Report for quarter 4 and full-year 2024: Essity
Report for quarter 4 and full-year 2024: Essity |
| [23-January-2025] |
Strong growth in fourth quarter ended a successful 2024 STOCKHOLM, Jan. 23, 2025 /PRNewswire/ -- Quarter 4, 2024
Full-year 2024
CEO'S COMMENTS Essity is in better shape than ever and our focus on accelerated profitable growth is yielding results. For full-year 2024, sales amounted to SEK 146bn and profit reached its highest level ever at SEK 20.3bn. Strong growth and crucial innovation Sales increased in all of Essity's business areas in the fourth quarter. High organic growth was noted in our most profitable categories: Incontinence Products, in both healthcare and the retail trade, Medical Solutions, Feminine Care and, excluding restructuring, Professional Hygiene. Despite continued global economic challenges, our focus on accelerated profitable growth has yielded results. People are prioritizing hygiene and health and choosing the product offerings that can best improve their everyday lives, making relevant innovation crucial. Our launches of, for example, TENA Proskin Pants, incontinence products for better absorption and skin health, and improved Cutimed Sorbion wound dressings are examples of innovations that have contributed to our favorable performance. The latest major innovation is Tork Optiserve Coreless, a new toilet paper system that complements our big seller Tork PeakServe in Professional Hygiene. Higher profit Profit (EBITA excl. IAC) for the quarter was higher than in the year-earlier period. Higher volumes and sales prices, and a favorable product mix, had a positive impact. However, the EBITA margin excl. IAC was lower, mainly on account of higher costs in Consumer Goods and the Consumer Tissue category. The rapid and sharp strengthening of the USD increased costs, which has not yet been fully offset. Health & Medical and Professional Hygiene reported significantly higher margins. Our efficiency programs continued to generate high cost savings. Successful 2024 2024 was a successful year. We achieved sales of SEK 146bn and our highest-ever profit of SEK 20.3bn, corresponding to a margin of 14%. We improved the portfolio mix through the divestment of Vinda and by prioritizing growth in categories that yield a high return. Our continuous efforts to improve efficiency have resulted in cost savings of SEK 1.5bn. We also presented new financial targets during the year, raising the level of ambition for growth and profitability, and launched a share buyback program financed by the strong cash flow from operations. The aim is to continue buying back shares as a recurring part of Essity's capital allocation. The Board of Directors proposes an increase in the dividend of 6.5% to SEK 8.25 per share. Leaving as CEO After 14 years with the company and ten years as President and CEO, I have decided to leave Essity during 2025. Essity is today a global leading hygiene and health company with strong brands and market positions, fantastic employees and recognized sustainability work, reflected in profitable growth. I look forward to continuing to develop Essity with full speed together with my colleagues until my successor is in place. Magnus Groth, President and CEO Invitation to presentation President and CEO Magnus Groth and Executive Vice President and CFO Fredrik Rystedt will present the report for the fourth quarter and full-year 2024 at a live webcast and teleconference at 09:00 CET on January 23, 2025. Link to the live presentation, which can also be viewed afterwards: https://essity.videosync.fi/2025-01-23 Contact information for conference call with the possibility to ask questions: UK: +44 (0) 33 0551 02 00 Please call in well in advance of the start of the presentation. Indicate: "Essity". For additional information, please contact: Fredrik Rystedt, Executive Vice President and CFO, tel: +46 (0) 8 788 51 31 Sandra Åberg, Vice President Investor Relations, tel: +46 (0) 70 564 96 89 Per Lorentz, Vice President Corporate Communications, tel: +46 (0) 73 313 30 55 NB: This information is such information that Essity Aktiebolag (publ) is obligated to make public pursuant to the EU Market Abuse Regulation. This report has been prepared in both Swedish and English versions. In case of variations in the content between the two versions, the Swedish version shall govern. The information was submitted for publication, through the agency of Karl Stoltz, Media Relations Director, at 07:00 CET on January 23, 2025. This report has not been reviewed by the company's auditors. This information was brought to you by Cision http://news.cision.com https://news.cision.com/essity/r/report-for-quarter-4-and-full-year-2024,c4094876 The following files are available for download:
SOURCE Essity | ||||
Company Codes: Bloomberg:ESSITYB@SS, ISIN:SE0009922164, RICS:ESSITYB.ST, Stockholm:ESSITY-B |
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