Targets and Outcomes
Financial targets
Annual sales growth
Target:
>5%
Outcome 2021:
4.5%
In 2021, sales growth, including organic sales growth and acquisitions, amounted to 4.5%. Organic sales growth, which excludes exchange rate effects, acquisitions and divestments, amounted to 3.3%, of which volume accounted for 1.8% and price/mix for 1.5%.
Adjusted return on capital employed
Target 2025:
>17%
Outcome 2021:
12.0%
In 2021, return was negatively impacted by significant cost inflation, mainly for raw materials, energy and distribution. Higher sales prices, higher volumes, a better mix and cost savings had a positive impact on earnings.
Below, please view our path to reach our adjusted ROCE target of >17% by 2025.
Capital Structure Policy
Target:
Outcome 2021:
Dividend Policy
Target:
Outcome 2021:
7.00
Sustainability targets 2021
Science Based Targets
Target 2030:
-35%
Outcome 2021:
-15%
Essity’s greenhouse gas emissions are divided into three different Scopes depending on origin. Scope 1 and 2 are directly linked to Essity’s production. Scope 3 reports indirect emissions in Essity’s value chain.
Target 2030:
-18%
Outcome:
-9%
Packaging
Target 2025:
85%
Outcome 2021:
78%
Production waste
Target 2030:
100%
Outcome 2021:
64%
Resource efficiency and the reduction of waste are important in Essity’s production facilities. The target is that all production waste will be subject to material and energy recovery by 2030, which reduces greenhouse gas emissions.
Fresh fiber
Target:
100%
Outcome 2021:
98%
Through certifications such as the Forest Stewardship Council (FSC) and the Programme for the Endorsement of Forest Certification (PEFC), Essity ensures sustainable fiber sourcing, thereby preventing deforestation and promoting biodiversity.
Sustainable innovations
Target:
>50%
Outcome 2021:
59%
Sustainable innovations are measured as the share of revenue from innovations launched in the most recent three years. Examples of sustainable innovations in 2021 included Tork cleaning cloths, TENA Silhouette washable absorbent underwear, and the Libresse menstrual cup.
Health and safety
Target 2025:
-75%
Outcome 2021:
-43%
In 2021, Essity began to measure the Total Recordable Injury Frequency Rate to highlight accidents that require medical treatment. All of Essity’s production facilities are conducting purposeful and systematic work with safety issues.
Gender distribution at management levels
Target 2025:
40/60%
Outcome 2021:
32/68%
Responsible sourcing
Target 2025:
95%
Outcome 2021:
88%
Business ethics and Code of Conduct
Target:
100%
Outcome 2021:
92%
The Code of Conduct describes how employees are to act, how the company operates, stakeholder expectations of Essity and Essity’s commitment to human rights. All wholly owned subsidiaries are bound by the Code of conduct.