# Essity B

> Clarifo company profile — qualitative business description generated from
> the company's filings. Financial statements, charts and ratios are
> available on Clarifo (https://www.clarifo.com/en/companies/essityb).

## Overview

Essity Aktiebolag (publ) is a global hygiene and health company that develops, produces, and sells personal care and tissue products. The company is known for its strong focus on sustainability and innovation, aiming to improve the quality of life through its products. Essity operates in several segments, including Health & Medical, Consumer Goods, and Professional Hygiene, with a significant presence in both retail and professional markets. The company is committed to reducing its environmental impact and enhancing social value through science-based targets and sustainable innovations.

## Products & services

• TENA incontinence products
• TORK professional hygiene solutions
• JOBST compression hosiery
• Saba feminine care products
• Zewa toilet paper
• Libero baby diapers
• Medical Solutions

- **Health & Medical** (20%) — Includes incontinence products and medical solutions
- **Consumer Goods** (54%) — Comprises personal care products like diapers and feminine care
- **Professional Hygiene** (26%) — Offers hygiene solutions for businesses and institutions

- TENA incontinence products
- TORK professional hygiene solutions
- JOBST compression hosiery
- Saba feminine care products
- Zewa toilet paper
- Libero baby diapers
- Medical Solutions

## Customers

Essity serves a diverse range of customers, including individual consumers, healthcare institutions, and businesses. The company's products are used by elderly individuals for incontinence management, healthcare professionals for hygiene solutions, and families for everyday personal care needs. Essity's customer base spans across retail and professional markets, with a strong emphasis on providing products that enhance comfort, hygiene, and convenience. The company's focus on innovation and sustainability attracts customers who value environmentally friendly and socially responsible products.

- **Retail Consumers** (primary) — Purchase personal care products like diapers and feminine care for everyday use
- **Healthcare Institutions** (secondary) — Use incontinence and hygiene solutions for patient care
- **Professional Businesses** (secondary) — Require hygiene solutions for business operations

- Elderly individuals using TENA for incontinence management
- Healthcare professionals using TORK hygiene solutions
- Families purchasing Libero diapers and Saba feminine care
- Businesses and institutions using professional hygiene products
- Consumers seeking sustainable and innovative personal care products

## Geography

Essity operates globally, with significant market presence in Europe, North America, and Latin America. The company has manufacturing facilities strategically located around the world to serve its diverse customer base efficiently. While Europe remains a key market, Essity is experiencing strong growth in North and Latin America. The company's geographic diversification helps mitigate regional economic fluctuations and provides a broad platform for growth.

- Strong market presence in Europe with manufacturing facilities
- Growing market share in North America and Latin America
- Strategic manufacturing locations globally for efficient distribution
- Geographic diversification helps mitigate regional risks

## Strategy

Essity's strategic priorities focus on driving growth through innovation, sustainability, and cost efficiency. The company aims to enhance its product offerings by tailoring innovations to customer needs, such as the TENA ProSkin Stretch Day & Night. Essity is committed to reducing its environmental footprint with ambitious targets for emissions and sustainable innovations. The company is also implementing organizational changes and cost-saving measures to strengthen profitability and margins.

- **Innovation** (medium-term) — To drive growth and meet customer needs
- **Sustainability** (long-term) — To reduce environmental impact and enhance social value
- **Cost Efficiency** (short-term) — To improve profitability and margins

- Focus on innovation tailored to customer needs
- Commitment to sustainability with science-based targets
- Organizational changes to enhance profitability
- Cost-saving measures to strengthen margins

## Risks

Essity faces several risks, including market volatility, regulatory changes, and supply chain disruptions. The company's reliance on raw materials exposes it to price fluctuations, which can impact margins. Regulatory changes, particularly in environmental standards, may require additional investments to comply. Additionally, geopolitical tensions and economic instability in key markets could affect demand and operational efficiency. Essity's centralized risk management processes aim to mitigate these risks through strategic planning and coordination.

- **Raw material price fluctuations** [high] — Affect margins and cost of goods sold
- **Regulatory changes** [medium] — Require compliance investments
- **Geopolitical tensions** [high] — Affect demand and operational efficiency

- Market volatility affecting demand and pricing
- Regulatory changes requiring compliance investments
- Supply chain disruptions impacting production
- Geopolitical tensions affecting key markets
- Raw material price fluctuations impacting margins

## Accounting

Essity's financial reporting is influenced by several critical accounting matters, including revenue recognition and currency translation effects. The company applies IAS 34 for interim reporting and has recently adopted amendments to IAS 21, affecting foreign exchange rate translations. Revenue recognition is crucial, especially with the company's diverse product lines and geographic spread, impacting the timing and amount of revenue reported. Currency fluctuations can also affect financial results, necessitating careful management of foreign exchange risks.

- **Revenue recognition** — high
- **Currency translation** — medium

- Revenue recognition affects timing and amount of reported revenue
- Currency translation impacts financial results
- Adoption of IAS 21 amendments for foreign exchange rates
- Management of foreign exchange risks is crucial

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*Last updated: 2026-08-11T04:04:52.473638+00:00*