Essity Ab Class A · OMXSTO:ESSITY_A
Essity Ab Class A — Handelsbanken Nordic Large Cap Seminar 2021
22 slides from Essity Ab Class A's conference presentation, Sep 15, 2021
Slide 1: Magnus Groth, President and CEO
Magnus Groth President and CEO
Slide 2: Forward-looking statements
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 and sustainability report for a better understanding of the
Slide 3: Our Vision: Improving Well-being Through Hygiene and Health Solutions
Our Vision: Dedicated to Improving Well-being Through Leading Hygiene and Health Solutions Text 3
Slide 4: 2020 in Figures
2020 in Figures 121,752 Net sales, SEKm Adjusted EBITA1), 17,626 SEKm Sales in countries, 150 approximately Employees, 46,000 approximately Handelsbanken Nordic Large Cap Seminar September 15, 2021 4
Slide 5: Net Sales 2020
Net Sales 2020 Handelsbanken Nordic Large Cap Seminar September 15, 2021 5
Slide 6: Financial Targets and Policies
Financial Targets and Policies Target Policy Capital structure Maintain a solid investment Annual organic grade rating sales growth1) >3% policy Long-term stable and Dividend policy rising dividends Adjusted return on capital employed2) >17% The earlier target of >15% was achieved in 2020 by 2025 an
Slide 7: Strong Development of Sales and Profitability
Strong Development of Sales and Profitability CAGR1) 5.6% CAGR1) 10.9% 129.0 SEKbn 118.5 121.8 SEKbn 17.6 109.3 15.8 98.5 101.2 13.4 12.9 88.0 12.0 10.6 9.5 2014 2015 2016 2017 2018 2019 2020 Organic Adjusted 2014 2015 2016 2017 2018 2019 2020 Net EBITA Sales2) +6% +3% +1.2% +2.6% +4.5% -1.9% Margin
Slide 8: Half-year Results 2021
Half-year Results 2021 H1 2021 vs H1 2020 Organic Net Sales Net Sales1) ▪ Sales were negatively impacted by the COVID-19 pandemic and the related lockdowns and restrictions, primarily within Professional Hygiene SEK 56,496m -1.0% ▪ Sales growth was strong for the second quarter of -9.1% 2021 and org
Slide 9: Portfolio Strategy
Portfolio Strategy Grow organically and Medical by acquisitions Solutions Grow organically Incontinence Products including and Feminine Care adjacencies Professional Hygiene Improve by Baby Care selective presence Consumer Tissue Handelsbanken Nordic Large Cap Seminar September 15, 2021 9
Slide 10: Global Market Positions
Global Market Positions #1 or #2 position in ~90 countries within at least one product category Incontinence Products 1 Professional Hygiene 1 Consumer Tissue 2 Medical Solutions 4 Baby Care 5 Feminine Care 5 Source: The information has been compiled by Essity for presentation purposes based on stat
Slide 11: Strengthened Market Shares and Brands
Strengthened Market Shares and Brands Positive Development Last 12 Months Increased Branded Position #1 or #2 in Market Shares ~90% >60% of branded sales market positions in Retail Handelsbanken Nordic Large Cap Seminar September 15, 2021 11
Slide 12: Innovations with Strong Sustainability Profile
Innovations with Strong Sustainability Profile s Handelsbanken Nordic Large Cap Seminar September 15, 2021 12
Slide 13: Innovative Digital Solutions
Innovative Digital Solutions Cutimed® Wound Navigator Tork EasyCube® Handelsbanken Nordic Large Cap Seminar September 15, 2021 13
Slide 14: Strong E-commerce Growth H1 2021
Strong E-commerce Growth H1 2021 Essity’s Own Channels, 1% Multi-channel 14% Pure Players, 57% Players, 42% of Group Net Sales Organic Sales Growth +14% Handelsbanken Nordic Large Cap Seminar
Slide 15: Sustainability Targets and Recognitions
Sustainability Targets and Recognitions Examples Net-zero Greenhouse Gas Packaging Emissions by 2050 Recognitions Striving for 100% recyclability and 85% Target by 2030 Outcome 2020 renewable or recycled material in packaging Scope 1 & 2: -35% -11% 85% 77% Scope 3: -18% -4%1) ESG Rating of AAA 1) Ou
Slide 16: Manufacturing Roadmap
Manufacturing Roadmap Optimization of Footprint and Production Efficiency Text Integrated Supply Chain Digitalization Sustainability & Breakthrough Technology
Slide 17: Value Creating Acquisitions Positioning Essity for Profitable Growth
Value Creating Acquisitions Positioning Essity for Profitable Growth Essity Handelsbanken Nordic Large Cap Seminar September 15, 2021 17
Slide 18: Private Label Division within Consumer Tissue
Private Label Division within Consumer Tissue Consumer Tissue Net Sales Split Proforma 2020 ▪ Started process to establish the new division Consumer Tissue Private Label Europe Latin America, 12% ▪ Process expected to be finalized by year-end 2021 ▪ Consumer Tissue branded and selected multi-categor
Slide 19: Priorities
Priorities Short-term ▪ Accelerate sales ▪ Price increases ▪ Cost savings ▪ Private label division within Consumer Tissue Long-term ▪ Innovation and expanding offerings ▪ Manufacturing Roadmap ▪ Acquisitions in high margin categories ▪ Digital transformation in all areas ▪ Continue to lead in sustai
Slide 20: Welcome to Essity's Virtual Capital Markets Day
Welcome to Essity’s Virtual Capital Markets Day November 3, 2021 Text
Slide 21: Forward-looking Statements
Forward-looking Statements Certain statements in this presentation includes forward-looking statements, including statements reflecting management’s current views relating to the growth of the market, future market conditions, future events, financial conditions, and expected operational performance
Slide 22: Slide 22