In the first quarter of 2023, Essity’s net sales increased 25.1% to SEK 42.9 billion ($4.16 billion). Sales growth, including organic sales growth and acquisitions, amounted to 17.2%, of which volume accounted for -2.6%, price/mix for 18.6% and acquisitions for 1.2%. Sales prices were higher and the mix better in all business areas. Approximately half of the volume decline was related to the ongoing efforts to exit the Russian market and the discontinuation of the baby diaper business in Latin America. Furthermore, the volumes were negatively impacted by the company’s prioritization of higher profitability ahead of volume. Organic sales growth in mature markets amounted to 16.7% and in emerging markets to 14.8%. Emerging markets accounted for 37% of net sales. Exchange rate effects increased net sales by 7.9%.

In the Health & Medical segment, net sales increased 16.8% to SEK 6.8 billion ($660 million). Sales growth, including organic sales growth and acquisitions, amounted to 10.5%, of which volume accounted for 0%, price/mix for 10.5% and acquisitions for 0%. The organic sales growth amounted to 9.8% in mature markets. In emerging markets, which accounted for 20% of net sales, organic sales growth was 13.3%. Exchange rate effects increased net sales by 6.3%. For Incontinence Products Health Care, organic sales growth amounted to 10.7% due to higher prices and a better mix. Volumes decreased as a result of a decision to discontinue contracts with insufficient profitability and the ongoing efforts to exit the Russian market. In Medical Solutions, organic sales growth amounted to 10.2% as a result of higher volumes, higher prices and a better mix. Sales growth was high in all product segments: Compression Therapy, Orthopedics and Wound Care. For Incontinence Products Health Care and Medical Solutions, sales growth was high in all regions, including Europe, North America, Latin America and Asia.

In the Consumer Goods segment, net sales increased 25.4% to SEK 26.3 billion ($2.6 billion). Sales growth, including organic sales growth and acquisitions, amounted to 17.6%, of which volume accounted for -3.1%, price/mix for 18.8% and acquisitions for 1.9% Volumes declined on account of the company’s prioritization of higher profitability ahead of volume. Furthermore, volumes were negatively impacted by the ongoing efforts to exit the Russian market. Organic sales growth amounted to 16.2% in mature markets. In emerging markets, which accounted for 48% of net sales, organic sales growth was 15%. Exchange rate effects increased net sales by 7.8%. For Incontinence Products Retail, organic sales growth amounted to 17% due to higher volumes, higher prices and a better mix. Sales growth was high in all regions, including Europe, North America, Latin America and Asia. In Feminine Care, organic sales growth amounted to 13.1% as a result of higher volumes and higher prices. For Feminine Care, sales growth was also high in all regions, including Europe, North America, Latin America and Asia. In Baby Care, organic sales growth was -7.3%, 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 contract with insufficient profitability in Europe. Sales prices in Baby Care were higher. In Consumer Tissue, organic sales growth amounted to 19.7%, mainly as a result of significantly higher prices in addition to a better mix. Volumes were lower on account of the prioritization of higher profitability ahead of volume. Sales growth was high in all regions, including Europe, Latin America and Asia. For the Consumer Tissue Private Label Europe division, organic sales growth amounted to 35.8%, which was mainly related to higher prices.