Interim Report Quarter 3, 2025
October 23, 2025
Highlights Q3 2025
+4.6% Organic: +3.8%Organic sales growth
EBITA excl. IAC
EBITA margin excl. IAC
EPS
SEK
4.86
14.6%
SEK
5,056m
+0.9%
Positive organic sales growth with higher prices, positive volumes and product mix
Higher margins
Strong cash flow
Impactful innovations
Measures launched to accelerate profitable growth:
- Reshape of organization to be faster, more focused and more agile
Group-wide cost savings program
Interim Report, Quarter 3, 2025 2
Health & Medical
Business highlights
Growing Medical Solutions for 18 consecutive quarters
Good growth across therapy areas - Wound Care, Compression and Orthopedics
Incontinence Products Health Care back to volume growth
Launch of Actimove Manus Air - a breakthrough in treatment of wrist fracture
Launch of TENA ProSkin Stretch Day & Night -supporting healthcare providers in managing strained budgets
Consumer Goods
Business highlights
Continued strong growth in Incontinence Products Retail
Feminine Care growth remained high
Baby Care sales improved with market share gains for Libero in Nordics
Consumer Tissue volumes down in Europe, but record high sales for Regio in Mexico
Superiority through new better TENA Discreet Ultra and SABA Buenes Noche
Professional Hygiene
Business highlights
Continued challenging market conditions, especially in HoReCa
Positive volume growth vs Q2
Strong growth in Latin America, stable in Europe and negative in North America
Strong growth in premium products
Selective price management and launch of value products
Recognized as best supplier by Inpacs - especially important as customers are consolidating
Sales development
Higher prices, positive volumes and mix
Net sales
Q3 2025
Currency
Price/mix
Reported growth: -4.5%
Volume
Net sales
Q3 2024
Organic sales growth: +0.9%
- Health & Medical
+ Consumer Goods
+ Professional Hygiene
- Professional Hygiene
+ Health & Medical
+ Consumer Goods
SEK 34.6bn
-5.4%
+0.7%
+0.2%
SEK 36.3bn
Positive organic sales growth
in all business areas:
Health & Medical
+1.7%
Incontinence Health Care +0.7%
Medical Solutions +3.1%
Consumer Goods +0.8%
Incontinence Retail +9.1%
Feminine Care +4.6%
Baby Care -1.3%
Consumer Tissue -1.9%
Professional Hygiene +0.7%
Interim Report, Quarter 3, 2025 6
Margin development
Higher gross and EBITA margins excl IAC
14.1%
+80bps
-10bps
-10bps
-10bps
14.6%
+ Higher sales prices
+ Higher volumes
+ Lower COGS
Q3 2024
Impact Gross
Profit Margin
A&P
SG&A
(excl. A&P)
Other
Q3 2025
EBITA margin excl. IAC
Health & Medical 18.3%
Consumer Goods 12.7%
Professional Hygiene 18.3%
Interim Report, Quarter 3, 2025 7
Operating cash flow
Strong cash flow generation
SEKbn
6.1 5.9
6.5
5.3
4.3
3.2
3.3
3.8
1.5
Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025
Interim Report, Quarter 3, 2025 8
Balance sheet
Continued reduction of net debt
70
60
50
40
30
20
10
0
SEKbn
62.9
5
4,5
4
3,5
3
2,5
2
1,5
1
0,5
0
53.7
3.1
30.8 30.3
2.0
1.2
1.2
2022 2023 2024 9M 2025
Net Debt, SEKbn Net Debt / EBITDA excl. IAC
Interim Report, Quarter 3, 2025 9
Financial targets
Annual organic sales growth
>3%
EBITA margin excl. IAC
>15%
Accelerating profitable growth
Focus on high yielding segments
Grow in attractive geographic areas
Differentiated, insight-based innovations
Deliver superior customer experience
Capture efficiencies across the value chain
Strong performance culture
Significant potential to fuel growth and improve performance
Realizing Essity's full potential requires sharper focus on the most attractive categories and segments
Stronger end-to-end accountability, decentralized decision-making and less operational complexity will unlock the full power of the organisation
Lower cost base is needed to free up resources to support profitable volume growth initiatives and secure competitiveness
Actions to fuel growth and improve performance
Reshaping the organization
Cost savings program
Unlocking the power of the organization,
freeing up resources to accelerate profitable growth and maximizing the potential of Essity's product portfolio
Summary
Positive organic sales growth, higher margins and strong cash flow in Q3
Measures launched to fuel growth and improve performance
Priorities
Continue efforts to accelerate profitable volume growth in a challenging market
Achieve SG&A and COGS savings
Reshape the organization to be faster, more focused and more agile
This presentation may contain forward-looking statements. Such statements are based on our current expectations and are subject to certain risks and uncertainties that could negatively affect our business. Please read our most recent annual report for a better understanding of these risks and uncertainties.
Every day our brands care for the hygiene and health of a billion people across 150 countries
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Essity AB (publ) published this content on October 23, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on October 23, 2025 at 07:08 UTC.
