(Bloomberg) --
Shares in one of the world's biggest makers of toilet paper and other consumer tissue products were suspended on Tuesday as it reported a stunning jump in profits after households stockpiled its goods during the lockdown triggered by Covid-19.
Stockholm-listed Essity AB said the pandemic had spurred first-quarter sales across many of its markets “as a result of hoarding among consumers and distributors.”
Ahead of its quarterly report on April 23, the company said organic net sales in the first three months of the year increased by 7.8%, while adjusted profit before amortization of acquisition-related intangible assets jumped 67% to 5.3 billion kronor ($351 million).
But the company said sales may yet “be adversely impacted” by the panic buying seen in March. Its Professional Hygiene unit could also suffer as a result of reduced travel, fewer restaurant visits and more people working from home, according to the statement.
Essity shares were up 3.9% at 4:10 p.m. Stockholm time, compared with 2.2% for the OMX Stockholm 30 Index.
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