Essity
{{Short description|Global hygiene and health company}}
{{Third-party|date=March 2018}}
{{Infobox company
| name = Essity AB
| logo = Essity logo.svg
| logo_size = 250px
| type = Aktiebolag
| traded_as = {{OMX|SSE139300|ESSITY A}}, {{OMXb|SSE139301|ESSITY B}}
| ISIN = {{Unbulleted list|{{ISIN|sl=n|pl=y|SE0009922156}}{{Cite web |url=http://www.nasdaqomxnordic.com/aktier/microsite?Instrument=SSE139300|title=ESSITY A - Nasdaq Nordic|access-date=4 October 2023}}|{{ISIN|sl=n|pl=y|SE0009922164}}{{Cite web |url=http://www.nasdaqomxnordic.com/aktier/microsite?Instrument=SSE139301|title=ESSITY B - Nasdaq Nordic|access-date=4 October 2023}}}}
| industry = Consumer goods
| founded = {{start date and age|2017|6|15}}
| predecessor = SCA
| hq_location_city = Stockholm
| hq_location_country = Sweden
| area_served = Worldwide
| key_people = Jan Gurander (Chairman)
Magnus Groth (CEO)
| products = Consumer Goods, Health & Medical, Professional Hygiene
| revenue = SEKm 147,147
| revenue_year = 2023
| operating_income = SEKm 16,607
| income_year = 2023
| assets = SEKm 202,993
| assets_year = 2023
| equity = SEKm 79,405
| equity_year = 2023
| num_employees = 36,000
| num_employees_year = 2023
| footnotes = [https://masdpstatic.azureedge.net/essity/Essity_AR_ENG_2023.pdf]
}}
Essity AB (commonly known as Essity) is a Swedish multinational company specializing in hygiene and health products headquartered in Stockholm, Sweden. Established in 2017 through a spin-off from the forest products company Svenska Cellulosa Aktiebolaget (SCA), Essity operates in approximately 150 countries and serves more than one billion people worldwide with its range of products https://www.essity.com/company/about-us/#:~:text=Sales%20are%20conducted%20in%20approximately%20150%20countries,Nosotras%2C%20Saba%2C%20Tempo%2C%20TOM%20Organic%20and%20Zewa.&text=As%20a%20business%2C%20we%20pursue%20global%20and,hygiene%20and%20health%20to%20drive%20social%20impact. Essity's name is derived from the words "essentials" and "necessity," reflecting its focus on essential hygiene and health products. https://www.essity.com/company/about-us/
Essity's range of products includes personal care items, consumer tissue products, professional hygiene solutions, and medical care goods. The company is known for its well-established brands like TENA, Tork, and Libero. It's products are designed for single use and include items like tissue paper, baby diapers, feminine care (menstruation pads, etc.), incontinence products, compression therapy, orthopedics and wound care.
Essity has approximately 36,000 employees{{Refnec|date=December 2023}} and net sales in 2023 amounted to EUR 13 billion.{{Cite web |title=Essity reports "record-high cash flow" in Q3 results|url=https://www.tissueworldmagazine.com/world-news/essity-reports-record-high-cash-flow-in-q3-results/ |last=Morris |first=Helen |date=2024-10-29|website=Tissue World Magazine |language=en-US |access-date=2024-11-28}}
History
Essity was formerly a part of the SCA group.{{Cite web|url=https://www.nonwovens-industry.com/contents/view_breaking-news/2017-06-16/essity-listed-on-nasdaq-stockholm/|title=Essity Listed on Nasdaq Stockholm|website=Nonwovens Industry Magazine - News, Markets & Analysis for the Nonwovens Industry|access-date=2019-12-17}}
SCA was founded in 1929 as a forestry company. In 1975, SCA acquired Mölnlycke AB, a western European producer of disposable hygiene products.
File:Zewa-Waldhof.jpg, origin of PWA and the Zewa brand]]
In 1995 they acquired the German paper and packaging company PWA, Papierwerke Waldhof-Aschaffenburg.
In 2001 the division Wisconsin Tissue of the United States company Georgia-Pacific Tissue was acquired.
In 2004 SCA acquired the tissue and hygiene products businesses of Carter Holt Harvey from International Paper.
In 2007, Procter & Gamble sold their European tissue business to SCA for €512 million ($672 million).{{cite news| url = https://www.reuters.com/article/sca-procterandgamble/update-2-pg-sells-european-tissue-unit-to-swedens-sca-idUSL1228850220070312 | title = P&G sells European tissue unit to Sweden's SCA | work = Reuters | date = 2007-03-12 | access-date = 2018-01-09 }}
In 2007 SCA acquired its first minority share in the Asian tissue company Vinda.
In 2011, it acquired the Brazilian Pro Descart for about R$114 million, with local brands Biofral and Drybaby. Later, it invested R$242 million in a plant in Jarinu, in the interior of São Paulo, consolidating the brands TENA and Tork.
In July 2012, the acquisition of Georgia Pacific's tissue operations, including the brand Lotus, was closed. The total price amounted to €1.32 billion.
In 2013 SCA became majority shareholder in Vinda.{{Cite news|url=https://www.reuters.com/article/us-vinda-sca-idUSBRE9880L820130909|title=SCA to bid for control of Chinese tissue maker Vinda|date=2013-09-09|work=Reuters|access-date=2019-12-17|language=en}}
In 2015, SCA was the largest producer of tissue paper in the world.{{cite web|url=http://www.paperindustryworld.com/is-tissue-becoming-a-safe-haven-for-the-global-pulp-and-paper-industry/|title=Is tissue becoming a safe haven for the global pulp and paper industry? Global paper and board industry is in transition.|year=2015|publisher=paperindustryworld}}
In August 2015 it was announced that SCA's hygiene operations and forestry operations were to be divided into two different divisions. A year later, 24 August 2016, the company announced that it intended to split the SCA into two separately listed companies. In December 2016 SCA announced the acquisition of BSN Medical, a company specializing in the areas of Compression Therapy, Wound Care and Orthopaedics. The purchase price amounted to €2740 million and included brands such as Jobst, Leukoplast, Cutimed, Delta Cast and Actimove. In 2017, SCA split off Essity as a separate company, and Essity listed on the Stock Exchange in Stockholm on June 15, 2017.{{cite news | url = https://www.sca.com/en/about-sca/currently-in-sca/press-releases/2017/sca-to-become-two-listed-companies-the-forest-products-company-sca-and-the-hygiene-and-health-company-essity/ | title = SCA to become two listed companies: the forest products company SCA and the hygiene and health company Essity | publisher = SCA | date = 2017 | access-date = 2017-01-09 | archive-date = 2017-06-23 | archive-url = https://web.archive.org/web/20170623212148/http://www.sca.com/en/about-sca/currently-in-sca/press-releases/2017/sca-to-become-two-listed-companies-the-forest-products-company-sca-and-the-hygiene-and-health-company-essity | url-status = dead }}
At the General Annual Meeting 2024 Essity appointed Jan Gurander as new Chairman.{{Cite web |date=2024-03-21 |title=Minutes from Essity's 2024 Annual General Meeting |url=https://www.essity.com/media/press-release/essity-s-2024-annual-general-meeting/58fc9a2e019f4085/ }}
Brands
- Actimed
- Cushelle{{cite news | url = http://www.mad.co.uk/BreakingNews/BreakingNews/Articles/8733412808ca439a91028f38978dd23c/Charmin-rebrands-to-Cushelle.html | publisher = Mad.co.uk | date = January 25, 2010 | title = Charmin rebrands to Cushelle}}
- Elleair (Japan)
- Familia (Latin America)
- Hydrofera
- JOBST{{cite web|url=https://www.jobst.com/|title=JOBST Global|website=www.jobst.com}}
- Leukoplast{{cite web|url=https://www.leukoplast.com/|title=Leukoplast Global |website=www.leukoplast.com}}
- {{Ill|Libero (diapers)|lt=Libero|sv|Libero (blöjor)}}
- Libresse
- Okau and Lotus (France and Benelux)
- Plenty (UK and Ireland)
- Regio (Mexico)
- Saba, from a company of the same name which became part of Essity
- Tempo
- TENA
- Tork{{cite web|url=http://www.torkusa.com/about/whytork/torkispartofessity/|title=Tork is part of Essity - Tork US|website=www.torkusa.com}}
- Zewa
Competitors
Essity is amongst the top 50 largest fast-moving consumer goods companies in the world{{Cite web|url=https://www.consultancy.uk/news/18765/the-50-largest-fmcg-consumer-goods-companies-in-the-world|title=The 50 largest FMCG / consumer goods companies in the world|date=24 September 2018|access-date=2019-06-11}} and some of its competitors are Unilever, Procter & Gamble, Georgia-Pacific, Kimberly-Clark, Sofidel, Unicharm Ontex, CMPC, Santher and 3M.{{Cite web|url=https://www.cnbc.com/2019/01/31/reuters-america-update-2-swedens-essity-delivers-on-profit-with-price-hikes-cost-cuts.html|title=Sweden's Essity delivers on profit with price hikes, cost cuts|website=CNBC|access-date=2019-06-11}}{{Dead link|date=January 2022 |bot=InternetArchiveBot |fix-attempted=yes }}
Sustainability messaging
Several initiatives have been launched to influence messaging around the sustainability of the Essity business model:
- A science-based target for emissions reduction in line with climate science was approved in 2018.{{Cite web|url=https://sciencebasedtargets.org/companies-taking-action/|title=Science Based Targets|access-date=2019-06-10}}
- The company has qualified for inclusion in both the Dow Jones Sustainability World Index and Sustainability Europe Index, and has also been named industry leader in the household products sector.{{Cite web|url=https://www.robecosam.com/media/e/2/0/e200523ef38e992d1876217ed1825803_industryleader-20180913-essity-ab_tcm1016-16764.pdf|title=Robecosam Industry Leader Report {{!}} 2018|access-date=2019-06-10}}
- Company representatives participate in the Ellen MacArthur Foundation's "New Plastics Economy" initiative{{Cite web|title=Global Commitment Signatories|url=https://www.newplasticseconomy.org/projects/global-commitment/signatories|website=New Plastic Economu|access-date=2020-05-25}} and have committed to sustainability targets for packaging, for example that 85% of the company's packaging is to be manufactured from renewable or recycled material by 2025.{{Cite web|title=Essity Annual and Sustainability Report 2019|url=http://reports.essity.com/2019/annual-and-sustainability-report/introduction/2019-at-a-glance.html|access-date=2020-05-25}}
Criticism
Along with its supplier SCA, Essity was accused by Greenpeace of promoting unsustainable business practices aggravating global warming and mass extinction. Greenpeace claim that Essity "clearcuts some of Sweden's last remaining old-growth forests, wiping away habitats of threatened species and endangering the livelihood of indigenous communities".{{Cite web|url=https://storage.googleapis.com/gpuk-old-wp-site/pictures-great-northern-forest-beauty-destruction/index.html|title=In pictures: the Great Northern Forest – beauty and destruction|last=Glienicke|first=Angela|date=28 September 2017|publisher=Greenpeace UK|access-date=7 January 2020}}
In late August 2022, Essity announced their intention to sue lockedout striking workers at a paper-mill in Kawerau, New Zealand, for ~NZ$580,000 because they began their strike an hour earlier than stated.{{Cite web |title=Locked-out Purex employees threatened with $500,000 fine after strike |url=https://www.nzherald.co.nz/nz/locked-out-purex-employees-threatened-with-500000-fine-after-strike/MDNLZRZJELMN53ZZNAU2Q3GSQA/ |access-date=2022-08-30 |website=The New Zealand Herald |language=en-NZ}} The strike began in early August over a pay dispute, and involved 145 workers.{{Cite web |last=Carroll |first=Melanie |date=2022-08-29 |title=Purex manufacturer makes $500k legal threat against workers, union says |url=https://www.stuff.co.nz/business/industries/129720192/purex-manufacturer-makes-500k-legal-threat-against-workers-union-says |access-date=2022-08-30 |website=Stuff |language=en}}
On June 10, 2023 Essity announced that it would leave the Russian market. {{Cite web |title=Essity divests Russian operations |url=https://www.essity.com/media/press-release/essity-divests-russian-operations/f052f2ced7021a69/ |archive-url=http://web.archive.org/web/20250510210604/https://www.essity.com/media/press-release/essity-divests-russian-operations/f052f2ced7021a69/ |archive-date=2025-05-10 |access-date=2025-05-14 |website=www.essity.com |language=en}}
References
{{reflist}}
External links
- {{official website}}
- [https://www.forbes.com/companies/essity-ab/#1a47037d52a9 Essity- Forbes]
{{OMX Stockholm 30 companies}}
{{OMX Nordic 40}}
Category:Multinational companies headquartered in Sweden
Category:Pulp and paper companies of Sweden
Category:Personal care companies
Category:Companies listed on Nasdaq Stockholm
Category:Manufacturing companies based in Stockholm
Category:Manufacturing companies established in 2017
Category:Swedish companies established in 2017