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Essity AB: Strong Growth & Forecasts – A Safe Haven for DACH Investors?

Essity AB: Strong Growth and Opportunity for Investors Essity AB, a global leader in hygiene and health products, is demonstrating robust growth with optimized revenue and profit forecasts for 2026 and 2027. The company’s focus on personal care…

Essity AB: Strong Growth & Forecasts – A Safe Haven for DACH Investors?

Essity AB: Strong Growth and Opportunity for Investors

Essity AB, a global leader in hygiene and health products, is demonstrating robust growth with optimized revenue and profit forecasts for 2026 and 2027. The company’s focus on personal care and paper hygiene is proving successful, benefiting from increasing demand in the sector. Investors, particularly those in the DACH region (Germany, Austria, and Switzerland), are finding value in Essity’s stable dividend policy and strong European sales.

Financial Outlook for 2026 and 2027

Essity has reassured investors with updated forecasts for the coming years. Estimates project revenues of approximately SEK 137 billion in 2026 and SEK 141 billion in 2027. Net profit is expected to reach SEK 12.62 billion in 2026 and increase to SEK 13.7 billion in 2027. This translates to a price-to-earnings (P/E) ratio of 14.2x, highlighting the resilience of the hygiene sector.

Strategic Importance of the European Market

Europe represents 60% of Essity’s sales, making the stock a stable anchor in uncertain markets, particularly for investors in the DACH region. Brands like Zewa and Tempo are well-established in these markets.

Key Business Segments

Essity’s portfolio is diversified across three main segments:

  • Human Care (54.2% of sales): Includes brands like Tena for incontinence, Libresse for feminine protection, and Libero for diapers.
  • Paper Hygiene (26.1% of sales): Features brands such as Tempo, Zewa, and Lotus.
  • Professional Hygiene (19.7% of sales): Offers soaps and disinfectants.

Upcoming Annual General Meeting

Essity’s Annual General Meeting will be held on Thursday, March 26, 2026, at 2 p.m. At Stockholm Waterfront Congress Centre, Stockholm. Shareholders can participate in person, by proxy, or through advance voting. The deadline to register for participation or submit advance votes is Friday, March 20, 2026.

Recent Developments

  • Essity completed the acquisition of a feminine care business from Edgewell Personal Care Company in February 2026.
  • The company announced executive changes, with Ulrika Kolsrud appointed as CEO, effective June 1, 2025.
  • Essity initiated an equity buyback plan for 60,946,249 shares, representing 8.79% of its issued share capital.

Analyst Expectations

Analysts forecast earnings and revenue growth of 4.9% and 2% per annum, respectively, with earnings per share (EPS) expected to grow by 5.5% annually. Return on equity is projected to be 14.4% in three years.

Dividend Information

Essity offers a dividend of SEK 8.75 with an ex-dividend date of March 27th.

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About the author: Dr Natalie Singh - Health Editor

Board‑certified internal‑medicine physician and MPH. Natalie authored peer‑reviewed studies on infectious disease and served as medical editor. “Dr. Natalie Singh delivers evidence‑based health news, medical breakthroughs, and expert wellness guidance.”