | 32.8 | 31.9 | 32.6 | 33.2 | 33.2 |
| EBITA margin | 13.4 | 14.4 | 14.9 | 13.5 | 13.5 | 12.1 | 14.1 | 14.3 | 13.0 |
| EBITA margin excl.IAC | 13.9 | 14.7 | 14.6 | 13.7 | 13.5 | 13.1 | 14.1 | 14.7 | 14.0 |
| Operating margin | 12.6 | 13.7 | 14.2 | 12.8 | 12.8 | 11.4 | 13.4 | 13.6 | 11.9 |
| Operating marginexcl. IAC | 13.1 | 14.1 | 13.9 | 13.0 | 12.7 | 12.4 | 13.3 | 14.0 | 13.1 |
| Financial net margin | -0.8 | -0.9 | -1.1 | -0.9 | -1.1 | -1.1 | -1.2 | -1.3 | -1.7 |
| Profit margin | 11.8 | 12.8 | 13.1 | 11.9 | 11.7 | 10.3 | 12.2 | 12.3 | 10.2 |
| Profit margin excl.IAC | 12.3 | 13.2 | 12.8 | 12.1 | 11.6 | 11.3 | 12.1 | 12.7 | 11.4 |
| Income taxes | -3.1 | -3.5 | -3.4 | -3.0 | -2.9 | -2.7 | -3.1 | -3.2 | -3.0 |
| Income taxes excl.IAC | -3.2 | -3.6 | -3.3 | -3.0 | -2.9 | -2.8 | -3.0 | -3.3 | -3.3 |
| Net margin | 8.7 | 9.3 | 9.7 | 8.9 | 8.8 | 7.6 | 9.1 | 9.1 | 7.2 |
| Net margin excl. IAC | 9.1 | 9.6 | 9.5 | 9.1 | 8.7 | 8.5 | 9.1 | 9.4 | 8.1 |
Information by business area
Net sales
| SEKm | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
|---|---|---|---|---|---|---|---|---|---|
| Health & Medical | 6,499 | 6,926 | 6,883 | 6,723 | 6,936 | 7,417 | 7,127 | 7,213 | 6,842 |
| Personal Care | 8,180 | 7,884 | 7,927 | 7,763 | 7,984 | 8,411 | 8,083 | 8,422 | 8,090 |
| Consumer Tissue | 10,356 | 10,909 | 10,656 | 10,671 | 11,301 | 12,061 | 11,327 | 11,250 | 11,248 |
| ProfessionalHygiene | 8,139 | 8,961 | 9,183 | 9,003 | 8,757 | 9,923 | 9,729 | 9,729 | 8,686 |
| Other | 3 | 15 | -11 | 25 | -2 | -7 | 8 | 3 | -16 |
| Group | 33,177 | 34,695 | 34,638 | 34,185 | 34,976 | 37,805 | 36,274 | 36,617 | 34,850 |
Organic sales growth
| % | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
|---|---|---|---|---|---|---|---|---|---|
| Health &Medical | 0.5 | 0.7 | 1.7 | 0.1 | 1.7 | 5.6 | 2.8 | 4.5 | 2.6 |
| Personal Care | 4.1 | 1.5 | 4.5 | 3.6 | 3.0 | 4.8 | 4.4 | 3.7 | 2.3 |
| Consumer Tissue | -3.5 | -4.4 | -1.9 | 2.9 | 2.7 | 4.3 | 2.0 | -4.7 | -9.0 |
| ProfessionalHygiene | 1.9 | -0.8 | 0.7 | 0.6 | 0.7 | 1.4 | -0.8 | -3.9 | -6.9 |
| Group | 0.4 | -1.1 | 0.9 | 1.9 | 2.1 | 3.9 | 1.9 | -0.9 | -4.0 |
| EBITA excl. IAC | |||||||||
| SEKm | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
| Health & Medical | 1,193 | 1,296 | 1,260 | 1,159 | 1,231 | 1,361 | 1,386 | 1,472 | 1,290 |
| Personal Care | 1,262 | 990 | 1,110 | 1,120 | 1,198 | 1,221 | 1,261 | 1,349 | 1,214 |
| Consumer Tissue | 1,112 | 1,442 | 1,252 | 1,248 | 1,245 | 1,024 | 1,024 | 1,085 | 1,331 |
| ProfessionalHygiene | 1,311 | 1,750 | 1,676 | 1,525 | 1,413 | 1,817 | 1,812 | 1,868 | 1,332 |
| Other | -275 | -361 | -242 | -359 | -381 | -454 | -386 | -376 | -287 |
| Group | 4,603 | 5,117 | 5,056 | 4,693 | 4,706 | 4,969 | 5,097 | 5,398 | 4,880 |
% 2026:1 2025:4 2025:3 2025:2 2025:1 2024:4 2024:3 2024:2 2024:1 Health & Medical 18.4 18.7 18.3 17.2 17.7 18.3 19.4 20.4 18.9 Personal Care 15.4 12.6 14.0 14.4 15.0 14.5 15.6 16.0 15.0 Consumer Tissue 10.7 13.2 11.7 11.7 11.0 8.5 9.0 9.6 11.8 Professional Hygiene 16.1 19.5 18.3 16.9 16.1 18.3 18.6 19.2 15.3 Group 13.9 14.7 14.6 13.7 13.5 13.1 14.1 14.7 14.0
Capital employed
| SEKm | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
|---|---|---|---|---|---|---|---|---|---|
| Health & Medical | 32,430 | 31,577 | 32,673 | 33,352 | 32,366 | 34,566 | 33,112 | 34,245 | 34,153 |
| Personal Care | 22,593 | 18,299 | 18,621 | 18,405 | 17,913 | 18,593 | 17,238 | 18,265 | 18,566 |
| Consumer Tissue | 35,059 | 34,744 | 35,512 | 35,442 | 34,180 | 36,700 | 35,322 | 36,077 | 36,046 |
| ProfessionalHygiene | 26,347 | 25,176 | 25,311 | 25,850 | 25,494 | 25,998 | 24,501 | 25,976 | 25,663 |
| Other | -3,7301) | 2,787 | 2,172 | 2,335 | -3,4752) | 3,653 | 2,784 | 2,513 | 2,011 |
| Group | 112,699 | 112,583 | 114,289 | 115,384 | 106,478 | 119,510 | 112,957 | 117,076 | 116,439 |
-
Of this amount, SEK 5,956m represents a liability relating to the dividend for Essity's shareholders paid on April 2, 2026, as decided at the Annual General Meeting on March 26, 2026.
-
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
| % | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
|---|---|---|---|---|---|---|---|---|---|
| Health & Medical | 14.9 | 16.1 | 15.3 | 14.1 | 14.7 | 16.1 | 16.5 | 17.2 | 15.4 |
| Personal Care | 24.7 | 21.5 | 24.0 | 24.7 | 26.2 | 27.3 | 28.4 | 29.3 | 27.1 |
| Consumer Tissue | 12.8 | 16.4 | 14.1 | 14.3 | 14.1 | 11.4 | 11.5 | 12.0 | 15.0 |
| ProfessionalHygiene | 20.4 | 27.7 | 26.2 | 23.8 | 22.0 | 28.8 | 28.7 | 28.9 | 21.4 |
| Group | 16.3 | 18.0 | 17.6 | 16.9 | 16.7 | 17.1 | 17.7 | 18.5 | 17.2 |
Operating cash flow
| SEKm | 2026:1 | 2025:4 | 2025:3 | 2025:2 | 2025:1 | 2024:4 | 2024:3 | 2024:2 | 2024:1 |
|---|---|---|---|---|---|---|---|---|---|
| Health & Medical | 1,080 | 1,538 | 1,471 | 398 | 1,232 | 976 | 1,674 | 879 | 1,330 |
| Personal Care | 786 | 541 | 1,133 | 654 | 215 | 400 | 1,822 | 1,195 | 952 |
| Consumer Tissue | 1,460 | 1,297 | 947 | 506 | 1,442 | 714 | 971 | 247 | 1,379 |
| ProfessionalHygiene | 804 | 1,922 | 1,880 | 490 | 1,054 | 1,678 | 2,153 | 1,538 | 780 |
| Other | 224 | -929 | -107 | -508 | -178 | -471 | -167 | -620 | -188 |
| Group | 4,354 | 4,369 | 5,324 | 1,540 | 3,765 | 3,297 | 6,453 | 3,239 | 4,253 |
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 April 23, 2026.
Link to the live presentation, which can also be viewed afterwards: https://essity.videosync.fi/2026-04-23
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 2026-2027
Capital Markets Day May 7, 2026 Interim report, Quarter 2, 2026 July 16, 2026 Interim report, Quarter 3, 2026 October 22, 2026 Interim report, Quarter 4, full-year 2026 January 21, 2027 Annual Report 2026 February/March 2027
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 Affairs, tel: +46 (0) 73 313 30 55
For more information about Essity, visit essity.com.
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 headquarter is in Stockholm, Sweden and Essity is listed on Nasdaq Stockholm.
