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Organic nets sales up 9.5%
July 19, 2021
By: Tara Olivo
Associate Editor at Nonwovens Industry
Essity’s net sales in the second quarter increased 2% compared with the corresponding period a year ago to SEK 28.97 billion ($3.3 billion). Organic net sales, which exclude exchange rate effects, acquisitions and divestments, increased 9.5%, of which volume accounted for 9.9% and price/mix for -0.4%. The negative effect of the Covid-19 pandemic and the related lockdowns and restrictions was less severe in the second quarter of 2021 compared with the preceding year. Sales in the second quarter of 2020 were negatively impacted by inventory adjustments among consumers and distributors. Organic net sales increased 9% in mature markets and increased 9.1% in emerging markets. Emerging markets accounted for 38% of net sales. Exchange rate effects reduced net sales by 6.8%. Acquisitions, divestments and deconsolidation reduced net sales by 0.7%. In the Personal Care segment, net sales increased 4.8% to SEK 11.16 billion ($1.28 billion). Organic net sales increased 12.7%, of which volume accounted for 11% and price/mix for 1.7%. Sales in the second quarter of 2020 were negatively impacted by inventory adjustments among consumers. Organic net sales in mature markets increased 12.3%. In emerging markets, which accounted for 35% of net sales, organic net sales increased 11%. Exchange rate effects reduced net sales by 7%. Acquisitions and divestments reduced net sales by 0.9%. For Incontinence Products, organic net sales increased 6.4%. The increase was attributable to Europe and emerging markets. In Medical Solutions, organic net sales increased 35.4% and all product categories demonstrated strong sales growth. For Baby Care, organic net sales increased 12.4%, primarily related to Europe. For Feminine Care, organic net sales increased 11% related to Europe and emerging markets.
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