Essity has reported increased volumes and higher margins in its first quarter results, amid a “turbulent external environment” dominated by considerable geopolitical turbulence.
Profit for the period was down 6% year-on-year to SEK2,901m, while net sales decreased 5.1% to SEK33,177m and organic sales growth amounted to 0.4%.
The acquisition of Edgewell’s feminine care business in North America was completed and consolidated as of 2 February, increasing the group’s net sales by 1.1%.
Ulrika Kolsrud, President and Chief Executive, Essity, said: “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 organisational change.”
Reporting for the first time on the previously announced four new business areas, Kolsrud confirmed a positive volume trend in the quarter: “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, fuelled 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.
“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.”
The gross margin increased because of higher volumes, lower costs of goods sold and good price discipline, she added.
Product launches during the quarter “reflect our focus on innovation, and our ambition to continue strengthening our leading positions.”
They included the launch of 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.
She said: “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.”
