(compared with the corresponding period a year ago)
- Sales growth, including organic sales growth and acquisitions, amounted to 4.5%, of which organic sales growth amounted to 3.3%. Net sales increased 0.1% to
SEK 121,867m (121,752). Sales growth, including organic sales growth and acquisitions, was strong for the fourth quarter of 2021 and amounted to 10.3%, of which organic sales growth amounted to 8.0%. - Price increases have been implemented and further price increases will be implemented during 2022
-
Six acquisitions completed: Australian hygiene company
Asaleo Care , increased shareholding by 45.8% to 95.8% in Latin American hygiene company Familia and four acquisitions in Medical Solutions. - Market shares increased for approximately 70% of branded sales in the retail trade
-
E-commerce sales increased organically by 15.9% to approximately 14% of net sales, corresponding to approximately
SEK 17bn . - In emerging markets, which accounted for 38% of net sales, organic sales growth amounted 8.8%.
-
Operating profit before amortization of acquisition-related intangible assets (EBITA) decreased 20% to
SEK 14,051m (17,567) -
Adjusted EBITA amounted to
SEK 13,680m (17,626) - Adjusted EBITA margin amounted to 11.2% (14.5). Higher costs for raw materials, energy and distribution had a negative impact of 4.8 percentage points on the margin.
- Adjusted return on capital employed amounted to 12.0% (15.7)
-
Profit for the period was
SEK 9,810m (11,747) -
Earnings per share were
SEK 12.27 (14.56) -
Cash flow from current operations was
SEK 6,894m (11,175) -
The Board of Directors proposes an increase in the dividend of 4% to
SEK 7.00 (6.75) per share
CEO'S COMMENTS
Strong sales growth and focus on price increases
Net sales for 2021 amounted to approximately
Full-year 2021
Net sales for 2021 amounted to approximately
Due to the significant cost inflation, adjusted EBITA fell 22% to
Emerging markets' share of
We have taken strong actions to address the significant challenges in our operating environment during the year. We implemented price increases in all business areas and further price increases will be implemented in 2022 to offset the strong cost inflation. Manufacturing Roadmap delivered substantial cost savings and reduced our environmental impact.
Six acquisitions were completed during the year, including the Australian hygiene company
During the year, we launched innovations with a focus on greater well-being, sustainability and digitalization, helping us to increase our market shares for approximately 70% of branded sales in the retail trade. E-commerce sales amounted to approximately
We have raised our sustainability ambitions and have, for example, committed to achieving net zero emissions of greenhouse gases by 2050. Between 2016 and 2021, we reduced our carbon emissions under Science Based Targets, Scope 1 and 2, by 15%.
We promote increased diversity, equal opportunities and inclusion in
Fourth quarter 2021
Sales growth, including organic sales growth and acquisitions, amounted to 10.3%, of which organic sales growth was 8.0%. All business areas demonstrated strong organic sales growth. The organic sales growth amounted to 7.5% compared with the fourth quarter of 2019. Adjusted EBITA decreased 30%. The adjusted EBITA margin decreased 5.2 percentage points to 9.0%. Higher costs for raw materials, energy and distribution reduced the margin by 10.4 percentage points. Higher volumes, higher selling prices, a better mix and cost savings had a positive impact on earnings. Cost savings amounted to
Looking ahead
We will implement further price increases in 2022. We are continuing to deliver in line with our strategy for profitable growth and increased shareholder value. Through innovation, digitalization, sustainability initiatives and efficiency improvements, we are increasing the company's competitiveness. Our new target for sales growth of more than 5% includes both organic sales growth and acquisitions. We are prioritizing to grow in the categories with the highest profitability.
President and CEO
FUTURE REPORTS
ANNUAL GENERAL MEETING
INVITATION TO PRESENTATION OF THE YEAR-END REPORT 2021
In conjunction with publication, a telephone and web presentation will be held where President and CEO
Presentation
Date:
Time:
Link to web presentation: https://essity.videosync.fi/2022-01-26-q4
To participate by telephone, call: +44 333 300 08 04, +1 631 913 14 22 or +46 (0) 8 566 426 51. Please call well in advance of the start of the presentation. State pin code 70624732#.
The presentation can also be followed on LinkedIn and Twitter.
For further information, please contact:
Joséphine Edwall Björklund, Senior Vice President, Group
Per Lorentz, Vice President Corporate Communications, Group
NB:
This report has not been reviewed by the company's auditors.
This information is such information that
https://news.cision.com/essity/r/year-end-report-2021,c3492529
https://mb.cision.com/Main/15798/3492529/1525302.pdf
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