Essity’s third quarter of 2023 compared with the corresponding period a year ago net sales increased 8.5% to SEK 43.5 billion ($3.9 billion). Sales growth, including organic sales growth and acquisitions, amounted to 4.6%, of which volume accounted for -3.1%, price/mix for 6.9% and acquisitions for 0.8%. Selling prices were higher and the mix better in all business areas. The lower volumes were mainly a result of the company’s focus on profitable growth and thereby decisions to implement restructuring measures in Professional Hygiene and to exit contracts with insufficient profitability in Incontinence Products Health Care and Baby Care. Organic sales growth in mature markets amounted to 1% and in emerging markets to 8.1%. Emerging markets accounted for 36% of net sales.

In the Health & Medical segment, Q3 net sales increased 11.6% to SEK 7.3 billion ($656 million). Sales growth, including organic sales growth and acquisitions, amounted to 5.8%, of which volume accounted for -3.3%, price/mix for 9.1% and acquisitions for 0%. The organic sales growth amounted to 4.9% in mature markets. In emerging markets, which accounted for 20% of net sales, organic sales growth was 8.3%. Exchange rate effects increased net sales by 7%. Divestments reduced net sales by 1.2% and include the divestment of Russian operations. For Incontinence Products Health Care, organic sales growth amounted to 5.2% due to higher prices and a better mix. Volumes decreased as a result of the decision to exit contracts with insufficient profitability. In Medical Solutions, organic sales growth amounted to 6.6% mainly as a result of higher prices. Sales growth was high in the Wound Care and Compression Therapy product segments.

In the Consumer Goods segment, Q3 net sales increased 7.3% to SEK 25.6 billion ($2.3 billion). Sales growth, including organic sales growth and acquisitions, amounted to 3.8%, of which volume accounted for -2.1%, price/mix for 4.6% and acquisitions for 1.3%. Organic sales growth amounted to -2.9% in mature markets. In emerging markets, which accounted for 48% of net sales, organic sales growth was 8.2%. Exchange rate effects increased net sales by 6.0%. Divestments reduced sales by 2.5% and pertain to the divestment of Russian operations.

For Incontinence Products Retail, organic sales growth amounted to 14.9% due to higher volumes and higher prices. In Feminine Care, organic sales growth amounted to 9.1% as a result of higher volumes, higher prices and better mix. In Baby Care, organic sales growth was -5.6%, mainly due to lower volumes, which were negatively impacted by the discontinuation of the baby diaper business in Latin America and the decision to exit retailer brands contracts with insufficient profitability in Europe. Sales prices in Baby Care were higher. In Consumer Tissue, organic sales growth amounted to 0.6% as a result of higher prices and a better mix. Volumes were lower on account of the prioritization of higher profitability ahead of volume. For the Consumer Tissue Private Label Europe division, organic sales growth amounted to -11% due to lower volumes.