Welcome to Essity's Capital Market Day 2021, which is virtual. We are broadcasting from our headquarters here in Stockholm. I'm Joséphine Edwall, head of communications for Essity, and I will be your moderator today. Also today, we'll have our CEO, Magnus Groth, and we have all our other colleagues from the Essity, the Essity leadership team. In today's world, with an extremely fast change process, hygiene and health is more important than ever. Essity's purpose, breaking barriers to wellbeing, is also more crucial than ever. Today, we will talk about our transformation journey. The theme is actually breaking barriers to wellbeing and also delivering shareholder value with profitable growth. Today's agenda is divided in three blocks. We will start with the transformation of Essity with Magnus Groth, our President and CEO. We have our Executive Vice President Fredrik Rystedt and CFO of the company, and Senior Vice President Sahil Tesfu, strategy and business development. The next block is about innovating leading brands, accelerating digitalization, and leading in sustainability. We have a break, and we end the day with people, winning with people and culture, growing in emerging markets, and a group Q&A. You will also be able to have questions in the first session to Magnus, Fredrik, and Sahil. With this, Magnus and Fredrik, please join the stage. Thank you, Josephine, and welcome everyone to this Capital Markets Day, and thank you for participating. I'm so happy to be here. Actually for the first time in 1.5 years with the entire executive management team of Essity, and I really look forward to having all of them meet you here today. Before we look into the future, we're gonna start by looking back at what has happened since our last Capital Markets Day, which was in May 2019. Let's have a look. Dedicated to improving wellbeing for people and with the strategic priority to innovate leading brands, Essity has since 2019 continued to launch impactful innovations. Innovations that improve quality of life and drive sustainable value. Essity has accelerated its digital transformation across all aspects of its business and has launched a number of innovative digital solutions like TENA SmartCare, TENA SmartCare Family app, Cutimed Wound Navigator, JOBST Xpert Voice. More customers are using our data-enabled Tork Vision Cleaning. With the view to be over-represented in the fastest-growing channels, Essity has invested in e-commerce capabilities, and its e-commerce sales have increased rapidly to approximately 14% of net sales. Essity's market share has increased for approximately 70% of branded sales in retail and has increased market shares in business to business and healthcare. At the same time, Essity has continued to increase efficiency and has from 2019 to date delivered SEK 2.7 billion in cost savings. With its manufacturing roadmap launched in 2020, Essity aims to reach between SEK 0.5 billion and SEK 1 billion in annual savings to 2025. Since 2019, Essity has welcomed ABIGO Medical, Novioscan, Semelia, and Asaleo Care to the Essity group. As a leader in ESG, Essity is committed to reaching net zero greenhouse gas emissions by 2050 and is included in Dow Jones Sustainability Index, CDP's A List, and awarded one of the world's most sustainable companies by Corporate Knights. Sustainable tissue production from wheat straw is now up and running in Mannheim. In 2020, Essity achieved the highest EBITDA and EBITDA margin ever, and the target for adjusted return on capital employed was achieved. Therefore, the ROACE target was raised to reach above 17% by 2025. Recently, a new sales growth target was communicated of above 5%. With the focus to improve wellbeing and generate profitable growth, Essity's transformation journey continues. Very busy times, and we ended 2020 with the highest operating profit ever. This was no coincidence. As you can see from the picture here, this has been a steady development over the last six years. Top line has been growing on average above 5% and operating profit with above 10% over the last six years. A very steady, stable as you go development. Fredrik, you're gonna talk about volatility and how we manage that. Yes, I will, Magnus. Essity's underlying structural margin has improved over the last several years, and this is a consequence of increased scale, improved mix, and higher efficiency. In fact, if you look at all, almost all of our categories and geographies, they all have improved structural margin. In particular so for consumer tissue, for incontinence, and also for baby. The nature of our business results in a fairly low volatility of net sales, but we have had some volatility in our results and in our margins. This has increased considerably from 2018 and onwards as a consequence of fairly extreme movements in raw material. Now lately, of course, COVID, and in the very late period, also very high and strong movements on energy and distribution. Essity has always recovered cost inflation through pricing, not through price and mix, but actually just through pricing. The volatility is a function of the time it takes us to adjust pricing for cost inflation. That time horizon can vary from anything to more or less immediately to several years depending on category, on geography, and of course, market situation and competitive situation. Volatility has little or no impact on the net present value of our company, but we nevertheless work intensively to reduce volatility. You can see on the slide here, to the right, you can see what the activities we have within our volatility toolbox. In the longer timeframe, portfolio transformation into more asset-light businesses, premiumization, innovation and brands, and potentially also more alternative fiber usage, that will be the important in the long term. In the short term, price agility and shortening of contract length is the more important activities. One may potentially believe that we are faced with more volatility than our peers, but that is in fact not true. If you look at the slide that I have here, you will in the charts to your right see a comparison between the volatility in earnings and margins of Essity and the peers that we're most often compared to. There are two charts here. The upper chart shows the longer time horizon between 2014 and 2021, and the lower chart from 2018 to 2021. Regardless of which period you look at, you will see that the volatility in Essity is actually lower than what we have seen in our peers. Of course, as I already mentioned, the increase of volatility after 2018 in comparison to before is very significant for Essity, but actually it has increased even further for competition. That to us is a sign that the activities we have within the volatility toolbox is actually working. I think that's fascinating and some new insights there, Fredrik. We are actually less volatile than our peer group and many other companies. Actually, we made the same comparison to companies on the Stockholm Stock Exchange, where we are the eighth biggest company from a sales perspective, and it turns out that also here we have lower volatility. Throughout this period, we have continued to invest with the aim to be stronger post-pandemic. We can see today that we start looking into the future with higher market shares than ever before, a very strong and leading presence online, which is, I think, a key winning capacity going forward, with a highly efficient supply chain that has really been a stable foundation for our business over the last year and a half, and a rapid recovery in the two businesses that were most negatively impacted by the pandemic. That's Medical and Professional Hygiene. Based on this starting point, we recently raised the target for our sales growth to above 5%. This is an increased ambition that builds up from the insight that the general increased awareness of health and hygiene will probably grow our category slightly quicker. We also see an economic recovery in the short term that we think will help us. We aim to continue to gain market share. Finally, we have a strong pipeline of M&A targets that will also contribute to this over 5% growth target. What about adjusted return on capital employed, where we changed the target third quarter last year to aim for it to be above 17%? Yeah, exactly to your point. We did change it in Q3 of last year from more than 15% to more than 17%, no later than 2025. Actually in 2020, we reached 15.7%. Now since then, return on capital employed has come down as a consequence of falling margins, while actually capital turnover has improved somewhat. Now, as we execute on our pricing actions in the current environment, we will restore margin and return on capital employed levels to the levels that we had in 2020. Of course, that's obvious that we also will do more to reach our target by 2025. Of course, as we grow faster in our asset-light businesses, and as we generally improve in asset utilization, capital turnover will contribute to that. To that goal of reaching our target. As you can see on the slide here, the margin enhancing initiatives are far more important to get to that target. Later today, through my colleagues, you will hear more about innovation and brands, digitalization, and many other things that you see on this map. I will start to talk a little bit about efficiency and what we are doing in that field. If we look at the Manufacturing Roadmap program that we launched at the end of last year, this is aimed at reducing, on an annual rate, our cost of goods sold with somewhere between SEK 0.5 billion-SEK 1 billion per year. It covers the full supply chain in all business areas, and we've divided into five specific areas. The first one being digitalization of all production, and of course, also logistics. The second one is optimization of factory footprint, and here the creation of the consumer tissue private label division is a good example. The third is further production efficiency. The fourth is a fully integrated supply chain. The fifth and final relates to various sustainability initiatives, and here one example is the usage or creation of manufacturing of pulp from alternative fibers. We are currently engaged into a very large digital platform project where we are re-engineering most of our processes that we have within the company, and further to that, we're also changing our ERP platform. This will bring further efficiencies within our SG&A cost. It's not about reducing what we spend in terms of A&P. On the contrary, we expect our A&P to remain at the level of net sales as it is today, and potentially increase even further as we go forward. Finally, I think it's important to mention that all of these activities are extremely important, but of course, the continuous and relentless cost efficiency efforts that all of our 46,000 employees do every day is equally important, and of course, that will continue to bring value also going forward. Starting next year, so from the beginning of 2022, we will report the business in three new business areas: health and medical, consumer goods, and professional hygiene. This is actually an adaptation to how we have increasingly been working throughout the last couple of years. What this means is that we have moved from more of a product perspective in how we organize and how we go to market to a consumer and customer perspective, with different go-to markets, different needs, with its fast-changing channels. If we map our existing categories on these three business areas, I think it looks quite natural how they fit together. Starting in Health & Medical consists of incontinence care, health care, the three medical categories, compression, therapy, orthopedics, and wound care. Of course, the whole logic behind the acquisition of BSN Medical a number of years ago was to realize the synergies that we are really benefiting from in this part of the business that has a fantastic momentum, the entire Health & Medical business. The second business area is Consumer Goods, consists of what you would find at a retailer, whether on or offline, and also the division, the private label division for consumer tissue in Europe that we are preparing to put separately from beginning of next year. That work is progressing according to plan. We're making this division slightly bigger than we initially announced. As you can see here, we have split incontinence care into two parts, healthcare and retail, and it's becoming more and more obvious that the need states are different in either Health & Medical, or where institutions are many times our customers, or in the retail channel. Increasingly, we're also seeing similarities between incontinence care, retail, and feminine hygiene, which we are defining now internally as intimate care. This is just to show some of the new growth opportunities that we see going forward. Finally, professional hygiene, very much associated with tissue, but actually around 20% of the business is now solutions, skincare, cleaning and wiping, and associated products. Also a lot of interesting and positive development opportunities. Financially, Health and Medical Solutions and Professional Hygiene are approximately after nine months this year, 20% each of overall sales, while Health and Medical has a significantly higher part of profits. Going forward, we believe that Health and Medical and Professional Hygiene will be a bigger part of both sales and profits as we move out of the pandemic, since it's in these two business areas where we had the biggest negative impact from lockdowns and restrictions. Current addressable market may be enough to say that this is sizeable, EUR 120 billion. Growth opportunities in all three business areas. Of course, we aim to grow with our leading brands, Tork and TENA, the leading brand in professional hygiene and in incontinence care. All the other strong positions, which are typically number one or number two in the markets where we are present. With that, let's move over to long-term trends, and I'd like to invite Sahil to talk about how we aim to win based on these strong underlying trends. Thank you, Magnus. Let me start by having a quick look at the favorable trends that are shaping our business environment. We're aiming to particularly capitalize on four key trends that we consider most relevant for Essity's profitable growth across all three new business areas. Those are digitalization, sustainability, demographics, hygiene, and health. Since all these four trends are playing out slightly differently in each business area, let's now take a closer look at each business area. Starting with Health and Medical. You can see here an overview of some of the key trends that are affecting our Health and Medical business environment. Firstly, the pressure on healthcare funding and staff is increasing, therefore prevention is key, and we expect that by 2040, two-thirds of healthcare spending will likely be on wellbeing and early detection of diseases. Secondly, we can also see an acceleration of home care due to population aging around the world and an increased patient preference for value-based healthcare and comfort. Moreover, there is also an increasing threat of antimicrobial resistance. In short, AMR. The World Health Organization has actually declared that AMR is one of the top 10 global public health threats. Also, there is an increasing importance and demand from our customers and consumers for sustainable innovations. Finally, we also observe the consumerization of healthcare. Patients are asserting more influence and control over their medical and wellness care. In line with that trend, with our loyalty platform, Lymphtcare, we have created an online community where people suffering from lymphedema and lipedema can educate themselves and interact with each other. My health and medical colleagues will later elaborate on some of the other great examples of which you can see some on the slide here that show how we have been successfully leveraging these trends. Let's now talk about consumer goods. In consumer goods, we also see several trends that are changing our business environment. We can see consumers shifting towards more sustainable living. A significant share of global consumers already makes actions to shop more sustainably. There's also an even bigger share of consumers who would like to shop more sustainably, but don't do so yet. This value action gap is a huge opportunity for our brands to bridge. As for the rising interest in self-care, COVID-19 has significantly increased the self-care trend. This opens very attractive growth opportunities, especially regarding digitally enabled and pure digital solutions. We also observe an increased hygiene awareness. For example, most global consumers express that they plan to wash or sanitize their hands more often than they did before the pandemic. Moreover, there is also an increasing relevance of purpose-driven brands, which can be explained by the increasing spending power of Millennials and Gen Z, for whom purpose is a core filter when making purchase decisions. Finally, the rapid adoption of digital technologies and evolving shopper behaviors are transforming the e-commerce landscape. Particularly, we see an evolving role of social media. Consumer spending in social apps is booming, and social apps that offer live streaming as a prominent feature account for most of the spending in those apps. As a reference, Vinda already in 2015 tested live stream shopping in China, and today, TikTok is one of the fastest-growing sales platforms for Vinda. As for all the other great Essity examples, you will also hear more about those later from my colleagues. Now over to professional hygiene. On the one hand, we see circularity as a step toward sustainability. Also, we see an accelerated growth of omni-channel as B2B customers increasingly demand similar experience as in B2C. Moreover, we see an increased emphasis on connectivity and IoT. As customers' connectivity is increasing, which is driving an increased interest in connected solutions for replenishment of professional hygiene products. In addition, we also see this business area being impacted by an elevated awareness of hygiene. In line with that trend, under our Tork brand, we're offering virtual reality-based hand hygiene training and education. Hand hygiene is one of the most important tools in the fight against healthcare-associated infections, and the solution is specifically designed to make hand hygiene training more engaging and inspiring for healthcare professionals. Later today, my colleague Don will tell you more about all the other exciting innovations in Professional Hygiene. Overall, we see profitable growth opportunities in each business area that we compete in, which will enable us to expand the size of our addressable market. Let's look at how this will play out in Health & Medical. As for strengthening our performance in our Health & Medical core categories, we're already present with skincare products. For example, under our brand TENA, and we're convinced that we have opportunities to expand further in this area. Washable absorbent underwear is an example for a sustainable solution already in our portfolio. Also in this area, we believe there will be further growth opportunities. Looking at the next two growth horizons, we aim to expand alongside the continuum of care. We currently have many great offers in our portfolio for managing and treating different conditions, but these products only stand for a fraction of the cost of care of a condition. By expanding into, for example, prevention, supporting care delivery, and monitoring of the condition, we can tap into an even bigger piece of the total cost of care. We're convinced that the platform that we are building in health and medical will enable us to later also enter into new categories, potentially through an acquisition. However, we also believe that for the time being, we have a lot of opportunities in the categories that we're in. With that, let's have a look at consumer goods. As we're strengthening our performance in core consumer goods categories, we aim to disproportionately grow the higher margin, lower capital personal care categories, particularly fem care and Inco, through building leading and trusted brands. We're convinced that by leveraging our brands and by driving product performance, we can drive further premiumization and thus profitable growth. We will continue to develop and launch sustainable innovations in our branded portfolio like we have done with reusable solutions like washable, absorbent underwear and period cups. Moreover, we will continue to bring new hygiene innovations to market. Looking at the next two growth horizons, we aim to grow through new intimate hygiene products and services. Here we aim to first and foremost target women across all different life stages, covering menstrual health, pain management, motherhood, and menopause. We aim to do so particularly with digitally enabled products and solutions to tap into the booming FemTech market. For the time being, we're not focusing on entering any new consumer goods categories. With that, finally, let's have a look at professional hygiene. When it comes to strengthening our performance in core categories in professional hygiene, we will continue to develop and launch sustainable innovations. A recent example would be the launch of our reusable cleaning cloth. As for the second growth horizon, growing into adjacencies, the growth priority is skincare. We have already secured additional production capacity and launched innovations to meet the rising demand for soap and sanitizer products. The second growth priority is wiping and surface cleaning. Consumer expectations for cleanliness in restaurants, offices, and other public spaces have risen. To help our customers achieve those higher standards, we see an opportunity to enhance our core portfolio of wiping products. As for the third growth horizon, launching new business models, our professional hygiene portfolio of digital services and solutions, including Tork Vision Cleaning, optimizes our customers' efficiency and cleaning resources and dramatically improves also end customer experience. We're convinced that we have opportunities to also expand further in this area. Now, as for the last growth horizon, we're also exploring opportunities to leverage our strong reputation in hygiene, specifically wiping and cleaning, to bring a range of margin-accretive cleaning chemicals to our professional customers. That actually concludes my overview on our priorities for profitable growth across all three new business areas, and I hope you share my excitement for the path that lies ahead of us. When it comes to actually realizing some of these just shown priorities, M&A will play a crucial role. With that, I hand it over to Fredrik for an update on our M&A agenda. Thank you, Sahil. Since the last Capital Markets Day, we have made several acquisitions, starting with two in the areas of health and medical. You see here ABIGO and Novioscan, and both of them contribute with good market positions, exciting technology, so we're very happy about those two. We have acquired Familia in Latin America, and that acquisition will help us enable our ambition to become the fastest-growing health and hygiene company in the Latin American market, and Pablo will talk about that a bit later. Finally, we've also acquired the Australian and New Zealand-based company Asaleo Care. Today with us we have Sid Takla. He is the managing director of Essity AustralAsia, formerly Asaleo Care, and he will talk a little bit about the journey, the value-creating journey that we've gone through there in recent years. Thank you. After conducting an in-depth strategic review of all our categories, we have been on a journey over the last three years restructuring our portfolio towards higher growth, higher margin, and less capital-intensive categories. In addition, we wanted to reshape our portfolio towards those categories we believe we have a clear point of differentiation. The first step in this journey began back in 2018 with the decision to divest our consumer tissue business here in Australia. This reduced our percentage of consumer tissue in our overall portfolio from 43% to 17%. The proceeds from this divestment not only allowed us to pay down debt, but importantly allowed us to focus our investment and our energy towards those higher growth, higher margin categories of feminine and incontinence care, as well as professional hygiene. We continued this strategic intent in 2020 with the divestment of our baby diaper business in New Zealand. This was a category where we did not have any competitive leverage in this region, and although relatively small, was diluting our critical resources. As you will see, post these two divestments, our portfolio now comprises of 42% personal care and 41% professional hygiene. This more efficient portfolio has allowed our team to focus on the key categories, and as a result, over the last 2 years, we have increased market share across all our brands. With a stronger balance sheet and our brands in growth, we turned our focus to how do we accelerate this growth through inorganic activity. Our research supported the view of a growing global mega-trend of products that are better for you and better for the planet. This also happened to be the fastest-growing subcategory in feminine care. Our aim was to create immediate scale and credibility in this subcategory, which we achieved through the acquisition of the market leader, TOM Organic, in February this year. TOM Organic has delivered double-digit growth over the last five years, which we have continued this year under Essity ownership. Unlike the other mainstream players, TOM Organic has a purity of purpose. Its whole consumer proposition is based on being better for you and better for the planet. This simplifies the consumer message of what the brand stands for and delivers unquestionable credibility. This credibility is further enhanced through TOM Organic's sustainability credentials, in particular through the use of certified organic cotton and a reusables portfolio, including menstrual cups and washable period underwear. Clearly, TOM Organic delivers a compelling consumer proposition, but we wanted to make sure that we delivered a compelling financial story as well. TOM Organic was immediately margin accretive, and we are on track to double profit by the end of the second year of Essity ownership. On all metrics, TOM Organics has been a great acquisition for Essity AustralAsia, but what's really exciting is the opportunity to take TOM Organic global through the Essity network and into adjacent categories, leveraging this global mega-trend of products that are better for you and better for the planet. Thanks for the opportunity to share with you the Essity AustralAsia journey. Thank you, Sid. In talking a little bit about the future in M&A, we have generally strengthened our M&A activities quite considerably, and we believe that we have a strong pipeline of potentially value-adding acquisitions that we are looking at. Primarily, those targets are within the new health and medical business area, but there are also interesting opportunities within consumer goods and also in professional hygiene. We have identified what we believe are the top most interesting 10 candidates for all of these business areas. We've also changed the way we work with M&A, and we have now involved the business leaders of our group to a much larger degree than we did historically. If we look at our business leaders, they are instrumental in, for example, target identification, maintaining a dialogue with potential targets that may not be for sale at this moment, but may become for sale at a later stage. Of course, third and finally, very important in the creation of business cases in concrete cases. We don't do acquisitions just for the sake of doing acquisitions. Each acquisition need to be value creative, and it needs to have a good strategic fit, and of course, needless to say, yield a return higher than the cost of capital. We always compare any acquisition to other capital allocation alternatives. An acquisition needs to be equal or preferably better than other allocation alternatives. Yeah, Fredrik, I think this is a perfect example of the types of acquisitions we like to do. This was announced just this Monday. It's the leading brands in professional sports tapes in the US. Essity is already the global leader in sports tapes, and with this, we also become the market leader in the US. Why is this so attractive? Strong underlying trends. I think Sahil covered a few of them. This is typically a line of products that's moving from a medical thinking to consumerization. It's moving from treatment to actually, prevention and self-care. Of course, when you move from treatment through the continuum of care to prevention or self-care, the market becomes so much bigger. In addition to that, these are very, very strong brands, leading brands. We know how to do this type of business, and of course, in a very, very attractive and growing market. It's a great examples of the type of acquisitions that we would like to do more of. We're coming to the end of this first part of our Capital Markets Day, and we've been focused very much on the bubble that you see there to the left, continuing the transformation journey and also how we are working to improve efficiency. We will hear more about this in the next part, also about innovating leading brands, accelerating digitalization and the other important areas where we are doing big investments. Before handing over to the Q&A session, I would like to have a quick glance at where we are today and where we were five years ago, in a framework that many of you will remember. This is Fredrik's favorite framework that he brought to Essity many years ago and where we have all been trained internally. What this framework shows is on the x-axis, growth, and, on the y-axis, returns or margins. This is just an illustrative example of where the three new business areas that we will start reporting at the beginning of next year, 2022, where they would approximately be currently. Of course, with the transformation journey, all the things we've been talking about, our aim in 45 years' time is to move all of these up to the right with higher growth, higher returns. Even though I would believe that health and medical and professional hygiene will move further than consumer goods, but many opportunities also there. I will leave you with this picture of above 17% return on capital employed, combined with a growth of over 5%. Josephine? Yes. Thank you, Magnus. Thank you, Fredrik. Thank you, Sahil. Now we will start the Q&A session. You will find the instructions how to dial in on the screen and also on our website. We know there are a lot of questions, so please have one question per call. With this, operator, please start with the first question. Thank you. Ladies and gentlemen, if you do have a question, it is zero one on your telephone keypad to register. Our first question comes from the line of Karel Wintermans from Handelsbanken. Please go ahead. Your line is open. Yes, thank you very much. Karel Wintermans, Handelsbanken. A question on incontinence and incontinence retail in the U.S. In light of the new organization, are you still pursuing the retail market for incontinence in the U.S.? And if so, would it be possible that at some point in the future, you would expand your offering with, for example, this TOM Organic that you discussed? That's a clear possibility. The answer to the first question, Kari, is yes, we are still pursuing incontinence care retail in the U.S., even though, as you know, that's one of the few markets in the world where we are under challenges. In incontinence care, healthcare in the U.S. we are doing really, really well and continuing to gain share. These are definitely the types of opportunities that we are looking at. Of course, the United States is a very attractive market from a hygiene and health perspective. Thank you. Thank you. Our next question comes from Charles Eden from UBS. Please go ahead. Your line is open. Hi, good afternoon. Thanks so much for taking my question. Just when I look at the new organization, I'm thinking back to the 2019 capital markets day, where you clearly set out which businesses would be run for growth and which would be run more for profitability. Now, obviously, they are combined in certain cases under the same division. Does that in any way impact the way you think about the various product categories, or is it still very much that approach even under new reorganization? Thank you. Yeah. The logic that we described, I think, with the strategic pyramid in 2019 is still valid. Prioritizing growth in the medical, incontinence care, fem care, professional hygiene, while instead, safeguarding margins in consumer tissue and in baby care. That still applies. Having said that, a big difference since to 2019 is how we're now seeing actually incontinence care as partly two quite separate businesses, healthcare and retail, and how inco retail is merging together with the feminine care into an intimate care category. Same but slightly different. Thank you. Thank you. Once again, it's 01 on your telephone keypad to register for questions. As we have no more questions registered, I hand back to the speakers. We do now have a question registered from the line of Celine Pannuti from J.P. Morgan. Please go ahead. Your line is open. Yes, good afternoon. Thank you for the presentation. I wanted to ask, you talk about your recent M&A. Can you give us a bit of your view of how you perform with BSN? Because I think, you know, the growth probably hasn't been as good as we thought. Obviously, there's been COVID and, you know, the business has been a bit of a rollercoaster between 2020 and 2021 rebound. But in general, how would you know, what would be your conclusion of how you fared on this acquisition? Thank you. Fredrik, do you want to talk to that? Yeah. Hi, Celine. I'd be glad to do that. You're absolutely right. We performed really well with BSN from the start when it comes to margins, but we had a bit of growth issues in the first few years, and we worked very intensively to address that situation. Actually, at the start of 2020, we felt very confident with what had been accomplished. We felt that this was going to be a great year, 2020, for the whole medical business that we had. Of course, COVID had a big impact. As we have now reported in four consecutive quarters, as you have seen, growth has been very, very strong now. This is not just related to a recovery, this is an underlying and also from our perception, a relative growth versus competitors. We feel that the issues that we had, they have been addressed, and we're very happy about the performance. Overall, that's for net sales. Of course, as this is also bringing scale advantages, margins have also been doing really well in the last several quarters. Thank you. Thank you. Our next question comes from the line of Linus Larsson from SEB. Please go ahead, your line is open. Thank you very much. On your transformation journey and with regards to that, I think it was very interesting to hear the Asaleo presentation, where Asaleo has changed its mix quite fundamentally in a short period of time. When we look at Essity's product portfolio at this point in time, even if we take into consideration the work you're doing in private label, consumer tissue will, as it seems, remain a very significant part of the group. How do you see that developing over the next five years or so in terms of potential for differentiation, in terms of repositioning or scale down? Yeah. Thanks, Linus, for capturing that. Of course, there was a reason for putting that material into the presentation. Former Asaleo, now Essity Australasia, should be a proxy for a future Essity. Of course, a big difference is the relative sizes, where Essity is so much bigger, so it takes more to move the needle. Having said that, large parts of our consumer tissue business is very, very value contributing, and will be even more so as we continue to work with efficiencies with the new fibers, sustainability, building the brands. There's a very healthy future for consumer tissue in Essity, but of course it fits very well with our strategic intent to grow what we in the future now will call Health and Medical and Professional Hygiene and Fem Care and Retail in the Consumer Goods category, more than the tissue business. Very much in line with our strategic intent. Thank you. Thank you. Our next question comes from the line of Oskar Lindström from Danske Bank. Please go ahead, your line is open. Hi. Yeah. I'd like to follow up a little bit on Linus' line of questioning there. I mean, the headline of this section is transformation, and you talk about a transformation journey, and a lot about the acquisition opportunities. Now, over the past four years or so, you know, exits from various parts of your business have also played a quite significant role, primarily for profitability reasons. I mean, that certain businesses you've deemed to be low profit. I mean, what role will disposals and exits from various business segments play in the coming years in the transformation journey? I mean, is that going to be an important part of the transformation you foresee? Fredrik? Yeah, Oskar, thanks for the question. Of course, the alternative is really not to transform in principle with divestments. It is actually through acquisitions and stronger organic growth for those areas that we prioritize. We never rule out anything, and of course, divestments could be an alternative if we have, as an example, underperforming businesses. But that's not the general direction. It's much more acquisitions and organic growth. All right. Thank you. Thank you. Our next question comes from the line of Karel Zoete from Kepler Cheuvreux. Please go ahead, your line is open. Yes. Good morning. Good afternoon. Thanks for taking the question. I follow up on M&A, and specifically for the health and medical channel. Particularly within medical, you're active in a selective number of segments or categories. Are you considering to enter more categories given the synergies you will have in your sales network? Also, would you potentially be looking at larger deals in medical? To what degree would you want to leverage the balance sheet? Thank you. Okay. I will start and hand over the balance sheet question to Fredrik. Of course, the starting point is that every acquisition should be value creating. Having said that, of course, also entering into new categories, I mean, could be possible and also finding other sources of capital, as long as it's value creating for the shareholders. Currently, as Sahil, sorry, as you referred to, we are currently primarily not looking into new categories. However, when you look at larger acquisition opportunities, they typically contain some other categories, where there are synergies that we are currently not operating in. It's not unlikely that eventually with mid-size to larger acquisitions that we could add on also other categories, but then of course preferably the ones that have synergies with our existing business. Fredrik, the balance sheet, how we doing? Thank you, Magnus. No, the new growth target of more than 5% is basically based on our belief of what we can do, so to speak, in terms of acquisitions with a maintained capital ratio. Of course that's the outset. We can always potentially fund also larger acquisitions, but it would take other funding solutions than just kind of debt financing. Thank you. Thank you for the questions for this block. There will be an opportunity also in the last session. If you didn't have time now, you can come back in the third session. Let's have a short break and be back at 3:00 P.M. Central Europe time. See you then. You got my soul in a major key. A little road out of safety it feels alright. 'Cause you're taking me higher. Oh, I don't know what you're doing to me. We can learn how to get to harmony, all right. Yeah, you're taking me higher. California girls on the radio. 'Cause the rhythm gets me to the sky. I'm on an all-time high. I'm on an all-time high. He loves you so much. Every day he showers you with gifts. Warm, yellow, scented gifts. Yay. Your new friend got one too, but love is stronger than dog pee. So is Plenty. Now three times longer with no tube to dispose of. One sheet does Plenty. ¿Qué sentirá tu bebé con este pañal grueso? Ponte en su lugar. Calor, pesado, tieso. Evoluciona a Pequeñín extra protección con nuestro pañal superseguro, más delgado y ultracómodo. Ahora tienes la libertad de sentirte libre. Ahora tienes la libertad de usar solo un pañal. Nuevos Íntima Wear de Nosotras, pantis absorbentes y reutilizables para el periodo. Siente la verdadera comodidad de no sentir nada y la seguridad de la absorción total. Tienen tres capas con diferentes funciones. Una es suave y absorbente, la segunda retira la humedad y el olor, y la última es respirable para mayor frescura. Son como los pantis de todos los días, ligeros, lavables y reutilizables. Nuevos pantis para el periodo Íntima Wear de Nosotras. Asesórate y cómpralos en tiendanosotras.com. Familia Acolchamax presenta. Lo que pasa en tu casa se queda en la toalla. [/Foreign language] Todos los días quiero sorprenderla y para eso tengo el mejor aliado que me ayuda a calmarle sus antojos. Por eso uso toallas desechables Familia Acolchamax, que gracias a su poder multifunción atrapa, absorbe, retiene y se desecha. Pon a prueba su superioridad. Familia... [Chinese] 天凝知道，面临失禁困扰，除了关爱和理解，脆弱肌肤也需要呵护。天凝 ProSkin 系列纸尿裤 FeelDry Advanced 创新锁水干爽技术，突破常规保护，给肌肤多一份呵护。天凝 ProSkin 更好照顾，更好为你。 New Baby Deluxe is made with silky cushions for your delicate skin. [French] Nouvelles couches Lotus Baby. Une composition sûre et des matières d'origine naturelle ultra douces en contact avec la peau. Donc, si Lucie n'arrive pas à dormir. Vous pouvez être sûr que ce n'est pas à cause de sa couche. Lotus Baby douceur naturelle, pour une vie un peu plus douce. I take care of my skin. Not this skin, that skin. When you've got incontinence, you should too. TENA Intimates pads lock liquid in and are now 100% breathable. Kind to skin. Protects like TENA. Mi misión es observar todo y limpiarlo. Ese es su superpoder. Es un niño muy inteligente. [Foreign language] Tenemos que limpiar todo lo que después está en la calle. Regio Clean & Care protege a los que más quieres de las cosas que no puedes ver. [Foreign language] Je savais qu'être mère réservait des surprises. Une plus grosse poitrine, en prime. Personne n'a parlé d'incontinence par contre. Mais quelques fuites ne vont pas m'empêcher d'être moi-même. La nouvelle TENA Stylish est noire. Comme une vraie culotte, protège comme TENA. [/Foreign language] Un gran día empieza con un buen descanso. Así es el efecto Saba Buenas Noches. Con sus cuatro presentaciones, solo Saba Buenas Noches y su nueva tecnología Absorplus te dan esa extra protección que necesitas durante la noche, ya que cuenta con canales profundos que capturan y distribuyen mejor el flujo para que te sientas libre de preocupaciones al dormir. Saba, libertad de sentirte cómoda. [/Foreign language] Vuelve a hacer lo que hacías antes. Usa TENA Pants, ropa interior absorbente para incontinencia moderada y fuerte que no se ve ni se siente. Vuelve a usar esa ropa que tanto te gusta y vuelve a reencontrarte con la vida, con esos viejos amigos y a dormir sin preocupaciones. Dile adiós a los pañales. Usa TENA Pants. Ahora tienes tu tiempo para relajarte. Empieza el día usando en tu zona B el nuevo jabón íntimo Nosotras fórmula relajante con aceite esencial de lavanda. Limpia suavemente y te da una sensación relajante, de calma y bienestar, con ácido láctico que... [/Foreign language] Our products help you to stay safe, feel good, move better, keep fresh and protect more. This is just the beginning. We innovate for personalized, inclusive and dignified care. We recycle, reuse, reduce, prevent, recover and reimagine. This is the world's first paper hand towel recycling service, which we pioneered. This is us leading the way in alternative fiber sourcing, making tissue from wheat straw. These are some of the other innovations and initiatives shaping the future of health and hygiene, breaking stigmas, educating millions, committed to science-based targets, contributing to UN Sustainable Development, accelerating digital health for you. From solar cells and virtual reality to robots and data-driven cleaning. We're developing, innovating, venturing and expanding. We're proudly by your side every step of your life, breaking barriers to wellbeing. This is what we do for you. Essity. Lots of innovations from all our different categories and brands all over the world. Welcome back, everyone, to Innovating Leading Brands. I hope you have noticed the last couple of years that the digital elements and the sustainability impact in our products and our innovation has actually increased, which is better to serve our customers, consumer, but also for people and the planet. To set the scene for this block, Magnus, I hand over to you. Thank you, Joséphine. As you already know, this is my favorite topic and that every quarter when we report the financial results, we always sneak in a few slides about our innovation. It's so important for us and I'll get back to why. Also through the pandemic, we've been able to design, develop and launch a number of successful innovations. We see this as an important positioning to come out stronger after the pandemic. We are benefiting from an increased demand for sustainable products and of course, from an increased health and hygiene awareness. Some examples on the next slide, which fulfill both of these criteria. All these investments are really paying off. If we move to the next slide, it's clear that we are seeing in the numbers how our innovation is leading market positions in 90% of our branded sales. This includes both business-to-business and business-to-consumer. If you look specifically at the branded part of our retail sales, we are growing market shares in about 70% of our market positions, which we have never done before. A fantastic achievement through the pandemic. These are some numbers. What we also actually see is that we're doing this with improving mix and an improving margin, which comes of course from the premiumization that's a part of this. Very positive development. Great. I will now walk over here to some of my colleagues. Let's hear what you have to say. Here we have Tuomas Yrjölä, President, Global Brand, Innovation and Sustainability. Volker Zöller, President Consumer Goods, and Ulrika Kolsrud, President Health and Medical Solutions. Hi. Welcome, everyone. Glad to see you. To kick off the discussion, Thomas, how do we drive innovation at Essity? We base all of our innovation in very deep consumer and customer insights and what we do is we translate those insights into superior solutions or products. We actually have a very simple measure for it. We look at what percentage of our sales is in products that consumers and customers like to use. We call it consumer preferred products or superior products. In fact, if you look at it's working really well for us because over the last 4 years, and you can see it here in the chart, we've in fact with all of our innovation transformed our portfolio from 40% to over 60% of sales. Examples? Yeah, let me give you two specific examples. Let's maybe start with consumer tissue, which is some might say one of the more challenging categories to differentiate. In fact, if you look over the last four years, all of the focus on premiumization, driving superiority is driving the premium assortment and segment. We've in fact over doubled the size of sales in the top tier, which is a great proof point that we can actually with innovation drive value creation by trading up consumers. One good example of this is a product that we call Just One. Here you see example from Mexico, and in fact, it charges 50%. Yet again, good example of premiumization. I have one more example, which is baby care, where we understood from the consumer that there is a consumer who's looking for high-performing product, is willing to pay for it. We created a super premium segment called the Libero Touch. That was launched about four years ago, and it keeps growing and going from strength to strength. We now have over 25% of sales mix in this premium assortment, and it helps to grow the overall brand. When we started the journey, Libero had a 60% market share, and today just crossed 70% market share. Great examples how innovation drives trade-up and that drives value creation. I know you love brand building. You are actually the expert. Can you tell us a little bit more about brand building within Essity? Yeah, sure. Innovation is of course one way to drive growth, but brand building is a great way to drive demand creation. We're very focused on building purposeful brands that the modern consumer is looking for, and we build trust on our brands. The way we do that is we've built a significant capability in digital brand building. We've been very early on in using ad tech, being very targeted in the way we reach the consumer and customer, and that is increasing our return on investment. On top of that, what we're doing is we're using a lot of the latest technologies to cut down the development time and cost on advertising. That's been a big driver of growth for us. The other thing we're very focused on is be very purposeful in the brands that we, that we drive. I think one of the greatest examples we have in the company is on feminine care, which is a category that's gone from strength to strength and is one that's been really championing purposeful advertising. Let me bring Tanja Grubner, who's our Global Marketing Director on Fem Care to tell you a bit about that story. Let me tell you our fearless journey of our Essity feminine care brands like Libresse, Bodyform and Nana, and how we built one global brand, which was normalizing periods in sports and was called No Blood Should Hold Us Back, which then followed by Blood Normal, which showed periods in their true color, red, not blue, because women bleed blood, not blue liquid. Then we called out the culture of body shaming with Viva La Vulva. The results speak for themselves. Essity Fem Care brands are the fastest growing brand in the market, outperforming key competitors. In the last couple of years, we've won 29 Cannes Lions, which are the Oscars of the marketing industry, including the Grand Prix for Health & Wellness. This has put us among the most creative brands in the world, ahead of industry heavyweights like Dove, Nike or Apple, and we couldn't be prouder. Great. Thank you, Tania, and I hope you got the idea that how this advertising and taboo-breaking really not only improves the lives of millions of girls and women around the world, but it's also a great accelerator of growth. In fact, on feminine care, we've added over EUR 300 million of sales since 2014. We're growing market share in over 70% of sales, and our average growth is significantly ahead of the market. Clearly it works with consumers, but it also drives a great value creation. I think this is excellent, Thomas, and thank you, Tania. I know you are looking at this, and this is really about breaking barriers to well-being, and as you said, empowering girls and women. Volker, what innovations would you highlight from consumer goods that actually generate great value for the consumers and Essity, but also for the environment? Maybe let me start emphasizing something Thomas said at the very beginning, that all of our innovation is based on strong consumer insights, and usually we are targeting for product superiority or sustainability or combination of both. If I should pick some of the highlights, then I could start in consumer tissue with our coreless products, which we have successfully launched in France and in Germany, and we are going to triple our capacity to in 2022. Another exciting example from the consumer tissue category is, of course, our alternative fiber project in Mannheim, where we are going to relaunch in 2022 the Zewa brand in the German-speaking countries with a 30% of wheat straw content. On the personal care side, I think, we have also a very exciting example. We talked about this already in the former presentation, washable, absorbent underwear addressing the needs for reusables. We have been launching this new category in 6 European countries and direct to consumer in retail and also in Latin America very, very successfully. We are continuing to be fast and agile based on the insights we have been generating there. We have been launching a new category, which is washable, absorbent underwear for men. I think it has been really taking from idea to solution until we have been on shelf exactly 100 days. I think this is a nice proof for agile, and the examples I was picking are very nice examples how Essity brands are contributing to the overall aspiration of Essity. The consumers today, are they willing to pay more for sustainability? There's definitely a higher awareness around sustainability, and by that also a higher willingness to pay for that. Hygiene in the era of pandemic is very often seen as an enabler for well-being and for health. I think this is really our sustainability is seen as an enabler for hygiene and health. We have been doing some research in the UK. We have been using Essity's Green Response Report in 2020, and consumers have told us that they are on average willing to spend 12% more for sustainable solutions. I think what is very important, the consumer is not willing to compromise with the product performance. Ulrika, Volker mentioned the washable underwear. What innovation would you highlight in addition to this for incontinence products and medical solutions? Well, we have plenty of highlights, but let me share just a few examples. As you know, we focus our innovation in areas that are highly relevant for patients and for healthcare payers as well as clinicians. I think one good example of that is skin health. Elderly skin is often fragile, and our research shows that healthcare professionals, they consider protecting the skin and maintaining a natural skin health as the most important parameter for continence management. Therefore our TENA ProSkin range, where we have textile-like materials and breathable materials and moisture-reducing technologies, is highly appreciated both by patients as well as by caregivers. We continue to innovate to strengthen this offer and to expand this offer. Also the premium skincare products in this range where we have the washes and creams they offer good opportunities to improve our mix. I would say skin health and skin integrity is also highly relevant for wound care. Yeah. I think we can all relate to that, it's quite painful just to take off a normal Band-Aid. Yeah. To save the patient from unnecessary pain and to avoid unnecessary healthcare costs for restoring damaged skin, we have leveraged our superior adhesion technology to innovate dressings and fixations that are gentle to the skin. Of course, without compromising on the adhesion properties. Yeah. I would say this is a true differentiator for Leukoplast, and also something that justifies our price premium. If I may talk about one more category, I would- You may. Thank you, because I would like to talk about compression therapy as well, because also there, it's important to have products that are doing the job while being gentle to the skin. If you live with lymphedema, you need to have lifelong management of your condition. Then, of course, if you use compression garments every day, you want to have products that fulfill the medical needs at the same time as they are comfortable to wear. Our latest innovation, JOBST Confidence, is delivering on exactly those needs. It's based on a new innovative knitting method that makes it possible for us to give the garment a contour fit, that is, tailored to the individual body shape, almost like a second skin. Also it has quite advanced moisture management technology that gives another level of wearing comfort. We've even heard patients saying that they forget that they are wearing this garment, and that is music to our ears. I truly agree. I really like that the products are much more comfortable. I also noticed that they are actually more appealing today with different colors and so on. Is there a fashion in this area? Yes, it certainly is. Actually, we are launching new color collections for JOBST compression garments every season. You might wanna know that the trend colors this season that we just launched are palm green and magenta rose. Ah. There is. Perfect fashion in compression. Perfect. Actually, colors and patterns are becoming increasingly important both for users who get their products reimbursed, but also for users that pay for their products themselves. On that note, when we talk about users that pay for their products themselves, I want to mention that we expand our offering into a self-care and self-pay situation, and thereby expand our presence more and more, not only for JOBST, but also for our other brands. In wound care, for example, our Leukoplast Red assortment is now available over the counter in the pharmacies, and it's growing very nicely. Also with Actimove, we have launched a pharmacy edition. That pharmacy range or sports range that we have in the pharmacy, that is now possible to use when you come home from an injury and you start going back to sports. I mean, you can use not only Essity products when you are in the hospital and get treated for your injury, but also pay for them yourself when you get back to sports at home. Excellent. I have to say, innovating leading brands, it's not only about our products and solutions. We all work with different educational programs, with partnerships to really break barriers so people can actually have a better life. Thank you, Thomas. Thank you, Volker. Thank you, Ulrika. Thank you. Thank you. Accelerating digitalization. Magnus, when you became the CEO, digitalization was one of your priorities, and a lot has happened since then. Can you elaborate a little bit? Yes. Thank you, Josefin. At that point in time, we focused very much on e-commerce, and I'll talk more about that in a minute. As a starting point, we looked through the entire business. If I could have the next slide, please. Yes. We started through interacting with our customers and consumers, but very quickly added, of course, the opportunity to sell our products also online and moving forward to really providing life-changing digital solutions to our customers and consumers. Increasingly, in recent times, we have invested more internally in the efficiency of our own operations, digitalizations through automation and robotization, and building capabilities and skills also in data analytics. This is just the beginning. This will give us a lot of advantages and opportunities that are even difficult to actually foresee at this point in time. Coming back then to e-commerce, we have had a very positive development. It looks like we started 2019, actually, we started 10 years ago, and this is the result of all that work. I think a big opportunity for us was actually when the pandemic struck, and we were extremely well prepared and took the opportunity to grow market shares. Our easy logic 10 years ago was that let's try to always overtrade in the winning channels and with the winning customers. If we do that, we will grow. And this is exactly what happened. What makes it even more attractive now is that it doesn't only fuel our growth. Margins are similar online as offline, and typically, we have a better product mix with a higher share of premium branded products in the online channel. Another reason why to keep on focusing here. Let's hear more about the other digitalization initiatives we have in the group. Yes. Here with us to talk more about those, we have Robert Sjöström. You are President, Global Operational Services. Donato Giorgio, President, Global Supply Chain. Welcome. Robert, as the CIO of the company, you are responsible for Essity's digital strategy. What are the benefits of our different digital initiatives? Yeah. Thank you, Josefin. As Magnus just alluded to, we've been on a journey for many years already, and this goes across the whole company. The objectives are quite simple, is to drive top-line growth and operational efficiency. We have four building blocks in the digital strategy. The first one is to interact and transform how we interact and work with customers and consumers. The second one is innovate digital products, solutions, and business models. The third one is to improve how we operate our business across all end-to-end processes. The third one is to build up the capabilities needed to continue to drive our digital transformation. What does this mean from a customer and consumer perspective, would you say? Many things. One example is that thanks to data and analytics, we gain much better insights, customer consumer insights. By leveraging the insights, we can innovate and develop better products and solutions that fit for the needs of our customer consumers. It means that we can communicate with customer consumers in a much better way, leading to stronger brands and improved loyalty. Digital also drives solutions, and we are developing solutions across the company, like smart care in healthcare, Tork Vision Cleaning in Professional Hygiene. In Consumer Goods, we are accelerating our direct-to-consumer approach. We gain a lot of more impact on social commerce. Magnus mentioned the growth in e-commerce. What possibility does this create from your perspective? Yeah, we have been on the journey already 10 years, but I still believe it's the beginning of it. e-commerce is the fastest growing sales channel in Essity. I think the future is brilliant. We see that as we speak, emerging ways of solving the last mile issue in the bigger cities, how to deliver our products to the consumer. Once that is solved, the consumer experience will improve and will also contribute to our sustainable target. Our digital strategy has much more, covers much more and bigger perspective than only e-commerce. We are building scalable solutions in the company. We are driving operational efficiency. It will enable us to grow the business without adding the same kind of cost. It will enable us to bring on acquisitions in an effective way. I would also say that thanks to what you have done within digitalization, it has helped us a lot with logistics and distribution that many companies today are having challenges with. Now I will hand over to Donato. Donato, you are responsible for Essity's end-to-end supply chain. How is digitalization transforming Essity's supply chain, and how is it better serving our customers? Joséphine, the digitalization is essential to set Essity as a leading health and hygiene company. I mean, primarily for our manufacturing roadmap, because we have a state-of-the-art maintenance system based on cloud-based artificial intelligence and remote monitoring in our tissue machines that are quite intense from a maintenance point of view. Another example, we have a very advanced process control based on the latest data analytics in our personal care line and in our converting lines to ensure that we have a constant top quality to our consumer and continuously optimize raw material utilization, which is very important, particularly in this moment. As I said, to keep Essity on the forefront of the Industry 4.0 in our industry is essential, and we are proud of that. Important is also automation in our logistics operations. When we manage, as also Robert said, our logistics operation in a very efficient and effective way is very good for our visibility end-to-end. One concrete example on how digitalization has helped us with performance improvement and efficiency gains. Yeah. in the supply chain. As I said, we may have many examples that we are proud of, but if I have to pick up just one is building on what Rob said, is what we do in our control tower center with advanced analytics in Barcelona, where we monitor and coordinate global transport, and particularly now for Europe, we prepare the truckload filling system. Just to give you a really concrete example, practically, we know that every 50 trucks that we ship, we save one truck on the road due to optimization of space and allocations. This is a great advantage for CO2, for traffic management, and also for Essity value creation. Thank you. Now, let's move over to this room where we will talk about innovative, life-changing digital solutions and e-commerce with my colleagues, Ulrika again, Volker again, and Don Lewis, President of Professional Hygiene. Great you're here. Thank you, Joséphine. To start with Health and Medical, Ulrika, how important are digital solutions in your area? Well, it's very important. We have a growing and aging population in the world, and with that comes an increasing demand for healthcare. At the same time, as we heard Sahil talk about earlier, healthcare budgets are under pressure and also some markets experience that there is a lack of staff in healthcare. That's a quite difficult equation to solve. It requires transformation of healthcare with new ways of working and new tools. We believe that our digital solutions can play a key role in that transformation. I think one good example of that is our TENA SmartCare solution. This is based on a sensor technology indicating when it's time to change the incontinence protection and giving notifications to the caregivers. I think what that means for the caregivers is that it reduces the unnecessary checks, the unnecessary manual checks that you have to do, and that saves or frees up a lot of time for the caregivers. Time that they can spend on other patient care tasks. It also certainly improves the well-being for the residents who get their products changed when needed, not too soon, not too late. Also the users, they are not disturbed as much for these turns, and checks, and product changes. That's very positive. How is the launch of TENA SmartCare proceeding? It's going very well. Mm. Thank you. The case studies that we see now as we commercialize this solution is really confirming all the great benefits. There is a significant reduction of the manual checks. There is a significant reduction in the number of product changes, and also in leakages. You don't have to change and wash the bed linen as much, and that is, by the way, an environmental benefit as well. Mm. I want to emphasize that although this solution is, of course, highly relevant for professional caregivers, it's equally valuable for caregiving relatives. For this group of people, we have also launched a family care app to support them even better. Someone who is very good at explaining this is our brand director for IQ Solutions, Axel Nordberg. Let's listen to him. Thank you. If we look upon the demographics, we see that approximately in 2050, it'll be 1 billion more seniors over 65. About 80% of them wish to age at home, and we already today see a shift to home care. This means not only they'll have higher workload in institutions, but also that family care members to larger volume and to larger degree will take responsibility for the care of their loved one. A family care member is typically around 40 years old, they have their own kids, their own career, hobbies, and they're untrained. All of a sudden, they're thrown into this care situation of taking care of someone. They also expect at fingertip support, so they don't have time to go over course. That's what we're addressing with this app. We support them at their fingertips with their core needs, which is reassurance of good care, accessing care advice, collaborating with other family care members, documenting events, and planning for good care ahead. If we take a look at the app, we see that we have a to-do list, we have a care team, we can access care advice, we can go and check the history. We can, of course, also order products from the TENA Webshop. Of course, we also have this one connected to our SmartCare device, which gives the full care team a knowledge about when to change the absorbent product. This is further increasing the reassurance of good care of the family care members. TENA SmartCare change indicator from TENA. Another digital solution that we have in our portfolio is the TENA Bladder Sensor. This is also technology that is relevant both in the institutional setting as well as in the home care setting. I suggest we go directly back to Axel so that he can explain more. Thank you. With acquisition of Novioscan, we got access to very interesting technology for continence management. It's a wearable ultrasound sensor that measures the urine in the bladder. This is in line with our strategy to expand our offering along the continuum of care to also include prevention and wellness. This one has the potential to be relevant in nursing homes and in hospital settings as well. We also believe that this solution will contribute to more optimal use of our products and a more sustainable use of our products going forward. This has the potential to be a real differentiator for Essity, but also a game changer for many of them who suffer from incontinence in their daily life. This device is already on the market for kids today, and now we will start to pilot this also for adults. As you can tell, we are very active with digital solutions in our incontinence care area. We also develop digital solutions for our other brands, and one good example of that is the Cutimed Wound Navigator that we just recently launched. Now I would like to invite two other colleagues to talk about this solution. Anand Chandarana and Sofia Heddson Fransén, who work with digital solutions in medical. Over to you. Thank you. Smart Vision Clinic uses real-time data to empower its team. Thank you. The Cutimed Wound Navigator is a mobile application that we developed in partnership with the Swiss startup, imito AG. It supports healthcare professionals in assessing and documenting wounds, and then supporting them in the selection of an appropriate product from Essity's portfolio. Earlier this year, we launched the app in Germany, and we are already receiving encouraging feedback from the users. A typical user, like a home care nurse, needs to document a number of parameters before deciding on the right treatment for the patient. This can be done in the app through a simple and intuitive interface. An important feature of the app is the ability to capture an image of the wound and put that into the documentation. The app will automate the wound measurements and give length, width, and surface area. Over time, this gives the ability to objectively follow up on healing progress. The entered information is summarized in a digital report, which includes the suitable products from the Essity range. Our goal is to keep developing the app in line with user needs. We are even considering in parallel a more comprehensive solution, which includes clinical decision support, treatment recommendations, and education, which could be applicable for a broader set of users. We are convinced that technology and market readiness. Has evolved to an extent where solutions like this can really succeed, and we believe that Essity has a part to play in shaping the future of wound care. Now you have seen a few examples of how our digital solutions support healthcare in improving patient outcomes at a lower cost. For us, this offers a strengthening of our overall value propositions. It offers opportunities to improve our mix, and also in some cases, generating new revenue streams. I dare to say that this is only the beginning of our journey. We have high ambitions when it comes to expanding our offering with digital solutions in prevention and monitoring of conditions. Exciting journey ahead of us, Garv. Absolutely. I also know you have an exciting journey within Tork. How would you say that the Tork digital solutions are helping your customers? It's a perfect time for Tork digital solutions with our customers. I don't think anybody would deny that there's an increased focus on hygiene, especially hand hygiene. Our recent data shows that one out of every four people that go into public facilities or washrooms are just going in to wash their hands. That's a bit of a change, and it shows how this has increased. It's very important to visitors and to the people that have the facilities. We recently launched Tork Vision Cleaning, and this is an extension of our Tork EasyCube that we spoke about before. This allows facility managers to use data to ensure cleanliness of their washrooms. It's really the perfect match when paired with our Tork PeakServe system. We've gotten a lot of recognition from an innovation perspective and really good customer feedback, especially at this time with increased hygiene awareness. How does Tork Vision Cleaning work? Tork Vision Cleaning is an offer that we have that has smart technology in our dispensers. It's very interesting, and it provides real-time data. It's not just the data, it's actually the insights that come from the data that are important for those people that are owning buildings, or stadiums or so forth. They get a lot of data which helps them clean and maintain their facility in a much more efficient way. Maybe rather than talk about it's easier if I show a video, and I think the audience will see exactly what it's like. Yeah. Great idea. Tork Vision Cleaning uses real-time data that empowers teams to work smarter by knowing exactly where and when there are urgent needs, all targeted at maximizing efficiency to create extra hours in your day for increases in hygiene demands. The system uses sensors that monitor visitor traffic, as well as consumption levels for soap, sanitizer, paper hand towels, and bath tissue, and digital cleaning software for your staff to secure the new hygiene standard. Monitoring traffic patterns and consumption levels enables you to rest assure that guests will always have access to essential hygiene products. Reducing unnecessary dispenser checks and streamlining cleaning plans helps use time more effectively to comply to heightened standards by reallocating staff to the highest traffic touchpoints and change the way of working in support of social distancing and safety for all. All your data is stored in a secure cloud and transferred to a centralized software platform accessible in real time. This provides visibility to analytics that drive more strategic staff and inventory. Use data to work smarter, not harder, to secure the new hygiene standard. You recently made a survey among Tork Vision Cleaning customers. What did you learn? Well, certainly the best feedback you can get is from your customers. Mm. When we recently surveyed our Tork Vision Cleaning customers, we learned a few things. First of all, every single one of them felt that they were able to provide a more hygienic environment with our products. Secondly, 82% said that it improved their efficiency. This is important because you wanna be able to go to the right spots to get the dispensers that are low on product to make sure that the customers are happy, that they always have products, because you certainly don't wanna be out of products. It allows them to make their cleaning plans in an efficient way, which saves a lot of time and labor costs, which is super important. Training's also expensive if there's turnover. The morale actually goes up too. That's a great benefit. 85% said that it made them feel like they were in a safer environment, and 100% of our Tork Vision Cleaning customers said they would recommend it to others. That's a really good feedback. Mm. From our customers I'm proud of. I really hope that someday, and I believe that all devices will be connected the way the world is going, and we're in the front of this. We have it in this building. We do. We love it. We do. At the Investor Day 2019, you spoke about omni-channel. Mm-hmm. How has this developed? It's developed very quickly, and I'm very, very happy with it. I want our customers to be able to buy any way they want. If they want a Tork product from Essity, they should be able to buy in the most convenient manner. We've really prioritized work with our distributor partners, where we've worked on really robust content so that we can drive activity and good clear information on our products. We find that about 50% of people that buy our products did research in advance online. Out of these, 67% actually made a buying decision without an intervention of a live salesperson. It's really a trend that's increasing, as we see. We're really looking at doing a lot of work to enhance this, implementing new KPIs and tracking this because share of search has shown so important to us. With our strategic products, which is our innovative products that you hear us talk about, we found that we've been able to double that in the last year from 20% to 40%. We've really made big strides in that. Great. Thank you, Don. Oh, I have one more point if you don't mind. We have three priorities that we're working on for this year, and one is DCX, which is Digital Customer Experience, which really allows our customers to be loyal to us, leveraging the power of data to be predictive in what customers buy, and also looking at expanding our offerings so everything's online. This will really fuel our growth in the future. Thank you for that opportunity. Fab. Volker, Consumer Goods, how is your e-commerce developing? Well, e-commerce continues to grow on a fast pace. I think historically we have seen double-digit growth in retail Europe, slightly above 10%. During the pandemic, this trend has been accelerated very much. Every shopping trip was perceived by the consumer as a potential risk for an infection, and consumers have chosen click and collect solutions or even home deliveries instead. We have been growing last year some 43% in e-commerce, and this year to date, we are even +44%. How are we doing that? I think omni-channel retail, we are focusing on so-called fair share plans with our retail customers, i.e. we want to have minimum the same market share online as we have offline. Secondly, we have an increasing focus on pure play in marketplaces. Last but not least, I mentioned it before, we have the direct-to-consumer proposition, where we're going to extend our assortment during 2022. The social commerce, I think in the introduction we have mentioned this with Vinda, doesn't play yet a big role in Europe. Tell us a little bit about the business model direct to consumer? Direct to consumer is for us much more than a sales platform. It's a platform where we are engaging with our consumers and where the consumers are engaging with our brands. We are generating super important data and insights which we are translating then in trends and innovation projects. Last but not least, it's also a possibility for us to try new things because the go-to market costs are relatively low compared to classical retail. I think we have prepared a little movie. You have. Direct to consumer. Here we go. How do you expect this developing going forward? e-commerce is and will be the fastest growing retail channel in Europe. We might see a shift from omni-channel retail more into marketplaces and pure play, but we count on double-digit growth also in the coming years. Ulrika, is e-commerce also relevant for the health and medical business? Yes, very much so. Many of our customers, like pharmacies and medical device shops, they sell online in parallel with their physical stores. We of course want to be their best partner to serve their consumers wherever they choose to buy. In fact, I would say we are very well equipped to be the preferred partner to, for example, pharmacies, thanks to our quite rare combination of B2B and B2C competence. We make it easy for customers to do business with Essity, and we provide them with the medical expertise that they need to, for example, train their staff. At the same time, we have a lot of consumer know-how, so we know how to create consumer preference and how to pull consumers and patients into their stores, whether they're online stores or offline stores. Besides these multi-channel players, there is an increasing amount of customers who sell online only, online pharmacies, expert e-shops, third-party marketplaces. Then we have this very interesting trend of e-prescriptions that will push sales online also for reimbursed products. It's tiny today, but I think it will grow in the future. Fantastic. With this, we'll end the digitalization session. Thank you, Ulrika, thank you, Volker, and thank you, Don. Soon we will start with leading in sustainability. This week, the climate meeting in Glasgow has started. We all know the whole world is behind the United Nations sustainability goals. Sustainability has always and is core for Essity. Magnus, you are committed. You were the first actually to sign our science-based targets. You have been very much for that we should set an ambition for net zero and also with the ESG. Here with us to talk about sustainability, it's Magnus, Don, and Donato and Tuomas. Magnus, please start to elaborate a little bit as an introduction. Thanks, Joséphine, and I think it's obvious to everyone by now how important we think that sustainability is, and there are some very clear reasons. It's a way to better meet our customers' and consumers' demands. I think that's number one. It's also an excellent way to reduce our resource consumption, so it's good business. We save money, and I also believe that it attracts talent to be a sustainable company. That's important, but that could all just be talk. Of course, we have very tangible targets in a number of important sustainability areas, and you see some of them here behind me. Maybe most important now is the science-based targets initiative, which shows that we are aiming to reduce our carbon emissions by 35% according to Scope 1 and 2 by 2030 and by 18% for Scope 3. Very important, and that's an increase in the target level that we did just a few months ago. As you can see here, we follow up and we are also making good progress. We are very proud of this, and it also shows in all the recognitions and awards we're winning. I know that these were already in the movie we had earlier today, but so happy to show them that I think this really proves that this is also driving business for us because in many cases, investors choose to invest in companies that fulfill these criteria. As you mentioned, we have also quite recently signed up for the Global Net Zero ambition, the business ambitions for 1.5 degrees as set out by the United Nations. For us it's more than an ambition, it's a target, and we have clear plans on how to reach it. That's why we have increased some of our targets for 2030 already. Here are some of the areas, focus areas that we're working on to achieve these targets. I'm going to Glasgow tomorrow, and this is an initiative in the consumer goods industry to look at ways of collaborating to reduce carbon emissions also in areas where it's difficult for individual companies to make a difference, but maybe jointly, both producers and retailers, we can make a difference. That's something we're gonna talk about and announce later this week. Good. Donato Giorgio, you are passionate about this area as well, not only producing great products and having a digital element. Lately we have announced some really good breakthroughs and initiatives, how we actually can help with the environmental footprint. Tell us about some of these? I would say, first of all, that we are committed at Essity to set the new standard, the new industrial standard for the hygiene industry in the circular economy, the net zero, and to deliver the target for the 1.5 and then later to the net zero, as Magnus said. In our continuous operation, we work on energy save and water save and in every day, and we make sure that we have state-of-the-art technologies that bring us continuously on CO2 reduction and also in the way we make the products. Then, moving more on the breakthrough, as also my colleague said, very happy and proud to say that we have started the agricultural waste integrated mill in Mannheim, which we announced in the latest capital market day two years ago. It has started quite well. It's a unique development that we did with a new American startup for agricultural waste processing. I remind that this will deliver to our consumer even a better product in a full environmental way, up to 50% CO2 reduction. We also will deliver out of our Mannheim plant a co-product which is lignin-based, is going to replace oil-based material. It is definitely a breakthrough for the future that now we are setting as a reality. You brought it yesterday, and it feels fantastic, and it looks great. Yeah. Reducing our carbon footprint, I know that's on top of your agenda and in the plans. Tell us. As I said, we are doing many activities on the end-to-end supply chain to really set the standard for the new industry. In the raw material area and tissue, clearly the agricultural waste material is the element on the raw material. We have many fantastic new initiative. For instance, we have in Lilla Edet, the plant and the machines are running fully with biogas, and it's the first plant in the world which is fossil fuel-free, and is a great achievement in our setting of the process. Also something we are very proud working with Seed in New Zealand from Asaleo acquisition that we are setting up the first paper machine worldwide fully on geothermal energy, which will be again CO2 neutral. Exactly in these days, we are finalizing the project for having in Kostheim in Germany our and I would say the first paper machine in the world on green hydrogen. This is already the future of CO2 zero that is already present today and we are setting as a future standard. Also, last but not least, very important to mention that in all our personal care factories, we are set to use green electricity in order to have already as today as a reality to be able to go to a carbon neutrality with the use of green electricity in our personal care factories. This is some example that says how we set the new standard for the future. I know your head are full with hundreds of more ideas that we wanna hear in the future. How do you see the future of tissue production, Donato? The future of tissue production in the world of net zero is I see fantastic because it's if you put all these things together that I'm mentioning, you see that we are trying to create to reset this type of industry to an industry that use local available material, which can be the agricultural waste, the wheat straw, or the recycled fibers, which we use also a lot recycled material in the world. Local available material with a process which is net zero, it is much more capital and resource-efficient process. We are working, collaborating with different startups around the world to develop the process of the future where we don't need to use so much water, so then we don't need to use so much gas, and we can really set a much smaller operation, carbon neutral and easy to be plug-and-play, I would say, on the type of a personal care, style. This will be fantastic because the planet needs it and would really help the Essity, value creation journey. Great. Health and safety. Yeah. -Donato. Exactly. If I may add, because for us internally, the most important thing in the supply chain is to make sure that everyone working in this beautiful company goes home health and safe. I'm very proud to reinforce that we are good on the way to deliver a 75% reduction in total recordable injuries until 2025, after having being reduced more than 50% reduction in the last six years. This is telling how we bring our company to the state-of-the-art in a best place to work and safest place to work, and also to share with our competitors in the industry how to make the tissue industry and the personal care industry a safe place. Last thing, if I may, Joséphine, I'm very proud to say how during the pandemic, we managed to protect all the health in a very benchmark way, the health of our people coming and working the factories every single day to produce essential products. Yeah. Even during lockdown, even during the most difficult period. They came every day. We never stopped our production. We never had any interruption, and we protected their health in a great way, and we are really proud of this. Yeah, you should be. Yes. Kudos to you and your team. Tuomas, one of your areas of responsibility is also sustainability. What initiatives would you say are most important to reach Scope 3 regarding the science-based targets? What would you highlight in order, which include post-consumer waste and reaching net zero? Yeah, sure. For us, I see a big opportunity when we unleash the innovation engine to really tackle the capability we have to go against these targets. We have on a high level two big priorities. The first one is we call it more from less, and the second one is circularity. If I just deep dive on each of them to give you a bit of concrete examples of what we're doing. On more from less, I mean, this is not something we've started now. I mean, if you actually look at, for example, our TENA Pants product and you would go back in time to 2008 and compare the product to today, what you'd find out is that we've actually reduced over 30% of material and CO2 impact of that product without compromising at all the performance to the consumer customer. I believe we will do more innovations like this. Mm-hmm. where you basically deliver better performance with less material. We do it across categories. I mean, another example, which is one of my favorites, is actually on consumer tissue, and you can see it here on the slide, it's coreless tissue. Mm-hmm. We're basically what we do is we took out the cardboard core out of the product, and we're able to wind double the amount of paper into the same roll. Actually, the outcome of that is you've got 40% less plastic because you need less packaging, you've got less trucks on the road. Not only that, the consumers love it. It has the highest repeat rate of any product that we make in consumer tissue. It has a higher margin, and it's actually growing twice as fast as the market. Again, it's an example where you have a win for the consumer, but also win for the environment. I think we're gonna see more of those. Mm-hmm. I understood Magnus actually is a big fan of the product too, so. Yes. I think many on this call have heard Magnus talking about this really with passion also. Yeah, because it was a tough process, but now we're way ahead. Three years on, no one else has launched a similar product. Mm-hmm. It shows that innovation really gives you a competitive advantage. Yeah. for the long term if you decide not to give up. Mm-hmm. really to keep on investing and sort out the issues. Yeah. Which we did in this case, and now it's a big and growing part of our business. Excellent. Absolutely. The other area where we're innovating is on circularity, and I think through the call already today, you've seen a lot of examples of reusable products. I just wanna highlight how important those are to reach our sustainability commitments. Because if you look at, for example, the product that Volker talked about, the washable absorbent underwear- Mm-hmm. Any consumer that we convert to this product, you'll have 75% less waste in their lifetime, and you have 50% less CO2 impact. So significant drivers of sustainability, but yet again, a value driver and something that the consumer loves, so a true win-win. Perfect. Don, Professional Hygiene, how important is sustainability for your customers? It's very important. Mm-hmm. to professional hygiene customers, as it is to us. Mm-hmm. I'm also passionate about it. The pandemic hasn't slowed us down in professional hygiene. Certainly, the European Green Deal and Millennials' interest in sustainability is helping to fuel this, but we're very focused on it. You mentioned the COP26 earlier. Yeah. I'm really proud to say that we were awarded the business there. Mm-hmm. as a sustainable partner for the hygiene products, so it's fairly Good. Kindly of that. Good. Also, Tork helps our customers, and we get a lot of awards from our customers and recognition for what we do in sustainability, but we also partner with them. We've had many customers join us in our work with the United Nations on the Sustainable Development Goals, and this continues to snowball, which is great for all of us. Mm-hmm. the focus. I'm really happy with that. Good. Sustainability has been built into Tork products for years. What's new this year? Well, we have a lot of products. Let me name a few that are both innovative and Yeah. Sustainable. You know, first of all, the PeakServe that I mentioned at last Capital Markets Day, much as Xpressnap on the napkin side really is one at a time dispensing, which reduces usage. PeakServe has the highest capacity dispensing system. Part of the reason for that is we actually are able to compress the towels. Well, not only does that fit more in a dispenser, but it fits more in a truck, which means that we'll use less fuel when we ship it. So that's been very appreciated. As we expand our skincare offering, we have a couple new things there. We've been able to make soap out of 99% natural ingredients. We've recently been able to make hand sanitizer not out of traditional alcohol, but lactic acid. Mm-hmm. We also came out with the first completely biodegradable wiper that we have in our line. A lot of things that play to the expanding categories that we talked about earlier today, but also play into the innovation and sustainability. Good. Tork PaperCircle, I think that's an excellent example of a circular service. Can you please tell us a little bit more? I agree. I think it's perfect. Mm-hmm. Tork PaperCircle enables a full closed loop approach. It was always thought for years that washroom waste was at its lowest form, but actually now we can take towels that are disposed of in the washroom, and we can recycle these. We work with outside logistics partners and with our mills so that we can actually take this, what could be known as trash, and make it into usable product and bring it back to our customers. We're getting a lot of traction on this, a lot of interest. We're expanding the markets that we can do it in, and it actually also ensures us a good source of supply for our fiber. Mm-hmm. It has some good consequences on that side too. We'll expand to 10 markets, and to give you an idea of the impact this could have, if you look at our customers and the visitors that come through, everybody would do this, we have the potential of 35 million people that could- Wow. We could recycle this into usable products. There's a huge opportunity ahead of us. I'm very excited, and as we get the fiber source, it's a win-win for our customers, and it's a win-win for Essity. Mm. Mm. If you don't mind, maybe I'd end with a video and show everybody a little bit. Yes. -about- Go ahead. our PaperCircle. Yeah. I love this solution. We have it also here in the building, and I think it's a great ending of leading in sustainability. We have run a little bit over time because we are so excited about this. Let's take a break, and we'll start at 4:10 Central European Time. See you then. You've got my soul in a major key. A little wrong and I'm singing off key. All right. You're taking me higher. Don't know what you're doing to me. We play it loud against the harmony. All right. Yeah, you're taking me higher. It's not really coming through the stereo. 'Cause the rhythm's taking to the sky. I'm on an all night high. He loves you so much. Every day he showers you with gifts. Warm, yellow, scented gifts. Yay. Your new friend got one too. But love is stronger than dog wee. So is Plenty. Now three times longer with no tube to dispose of. One tube does Plenty. Evoluciona a Pequeñín Extra Protección. Nuestro pañal superseguro. Más delgado y ultra cómodo. [/Foreign language] Ahora tienes la libertad de sentirte libre. Ahora tienes la libertad de usar solo un panty. Nuevo Íntima Wear de Nosotras. Pantys absorbentes y reutilizables para el periodo. Siente la verdadera comodidad de no sentir nada y la seguridad de la absorción total. Tienen tres capas con tecnología de tres niveles. Una es suave y absorbente. La segunda retiene la humedad y el olor. Y la última es respirable para mayor frescura. Son como tus pantys de todos los días, ligeros, lavables y reutilizables. Nuevos pantys para el periodo Íntima Wear de Nosotras. Asesórate y cómpralos en tienda nosotras.com. [/Foreign language] [Familia Acolchamax presenta: lo que pasa en tu casa se queda en la toalla. Todos los días quiero sorprenderla y para eso tengo el mejor aliado que me ayuda a calmarle sus antojos. Por eso uso toallas desechables Familia Acolchamax, que gracias a su poder multifunción atrapa, absorbe, retiene y se desecha. Pon a prueba su superioridad.] 天凝知道面临失禁困扰，除了关爱和理解，脆弱肌肤也需要呵护。天凝 ProSkin 系列纸尿裤 FeelDry™ Advanced 创新锁水干爽技术，突破常规保护，给肌肤多一份呵护。天凝 ProSkin，更好照顾，更好为你。 New Baby Deluxe is made with silky cushions for your delicate skin. Nouvelles couches Lotus Baby. Une composition sûre et des matières d'origine naturelle ultra douces en contact avec la peau. Donc si Lucie n'arrive pas à dormir. Vous pouvez être sûr que ce n'est pas à cause de sa couche. Lotus Baby douceur naturelle, pour une vie un peu plus douce. [/Foreign language] I take care of my skin. Not this skin. That skin. When you've got incontinence, you sure need to. TENA Intimates Pads lock liquid in and are now 100% breathable. Kind to skin. Protects like TENA. Mi misión es observar todo y limpiarlo. Ese es su superpoder. Es un niño muy inteligente. Tenemos que limpiar todo después de estar en la calle. Regio Clean & Care. Lo puedes ver. Je savais qu'être mère réservait surprises. Une plus grosse poitrine, en prime. Personne n'a parlé d'incontinence, par contre. Speaking about this day, our employees are crucial. If you are going to receive shareholder value, we need to attract and to develop the best talent. With us to discuss this is Pablo, President for our business in Latin America. Let's first hear from some of our employees. I really feel that I work with products that make a huge difference in the life quality of our consumers. We are part of every human's life from the day that you're born and until the day that you have to be taken care of as an elderly. Our job at Essity is really to make sure that we're there for the community and there for our society and the people around us. We make a difference through enabling 46,000 employees around the world to collaborate and communicate with each other. I think the work culture in Essity is quite diverse and is very tolerant. Everyone is the same, you speak on the same level with our plant manager as the operators. Openness is valued, where everyone is welcome and asked to share his or her opinion. Everything we do, we do together. I think it's really a good atmosphere to be creative and to innovate. With Essity's commitment to Science-Based Targets initiative, it reduces our carbon footprint as well as those of our customers. I think that's one of the best things about Essity's platform on sustainability. We strive to empower employees to reach their full potential in a winning culture motivated by powerful purpose in everything that we do, be it our products and brands. We have more than 46,000 employees globally. Magnus, how do we secure to have the best talent in order to deliver on our strategy? Yeah, Josefin, we're saving the best for last, aren't we? We are People and culture. We are I will let Anna answer that question in a minute. Of course, whoever has the best talent wins. It's that easy, and this is the talent we already have in the group, and we saw some fantastic examples here in the film clips, and I think it shows that our employees, they feel that we are a purpose-driven company, and they are highly engaged. That brings us a long way, actually. We've also been able to successfully recruit talent, both, of course, from the schools, but also recently from competitors, digital companies, the type of competence that we need for the future. That, I think, proves that we are seen as a very, very attractive employer also from the outside. A part of that is, of course, also to develop the talent that we have inside the company, that everyone realizes that this is the place where you can realize your full potential, basically. Mm. Over to you, Anna. What would you say makes Essity's culture so strong? Yeah, as you said, Magnus, I think basically what we do, what we deliver to our customers and consumers, that's really the foundation for our culture. Working in Essity, you really feel that what you do matters. We heard, you know, about sustainability, our work in sustainability. People really have a passion about this, and this is what talent is looking for. Our ability to attract the right talent and to develop their capabilities is core for us going forward. The core of our culture is expressed in our beliefs and behaviors, and it's based on four cornerstones, care, collaboration, courage, and commitment. This is really what we expect from ourselves and also from everyone in the company. What makes them so strong is that they are developed by our own employees in the company, and it states really well who we are and what we would like to build on going forward. In what way would you say the culture is visible in our organization? I would say it's visible in what we do every day. Mm. It has proven to be very strong during the pandemic. One very good example, I think, is in the beginning of the pandemic, when it was really hard to find protection equipment, our teams came together and developed face masks in record time, collaborating across all functions, and delivered to colleagues in the plants, delivered to customers and to governments. We also see that a strong culture creates a strong engagement, and we measure this in our regular pulse surveys, where we score well above global benchmark on engagement. I really believe that our culture is a key differentiator for us in Essity and also something that is visible for our employee experience. You just mentioned our employee experience. What is that? Essity is very much about well-being, and not only for our customers and consumers, but also well-being for our employees. What we would like to provide to our employees is a sustainable working life and also an inclusive working culture. You heard Donato earlier talking about physical well-being, and this has been always a priority for us. We also know that mental well-being is an increasing challenge in the world. We take a more holistic approach to our employee experience in this area and cover physical, mental, and social well-being. Practically what we do, one example, is that we assess all our major workplaces based on these three criteria. Locally, action plans are developed to meet the needs of our employees here. Thank you, Anna. Another area which is important for us in Essity, it's diversity, equity, and inclusion, and you can always do more. Pablo, I realize I didn't introduce you properly because it felt like you've been with us all day. You are Pablo Fuentes- Thank you. Our President for Latin America, and you have been working very much with diversity, equity, inclusion, and especially on gender equality internally and externally. Please elaborate. Sure, Joséphine. I think, as you said, we as a company have a responsibility to enable a more diverse society. A good example of this is the alliance we did with UNICEF and our FemCare business in Latin America, where we have educated millions. Mm. really millions of young school boys and girls around intimate hygiene. Mm. -which is still a taboo topic in many places in Latin America. By doing this, we are clearly enabling a more inclusive society. Yeah. Another good example is what we did with our workforce. In the past, many of our managerial positions were filled by men. Mm. We did a big effort to turn this around. Mm. Today, 54% of our managerial positions are filled by women. Mm. With this, we have a more diverse and much better workforce in Latin America. I have to say, I am happy because you invited me with UNICEF to actually be on these educational programs in schools. To see how these girls develop and get empowered is fantastic. Keep up the good job. Anna, the ambition for Essity regarding diversity, equity and inclusion. Yes, we have a high ambition in this area, and I would say we are really doing a lot of good work already. Mm-hmm. We want to do more, of course. Yeah. We have set ourselves three priorities. Mm-hmm. We would like to provide an inclusive working environment for all, and we would like to achieve a gender-balanced leadership everywhere. Mm. The target we have put ourselves there is to have a 40/60 gender balance on all leadership levels by 2025. The third priority is to accelerate transition to reflect underrepresented groups. In order to accelerate this work globally, we have appointed a Global Head of Diversity, Equity and Inclusion, who will drive this on a global scale. Good. You are on your way. Yes. Thank you so much, Anna, Pablo and Magnus. Growing in emerging markets, extremely important. Of course you will stay, Pablo, and we will also hear from Karen Li, the CEO of Vinda. Magnus, to start with, what is Essity's strategy regarding emerging markets? It's quite straightforward. Emerging markets accounts for 38% of our sales. To grow with the global growth, it should be 50% of our sales. We are still under-trading, even when we see the fantastic development in Latin America, in China and Southeast Asia, and in Eastern Europe. Grow, grow. Of course, we talk about the value creation journey, which means that it has to be profitable growth as well, and that has been a focus area for us in emerging markets for the last six years, and you clearly see the results here. I think it's an amazing development, Pablo. Thank you so much for your contributions here in bringing the margins in emerging markets much closer to the margins we have in mature markets. Of course, that gives you the license to grow because you also contribute from a value creation perspective immediately. This is a very positive development, and a few years ago, I would say we have to be careful with growth in emerging markets because it's margin dilution. That's not really the case anymore when you look at this slide, and I think it will be even less going forward. This is the result of hard work in emerging markets with efficiency improvements, but also with premiumization, innovation, and all the good things we've spoken about today. That's the ambition. Great. Grow to 50% of sales. Pablo, to get in the right mode, should we start with a little film? Last year, Latin America was 13% of Essity's net sales. Pablo, please tell us a little bit more about your ambitions and the trends and the markets. Sure, Joséphine. As was shown in the video, Latin America is a quite large region. It's more than 600 million people, and it's a quite diverse population. We have a rising, growing middle class. We also have a quite important addressable upper class, and we have millions of consumers also as low-income consumers. Most of our categories are still under-penetrated, underdeveloped, and there is still a good growth opportunity. Of course, e-commerce is growing tremendously as it's happening in other places as well. You have many leading brands and market positions, and you work very agile. What is your secret recipe? Sure. As it's shown in the slide, we have very strong leading brands in Latin America. We are the number 1 in incontinence care, the number 1 in feminine care. We are number 3 in consumer tissue as a total. But when you look at our brands, Regio and Familia are number 1 leading brands where we are. We also have growing strong positions in medical, in baby care, and in professional hygiene. You asked me about a secret recipe for success. Yep. I think it has to do with a long-term commitment to invest behind the brands, to invest in communication and advertisement for D&E consumers. It has to do with a passion to be agile, flexible, and be faster than the market to execute innovations, execute consumer needs. It has to do with a very strong go-to-market. We are very strong in the modern trade, and we're also very strong in the millions of mom-and-pops that we serve daily across all Latin America. A good example of this is the many customer awards we have received. Last year, we were awarded as the number one supplier for Walmart in Mexico. This was among all the thousands of suppliers that Walmart has in Mexico, so we're really proud of this. Good. You have a great innovation pipeline also. Can you tell us a little bit? Sure, Josephine. I think we have been quite successful in delivering innovation that really has contributed to positive market shares. Our innovation model is, of course, leveraging the global innovations that Tomas talked about earlier, but we also do some developments or adaptations for D&E consumers. Some good examples of innovations are in the go-to-market. As Volker presented, direct-to-consumer, for example, is a huge opportunity for us, and we already have 17 direct-to-consumer platforms. A good example is in Brazil, where we were one of the first FMCG companies to have a successful direct-to-consumer e-com platform, and today we have thousands of subscribers really engaged and buying from our platform in Brazil. Another good example is what we're doing with start-ups. There's already many start-ups in Latin America, and we created, 4 years ago, an ecosystem for start-ups, and we have engaged so far with 400 start-ups, and out of those we have 31 that we have direct partnerships or relationships. This is why I love going to your region. One of our latest acquisitions is Familia. How will that further strengthen Essity's business? As we have said, Familia is a great company with a very strong geographical footprint in South America, very consumer-oriented, innovative, entrepreneurial, agile company, and with very strong brands. For example, they have more than 68% market share in feminine care in Colombia, and more than 90% market share in e-co retail. Really strong brands, and this will be a great addition for our LatAm and global business. What are your ambitions and priorities going forward for Latin America? Yeah. As Fredrik said before, our ambition is to become the fastest growing health and hygiene company in Latin America. To do this, we will continue leveraging our very strong brands to grow faster than the market. We have tremendous opportunities, especially in e-commerce and direct-to-consumer, so I'm absolutely convinced we will deliver on our ambition to be the fastest growing health and hygiene company in Latin America. I guess you are satisfied with that, Magnus. Sounds great. Yes. I love the picture as well. I know that you will be successful for sure. Thank you, Pablo. Now I will hand over to Karen Li, our CEO for Vinda. Hello, I'm Karen Li, CEO of Vinda. It is my pleasure to welcome and introduce you to Vinda, a regional hygiene products company with leading brands and market positions in high-growth markets across Asia. Vinda started out in the tissue business 36 years ago in China, where the Vinda name has since grown into a renowned household brand and respected industry player in the world's most populous market. I'm very proud to share that today Vinda commands a broad hygiene products portfolio across tissue, baby care, incontinence care, and family care categories, with a solid presence in 10 countries across Asia. Revenue for the year 2020 amounted to HKD 16.5 billion, which equals to approximately EUR 1.5 billion. Vinda's strong investment potential and commitment towards value creation for our shareholders is well reflected in our inclusion in the prestigious MSCI indexes. Of course, our long-standing collaboration with Essity in many areas of business and operations since 2007 continues to be a strong contributor to Vinda's journey of value creation. With a clear focus on profitable growth, in the last 7 years, Vinda consistently delivered remarkable revenue and profit growth. Due to the extraordinary effects of the pandemic, the relatively flat growth observed in 2020 was somewhat expected, especially across Asia, where extensive COVID lockdowns were imposed in many markets. Nonetheless, by staying on the course of our premiumization strategy while driving continuous efficiency improvement, Vinda was able to successfully close the year with our strongest ever profit level and EBIT margin. As the global economy rebounds from COVID-19, the Chinese hygiene market continues to offer high growth opportunities across all categories we compete in. China's aging population is reflected in the increasing consumption of incontinence products among older consumers. At the same time, tissue consumption per capita and the size of premium feminine care market continues to grow on the back of increasing affluence, hygiene awareness, and modern lifestyles, especially among younger generations and the emerging middle class. Vinda's premium products are well-positioned to capture this demand for innovative, high-quality hygiene products. In particular, our Libresse brand is seizing this growth opportunity in the premium feminine care markets and has demonstrated a solid year-on-year development since its mainland launch back in 2018. In just 3 years, we have successfully taken market share from major competitors to now holding a joint number four position in the premium feminine care market. I am extremely confident that the Chinese market will become another success story for Libresse in the near future. Innovation in product development and marketing is a key differentiator for Vinda's brands. Our Vinda Innovation Centre in China and Malaysia combine the global experience, innovations, and knowledge from Essity with Vinda's own valuable consumer insight, adaptations, and technology applications locally. This is a win-win formula that enables Vinda to roll out uniquely differentiated innovations that are highly relevant and responsive to our consumers' behaviors and demands, together with our impressive speed to market, impactful 360-degree marketing activations and, of course, execution excellence. Innovation is also a key in our brand strategy to inspire consumers to trade up to premium purchases, and this approach is clearly paying off. If we take a snapshot of our tissue category as an example, we see that our premium offerings across all brands accounted for over 30% of the group's total tissue sales in 2020. China's e-commerce market not only is the largest, most diverse, but also the most advanced in the world, and it is now the most important channel in China for growth. Leveraging our digital capabilities and long-standing collaborations with major e-commerce players, Vinda has been highly successful in capturing this evolving consumer shift. Our e-commerce sales reaches the highest ever contribution of over 35% of the group's revenue in 2020. This contribution was even higher in China alone at over 45%. In the fast-changing, increasing fragmented digital landscape, our agility to effectively tap on digital trends from live streams to influencers has enabled us to retain our number one tissue online shopping ranking across all leading platforms in China. Despite the increasingly tough competition across all channels, categories, and markets, while tackling the extraordinary pressures of a global pandemic, Vinda has not only maintained our dominant leadership positions in key markets across Asia in 2020 but has even done so with the market share gains across the region. This is surely one of the clearest testimonies to the strength and resilience of our well-loved popular brands. Of course, the work continues to make Vinda an even stronger and more successful company. Our immediate priorities are to carry on strengthening our profitability and leadership in the household tissue category, while being more aggressively seizing and driving growth in the attractive China feminine care, incontinence care, and away-from-home segments. Naturally, ESG factors are integral to Vinda's sustainable growth into the long term. While we have always worked in the way that is aligned with our core principles of sustainability and innovations for years, Vinda took a major step forward in 2020 to formalize our sustainable development goals for the next five years, with the blueprint covering areas such as energy savings, emission reductions, product quality, as well as people and community together with our overall corporate governance and compliance. Ultimately, I see that the work of ensuring Vinda's sustainable growth requires us to always keep Vinda's everyday mission at the top of our minds, and that is to provide quality hygiene products and services that improve the health and lives of our consumers now and into the future. Thank you for listening. Thank you so much, Karen. Now we will end the day with a Q&A session with our whole management team. We're very much looking forward to your questions, and you have the dial-in instructions on the screen and on our website. With that, please, operator, let's open up the question. We have Fredrik and Magnus here, but we have the whole team that also can answer your questions. Please, first question, go ahead. Our first question comes from the line of Karel Zoete from Kepler Cheuvreux. Please go ahead. I am sorry, but we cannot hear you. Are you muted or? While waiting, why don't you take another question, operator? Sorry, can you hear me now? Yes, perfect. Yeah, sorry for that. Yeah. Thanks for taking the question. I had one on the Latin American business where you are combining two sizable businesses. Now you've looked into that a bit longer, can you discuss a bit some of the synergies on the commercial and cost side you think that are possible to reap for Essity going forward? I think that's a question perfectly suited for Pablo. Yeah. Pablo. Sure. I can gladly answer. Familia has a very strong geographical footprint in South America and very strong brands, as we have said. There is also very limited geographical overlap between the existing Essity LatAm business and Familia. We see little synergies from that perspective. Of course, we see tremendous growth opportunities as we share similarities in terms of consumer behavior, market understanding. Together in Latin America now, we have a much more important scope and scale to drive growth and win. Thank you. Thank you. Our next question comes from the line of Karel Wintermans from Handelsbanken. Please go ahead. Your line is open. Yes, thank you very much. You have previously discussed billion dollar brands as a key goal, and you have TENA in the health and medical, and you have Tork in professional hygiene, but more specifically in consumer goods, is that still a sort of a goal worth pursuing? And if so, what would be the maybe the two, three key brands besides Libresse that you see as critical going forward? I will start and hand over to Tuomas, who is the expert in this area. We have a third billion-dollar brand, which is Vinda. As we have stated before, we would like our Fem Care business to be our fourth billion-dollar brand, even though it's a collection of different trademarks. With that, please elaborate, because we also have some smaller brands now in our portfolio. We had TOM as part of the presentation here for today, for example. Yeah. We certainly have a lot of opportunity to scale many of our brands. As you said on feminine care, there's a big opportunity to further expand our footprint. What we're trying to do is scale as much as possible behind the brand, both our product innovation, our brand-building efforts, as well as our strategies, and reapply what works. I see the opportunity in feminine care. Also in consumer tissue, we might have different brand names, but we drive a lot of synergies across. Big opportunities across categories to scale up what works where it makes sense. I'm sure that's gonna drive further growth. Maybe a very quick follow-up on that. You mentioned that you're not looking into new categories at the moment. For specifically consumer goods, why aren't you looking at, for example, home care at the moment? Maybe I should answer that. Currently, we see more. I'm sure there are opportunities in Consumer Goods, but we see even more, even better opportunities in Health & Medical and in Professional Hygiene. Okay, thank you very much. Thank you. Our next question comes from Oskar Lindström from Danske Bank. Please go ahead. Your line is open. Oskar. Thank you for a very interesting section here. I have a number of questions. I'll just take the top two, since we're a little bit behind on time. The first one I think is for Gonçalo on switching to- Oskar, now something happened, so we can't hear you. Oskar, it seems we've lost Oskar, so we'll go to the next question in the meantime, which comes from Charles Eden from UBS. Please go ahead, Charles. Your line is open. Hi. Thank you so much. I'll limit myself to two questions if that's okay. Firstly, just talking around sustainability, and obviously Essity has been, you know, leading the way here for some time. You touched around an increased consumer demand for sustainable solutions, but I just wanted to get your thoughts on the willingness and the ability to pay for those solutions. Is it something you think you can price through when delivering on this? Or do you think it might end up having to be at least initially margin diluted? That was my first question. My second one's more just a sort of follow-up on the earlier section. With the new divisions that you're going to be reporting under from 2022, when I think about your above 17% ROCE target, historically, you've talked around delivering 13%-15% margins. As I look at your new divisions, obviously professional hygiene's unchanged, but the other two divisions, are you able to give us a margin objective you anticipate for those divisions to deliver on your greater than 17% ROCE target? Thank you. Fredrik, do you wanna start with the second question? Yeah, Charles, thanks for that question. We have not specifically set targets for the old business areas, as you know, but rather provided a guidance for where we need to be to get to the ROCE targets of more than 17%. We have chosen not to do that for the new business areas. What is important is the totality and not specifically what each individual area will actually reach in terms of margin or ROCE. We will not do that, but we have, of course, a firm commitment to the overall target for the group. Regarding the first question, for sure, with every new innovation, we aim to have lower costs and be more efficient than what it- It is difficult in many parts of the world. What raw materials do you foresee switching to, and what share of, you know, fiber do you expect to come from market pulp in, let's say, 5 or 10 years' time compared to today? You know, what's feasible in terms of finding alternatives to pulp? Donato? Yes, of course. Thank you for the question. First of all, as I said, we have many mills running with recycled fiber. What we are doing, we're also doing a lot of intensive process work and advances in innovation and in process improvement in our mills in order to be able to use more and more of low grades to produce high quality product. This is a clear competitive advantage because with the e-commerce, there is a lot of availability, much more availability of low grades, and we are developing on that. On the other side, really, for the breakthrough and for the development for the future, what the process that we qualified as a breakthrough and unique in the world in Mannheim for the way we do it is a process that can use locally available agricultural waste. It's agricultural waste that contain lignin. In Mannheim and in Europe, of course, it makes sense to start with wheat straw because it's the most locally available, and offer us the best option on this. When we validate and qualify this process going forward more and more, we can expand also in other parts of the globe with different type of available agricultural waste material. The important is that they contain lignin. There are material like miscanthus and all kind of of residuals of this development. It's very interesting because it really makes the process circular economy. Because again, you put in the locally available agricultural waste material, and you get directly connected to the machine, the pulp to produce high-quality paper, and you get the lignin-based co-product that we are trademarking to sell as a biochemical, which will be a new trademark product from Essity. Thank you. Just following up quickly on that. Would you need to invest in those plants for refining the local agricultural waste into usable fiber and lignin products? Yeah, maybe then I start, and then Fredrik can help me in the continuation. Yes, of course, at the moment we are developing this process with a startup company from the U.S., a very innovative and environmentally advanced startup company. We have put all our knowledge together to develop this unique process, which is unique in the world. We invested in our own production. We are qualifying our own production. I think we reserve for the future to see what will be the best financial way forward. Fredrik, for sure, you can help me on this. Yeah. Yeah. Thank you, Donato. I'll be glad to do that, but I think you gave the answer perfectly here. We have just started up, and it works really well. Of course, it looks very promising. Future expansion is, of course, within reach, which is great. Exactly how we fund that expansion is for us to come back to. Maybe to note that we are already defining the next sites and that we see a potential of maybe around five to 10% in the medium term of the fresh fiber pulp that could be replaced with alternative fibers, and that there's a big interest from governments to provide subsidies for these types of investments. Actually now we are to some extent competing different sites against each other where we can get the best subsidies for the next installation. Hopefully we have learned from this first pilot installation and can do the next one more cost efficiently than the first one. Thank you. Thank you. Our next question comes from Linus Larsson from SEB. Please go ahead. Your line is open. Thank you very much for- Sorry, operator. I think Donato just wanted to conclude. I wanted to link to the previous question. This is a fantastic example of an innovation where we reduce definitely the CO2, we go in circular economy, and it will not require higher cost in production. This is how to set a way forward for the circular economy. Yes. Now we can have the next question. Thank you. Thank you very much. Very interesting. Maybe I'll switch to a different question nevertheless. You flagged for increasing costs for a major digitalization project which is ongoing. It's impacting the other EBIT line from a financial analyst point of view. Maybe Robert can help out here. I'm curious to hear a bit about where we are in this process. I mean, in terms of the, you know, the phasing of investments, how long will this go on? Is it still increasing or is it decreasing from here? Also relating to this investment, when and how might we start to see the benefits from it? I'll just make a short introduction before handing over to Robert. That just to make it clear to all the listeners that this is something we flagged for already some time ago, so this is not something we flagged for today. This is, I think we flagged even last year for this multi-year program. With that, I hand over to you, Robert. Thank you, Magnus, and that was actually my starting point as well. This is an ongoing program since years, and for sure we are investing more and more in digital, but there's no drama in it, and I will not give any numbers. This, whatever we do, we do it in full cost control and also quality control. We run all initiatives very well, both from business side, IT perspective and end-to-end processes. For sure, investments are needed. If you would look into our digital investments today compared to some of the benchmarks, we probably still have to catch up a little bit, in terms of how much we spend on this, and we are doing a lot of good stuff there. No drama in this. Slowly increase year over year, and we will get the benefits already today, of course, as we heard earlier today in supply planning, for instance, and supply chain, and we see more also coming into the business going forward. Already evidence this works, and it will work even better going forward. That's helpful. Thank you. Thank you. Our next question comes from the line of Victoria Nice from Société Générale. Please go ahead, your line is open. Hi there. Thanks for the question. My question is going back to an earlier question, actually, on what you said in terms of the 5% sales growth, including M&A being targeted within current capital ratio targets. I just wondered if you could remind us what they are in terms of what gearing you need to go up to as a maximum on day one of doing a transaction, please. Thank you. Yeah. Maybe I can take that question. Because we have a capital policy that states that we should always be solid investment grade. If I translate that into, for instance, S&P Global Ratings terminology, that means that we need to stay below 3.0 in terms of net debt to EBITDA. Fundamentally, if one assumes that we would stay on a certain level, and we are below that, of course, today, we're below the 3.0 threshold. If we assume that we can stay constant on where we are currently, then that would enable the 5% growth that Magnus has talked about earlier today. We will maintain solid investment grade. Thank you. Operator, now we will have time for one final question, so please go ahead. Thank you. Our final question comes from the line of Oskar Lindström from Danske Bank. Please go ahead, your line is open. Oscar, if you're on mute, could you please unmute your line? Yes. Thank you. I have a final question. Two things which were mentioned here in the presentation were growing in emerging markets and sustainability and also growing in the personal care segment. Now, a lot of your personal care products contain plastics and other non-biodegradable components, which I would presume are, you know, the waste generated by that is a problem, and perhaps especially in some emerging markets where refuse collection isn't that well developed. Is this a challenge or a problem for your business or for your products, that you, in a sense, are contributing to non-biodegradable waste through growth in these segments? Absolutely, it's just as much or even more an opportunity, I would say. We have shown some of the ways forward here today, because this is a challenge for everyone providing fem care, incontinence care or baby care, personal care products today. I mean, we are working with this step by step. One example from today was that all our personal care plants are using green energy, for instance. Another thing we didn't talk about today but earlier is that a lot of the plastics currently in the bags is coming from recycled plastics or renewable plastic, and we're also switching from plastic to paper packaging. A third example is that we are using less materials year over year, as Tuomas spoke about, and of course, now the renewable assortment, or reusable assortment, I should say, which is of course something of a game changer. In addition, we are constantly looking at compostable materials, recyclable materials, other ways of collecting and reusing the material in the product. It's a step-by-step approach, but I think we're seeing clear progress, also in personal care towards a higher level of sustainability. I agree with you, it's especially important in emerging markets, where in many cases the recycling and waste management facilities are not as advanced as in some mature markets. Okay. Thank you. Yeah. Did you have one more? That was. Thank you very much. Mm-hmm. Okay. No, no. That was good. Okay. If you have one more, I might be nice. No. Okay. Thank you so much, everyone, for your question and for calling in today. We know it's been an intense day, and we hope you found it fruitful. Before we end the day, Magnus, some final remarks. Thank you. I made some notes here during the day. First of all, of course, thank you for listening and participating today, and I hope that you learned more about Essity and that you found the time well spent. My takeaways from today is firstly, again, it's so good to see the entire team here, and I really feel that we have a fantastic management team, strong talent, and as mentioned earlier, this is the key to success. We have seen a lot of commitment and courage today in the different presentations that will definitely help us lead the way forward. I also hope that a takeaway is that we have high and ambitious targets for profitable growth, and that we have the initiatives and priorities in place to achieve that. Our new business areas will enable faster growth, so we'll contribute to that, improving profitable growth. It gives us more opportunities, both organically and through acquisitions. We will continue to grow in emerging markets, especially now that the margins are also starting to look quite value-creating, where we benefit from leading brands and market positions, as we've heard, to some extent even more than in some of the mature markets. Of course, sustainability that has been a theme throughout the day, where it's clear that this is increasingly creating a competitive advantage for Essity in many ways, and that's why we aim to continue to stay in the lead. Finally, we have a winning company culture and a clear purpose, which is our leading star and so important for everything we do. Again, thank you for listening. Thanks for participating. Take care, stay healthy, and of course, wash your hands. Thank you.