Welcome to our dedicated page for Essity news (Ticker: ETTYF), a resource for investors and traders seeking the latest updates and insights on Essity stock.
Overview
Essity is a global hygiene and health company that excels in delivering high-quality consumer essentials through a robust portfolio of products. As a specialist in hygiene solutions, healthcare products, and everyday consumer essentials, Essity is dedicated to improving personal care and overall well-being. The company focuses on producing and distributing a wide range of products that cater to the basic needs of millions of individuals, thereby playing a crucial role in enhancing quality of life worldwide.
Business Model and Operations
At its core, Essity operates as a multifaceted organization that generates revenue through direct sales across extensive retail networks and institutional channels. The company emphasizes operational efficiency, quality control, and continuous improvement in its manufacturing processes. This operational excellence is supported by a well-structured business model that relies on leveraging strong brand equity, well-established distribution channels, and innovative product development initiatives. Essity strategically aligns its operational capabilities with market needs, focusing on cost efficiency, timely product delivery, and maintaining high quality standards.
- Diverse Revenue Streams: Essity’s income is derived from a broad spectrum of sales channels that include both consumer goods and institutional supply, reducing dependency on any single market segment.
- Global Distribution Network: The company’s ability to reach consumers worldwide is underpinned by extensive partnerships with retailers and distribution centers across various regions.
- Operational Excellence: Emphasizing quality in manufacturing and logistics, Essity ensures that its products consistently meet the highest standards expected by a global customer base.
Product and Innovation
Innovation stands as a cornerstone of Essity’s strategy. The company invests in research and development to evolve its product offerings while ensuring they remain aligned with consumer needs. This continuous drive for improvement has resulted in a diverse portfolio that spans personal care items, hygiene products, and healthcare solutions. By focusing on both incremental and breakthrough innovations, Essity is continually enhancing product performance and consumer satisfaction, which reinforces its reputation as a dependable products provider in essential markets.
The company’s commitment to innovation is manifest in its ability to refine production processes and integrate advanced technologies in product manufacturing. Such a focus not only improves efficiency but also allows Essity to adapt its products to evolving consumer preferences and regulatory standards. Through rigorous testing and quality assurance, each product developed by Essity contributes to a portfolio that is both broad and deep, addressing the varied requirements of modern consumers.
Market Position and Competitive Landscape
Essity has established itself within a highly competitive market. The company’s strategic initiatives have enabled it to build robust brand recognition and achieve a strong market position across multiple geographies. Its focus on continuous product excellence and operational agility has set it apart in an industry that demands both quality and reliability.
In the competitive arena of hygiene and health products, Essity differentiates itself by combining extensive industry experience with a refined understanding of consumer dynamics. The company’s ability to leverage deep insights into consumer behavior and market trends enables it to stay ahead of competitors. With a diversified portfolio that spans various segments within hygiene and health, Essity creates value by addressing a comprehensive range of consumer needs, from daily personal care to specialized health solutions.
- Brand Strength: Essity’s portfolio of recognized brands allows it to maintain and expand its influence in both mature and emerging markets.
- Global Expertise: With operations spanning across continents, the company benefits from diverse market insights and adapts its strategies to local consumer demands.
- Quality and Innovation: Through rigorous research and development efforts, Essity continuously improves its product offerings, ensuring alignment with evolving market trends.
Operational Excellence and Corporate Governance
Central to Essity’s continued success is its commitment to operational excellence and strong corporate governance practices. These factors underlie all aspects of the company’s operations, from product development and manufacturing to distribution and quality control. By fostering a culture of accountability, efficiency, and transparency, Essity not only advances its business operations but also builds trust with consumers, business partners, and industry stakeholders.
The company’s governance structure supports informed decision-making at all levels, ensuring that management strategies are implemented efficiently and that oversight mechanisms keep operations on track. This strong foundation enables Essity to deliver products that consistently meet industry benchmarks while supporting sustainable business practices that have long-term benefits for both the company and its stakeholders.
Commitment to Excellence and Future Resilience
Essity’s long-standing dedication to quality and innovation lays the groundwork for its position as a trusted provider of hygiene and health solutions. By integrating advanced research, robust operational processes, and comprehensive market insights, the company has built a legacy of excellence. Its multifaceted approach ensures that each product is designed not only to meet immediate consumer needs but also to adapt to broader market shifts.
Although the competitive landscape continues to evolve, Essity’s commitment to maintaining high quality standards and driving product innovation remains central to its operational strategy. The company’s ability to navigate the complexities of global markets with precision reflects its deep industry expertise and the trust it has established among its stakeholders. Overall, Essity embodies a balanced mix of solid business practices, innovative product development, and responsive market strategies, making it an invaluable resource for understanding the intersection of consumer healthcare and hygiene products.
Essity (ETTYF) held its 2025 Annual General Meeting at Stockholm Waterfront Congress Centre. The company approved a dividend of SEK 8.25 per share for FY2024, payable on April 3, 2025. The meeting approved new board remuneration rates, with directors receiving SEK 960,000 and the Chairman SEK 2,880,000, plus additional compensation for committee roles.
Shareholders approved a cash-based incentive program and the Board's remuneration report. The meeting elected two new directors, Alexander Lacik and Katarina Martinson, while re-electing eight existing members. Jan Gurander was elected Chairman. Ernst & Young AB was appointed as auditor until 2026. The meeting also authorized share buybacks of Essity B shares and approved amendments to the articles of association.
Essity (ETTYF) announced that President and CEO Magnus Groth will step down from his position during 2025 after serving 14 years with the Group, including almost ten years as CEO. The Board has initiated an immediate recruitment process for his successor.
Under Groth's leadership since 2015, first at SCA and then at Essity, the company has achieved significant growth in profitability, innovation, and global expansion. Chairman Jan Gurander acknowledged Groth's important role in establishing Essity's platform for continued profitable growth.
Groth, who has a one-year notice period, will continue in his role until a successor is appointed. During his tenure, Essity has developed into a world-leading hygiene and health company with strong brands, market positions, and recognized sustainability work.
Essity will release its Q2 2024 interim report on July 18 at approximately 07:00 CET. The report will be presented by President and CEO Magnus Groth and CFO Fredrik Rystedt during a live webcast and teleconference at 09:00 CET the same day.
The webcast and teleconference can be accessed via a provided link and will be available for later viewing. Contact numbers for the conference call are provided for participants from the UK, USA, and Sweden. The presentation will also be broadcast live on LinkedIn.
For more information, contact Vice Presidents Per Lorentz and Sandra Åberg. Further details and downloadable files are available on Cision and Essity's news page.
Essity, in collaboration with McDonald's, is launching a recycling project in Germany to convert used paper cups into Tork branded toilet paper. Initiated in 2020, the project aims to recycle approximately 1,200 tons of waste annually. This collaboration will not only reduce McDonald's waste and carbon footprint but also align with Essity's sustainability goals. The solution extends Essity's Tork PaperCircle® service, enhancing its circular economy initiatives.
Essity reported a net sales decline of 18.3% to SEK 27,528m for Q1 2021, primarily due to the COVID-19 pandemic and stockpiling effects from the previous year. Organic net sales fell 9.9%, with e-commerce increasing 14%. Operating profit (EBITA) dropped 31% to SEK 3,664m. Despite challenges, market shares rose in several sectors, and the company announced acquisitions to boost growth, including a USD 1,540m deal for control of Productos Familia S.A.. Future price increases are planned to counteract higher raw material costs.
Essity, a hygiene and health company, announced price increases in Consumer Tissue products due to rising raw material costs. The hikes are expected to average in the mid-to-high single digits in key markets. Additionally, the company is preparing for price adjustments in other product categories affected by similar cost pressures. This announcement is in compliance with the EU Market Abuse Regulation, signaling a proactive response to inflationary trends impacting production costs.
Essity has announced price increases in its Consumer Tissue category due to rising raw material costs, effective in key markets. The average increase is in the mid-to-high single digits. Additionally, the company is planning price hikes in other product categories affected by these costs. This decision aligns with their commitment to maintaining profitability amidst challenging market conditions.
Essity has acquired the distribution rights to Sorbact® wound care technology in Australia and New Zealand from Bayport Brands. In 2020, Sorbact® sales in this region reached AUD 1.7 million (approx. SEK 11 million). This acquisition is part of Essity's strategy to enhance its presence in the advanced wound care market, where it has shown promising sales growth. Sorbact® is known for its innovative approach in wound treatment, effectively binding bacteria and fungi while being non-toxic. Essity acquired 75% of Abigo Medical, the manufacturer of Sorbact®, in February 2020.
Essity held its Annual General Meeting on March 25, 2021, where key financial statements for 2020 were approved. A dividend of SEK 6.75 per share was announced, with a record date of March 29, 2021, and payment scheduled for April 1, 2021. The Meeting also confirmed director remuneration and re-elected board members, including Chairman Pär Boman. Ernst & Young AB was appointed as auditor until the 2022 AGM. The Board was authorized to buy back shares, and changes to the Articles of Association were approved. Meeting minutes will be published on Essity's website within two weeks.
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