Slides
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Essity acquires Edgewell’s feminine care business in North America Audiocast November 13, 2025
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Every day our brands care for the hygiene and health of a billion people across 150 countries This presentation may contain forward-looking statements. Such statements are based on our current expectations and are subject to certain risks and uncertainties that could negatively affect our business. Please read our most recent annual report for a better understanding of these risks and uncertainties.
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Today’s presenters Ulrika Kolsrud President and CEO Fredrik Rystedt EVP and CFO
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The acquisition • Net sales1): USD 261m (SEK ~2.5bn) • Includes the Carefree, Stayfree, and o.b. brands in the US, Canada and Caribbean, and the global feminine care rights for the Playtex brand • A production facility in Dover, Delaware • Approx 500 employees • Purchase price USD 340m (SEK ~3.2bn) Edgewell’s feminine care business 1) For 12 months ending June 30, 2025
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Well-known feminine care brands with high potential Liners Tampons Pads # 2 in US # 2 in US # 3 in US # 3 in Canada # 3 in Canada # 3 in Canada Source: the information has been compiled by Essity for presentation purposes based on external market sources and internal estimates
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The rationale In line with strategy to grow in high margin categories • Acquisitive growth in Feminine Care – a high margin category where Essity has a proven recipe for success • Supports Essity’s growth ambition for TENA Incontinence Products in North America • Expands Essity’s platform in the attractive North American personal care market • Significant synergies
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Building a strong personal care platform in the US
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Perfect fit with our profitable growth strategy Focus on high yielding segments Strong performance culture Differentiated, insight-based innovations Capture efficiencies across the value chain Grow in attractive geographic areas Deliver superior customer experience
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Rationale M&A Priorities • Growth contribution • Add capabilities • Portfolio shift Health & Medical • Advanced wound care • Compression therapy • US presence Consumer Goods • Feminine Care • US presence Professional Hygiene • Soap & sanitizer • Wiping & cleaning • D&E presence Delivering on our M&A strategy
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We have the recipe for success in feminine care Outperforming the market ~2-3% Market Growth CAGR 2019-2024 ~8% Essity Organic Sales Growth CAGR 2019-2024 Source: the information has been compiled by Essity for presentation purposes based on external market sources and internal estimates • Innovation to deliver unbeatable protection and superior products • Winning across product formats and price tiers • Bold and purposeful brand building • Go-to-market excellence • Cost-competitive supply chain operations
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#1 in Australia and NZ Acquisition of Libra – a success story #2 / 29% Market position and share 2021 #1 / 36% Market position and share 2024 Source: the information has been compiled by Essity for presentation purposes based on external market sources and internal estimates
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#1 in Latin America TENA #1 in Brazil Saba #1 in Mexico MS 60% Nosotras #1 in Colombia MS 60% 25% 60% 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Market share development Feminine Care in Mexico Acquisition of Copamex and Familia – a success story #3 Market position 2008 #1 Market position 2024 Source: the information has been compiled by Essity for presentation purposes based on external market sources and internal estimates
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Nordics #1 France #2 UK #2 Strongholds in Europe Source: the information has been compiled by Essity for presentation purposes based on external market sources and internal estimates
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Transaction overview 1) For 12 months ending on June 30, 2025 • Purchase price: USD 340m (SEK ~3.2bn) on a cash and debt free basis • Edgewell’s Feminine Care segment generated revenues of USD 261m (SEK ~2.5bn) and segment operating profit of USD 17m (SEK ~160m)1) • The completion of the transaction is subject to customary regulatory approvals and closing is anticipated in Q1 2026 • The transaction will benefit from a customary transaction services agreement (“TSA”) with an up to 1-year term Transaction details Financial impact • Represents an EBITDA multiple per June 30, 2025 of approximately 12.1x based on IFRS, and 8.3x including estimated run-rate synergies on a pro-forma basis. • Synergies expected to be fully realized by end of year 2 • Pro forma net debt / EBITDA excl. IAC of approximately 1.28x per 30 September 2025 vs reported 1.18x • Expected to be EPS neutral from year 1 excluding one-time costs and accretive thereafter
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Edgewell Feminine Care segment EBIT D&A Pro forma IFRS adjustment Pro forma IFRS EBITDA Run-rate synergies Pro forma IFRS EBITDA incl synergies EBITDA bridge including synergies EV/EBITDA: 12.1x EV/EBITDA: 8.3x 1) 2) 2) Based on historic D&A levels USD 17m USD ~10m USD ~1m USD ~28m USD ~13m USD ~41m 1) Reported for 12 months ending June 30, 2025
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Q&A
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Summary Expands our presence in the US in a category where we know how to win High potential brands adding scale and synergies to our existing North America personal care platform Aligns perfectly with our value-creating strategy