Investor Presentation • Nov 3, 2015
Investor Presentation
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For detailed financial information please see our annual/quarterly reports and/or conference call materials on www.fresenius.com/ir.
Frankfurt stock exchange (DAX30): FRE US ADR program (OTC): FSNUY
This presentation contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of clinical trials, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, and the availability of financing. Fresenius does not undertake any responsibility to update the forward-looking statements contained in this presentation.
Dialysis products and services
Ownership: 31% Ownership: 100% Ownership: 100% Ownership: 77%
Hospital supplies Hospital operations Hospital projects and services
| i b i 2 0 1 4 G N I C t t t o p e n c o m e o n o n r u r u |
|||||||
|---|---|---|---|---|---|---|---|
| 2 2 % |
3 % 4 |
3 % 7 |
3 % |
Corporate: -5%
Roadshow Boston, Fresenius SE & Co. KGaA, Investor Relations © Copyright, November 3, 2015
Addressable market
2014 Sales: €5,146 m; EBIT: €873 m
2014 Sales: €5,244 m; EBIT: €553 m
710 health care projects in 77 countries successfully completed
2014 Sales: €1,042 m; EBIT: €59 m
Before special items
Total Return: Fresenius outperforms index
Dec 31, 2004 − Dec 31, 2014
1993-2013 stock split-adjusted; 2013 pre split: €1.25
Source: Bloomberg; dividends reinvested
| i d G a n c e u |
N e w |
|||
|---|---|---|---|---|
| i F r e s e n u s b i K a |
l h S t i a e s g r o w o g a n c r h E B I T t t t g o r w c o n s a n c u r r e n c y |
8 6 % % – 1 8 % 2 1 % – |
8 % ~ 1 9 % 2 2 % – |
|
| i F e s e n s r u l i H e o s |
S l h t i a e s g r o w o g a n c r l h S t d t a e s g o r w r e p o r e E B I T |
3 % % 5 – 6 % 9 % – € 6 3 0 6 0 5 m – |
3 % % 5 – 6 % 9 % – € 6 3 0 6 0 5 m – |
|
| i F r e s e n u s d V a m e |
l h S t i a e s g o r w o r g a n c h E B I T t g r o w |
l d i i i % t s n g e g – % 0 % 5 1 – |
5 % 1 0 % – % 0 % 5 1 – |
| G i d u a n c e |
N e w |
||
|---|---|---|---|
| h R t e v e n u e g r o w t t t a c o n s a n c e n c u r r y |
8 % 1 0 % ‒ |
8 % 1 0 % ‒ |
|
| 1 h i N t t e n c o m e g o r w t t t a o n s a n e n c c u r r c y |
8 % 2 % 1 1 – |
2 0 % 2 2 % – |
1 Net income attributable to shareholders of Fresenius SE& Co.KGaA; 2015 before integration costs for hospitals of Rhön-Klinikum AG (€12 m before tax), before costs for efficiency program at Fresenius Kabi (~€100 m before tax) and disposal gains from the divestment of two HELIOS hospitals (€34 m before tax); 2014 before special items
Outlook Update for 2015 and Beyond
Dividend increase > 20%
2017 net income target (€1.4 to €1.5 bn) will be reached2 years ahead of schedule
New mid-term targets in February 2016
~€30 billion Sales; €1.4 to €1.5 billion Net Income
Roadshow Boston, Fresenius SE & Co. KGaA, Investor Relations © Copyright, November 3, 2015
Page 13 Before special items
| / Q 3 1 5 |
/ Q 1 3 1 5 - |
||
|---|---|---|---|
| l S a e s |
h G t o c c r w h l G t t t r o w a c u a r a e s |
€ 6 9 0 4 m , 7 % 1 6 % |
€ 2 0 3 6 9 m , 1 1 % 2 2 % |
| 1 E B I T |
G h t o r w c c h l G t t t o a c a a e s r w u r |
€ 1 0 2 7 m , 2 % 1 2 % 5 |
€ 2 8 4 9 m , % 1 4 2 8 % |
| 1 i N t e n c o m e |
h G t o c c r w h l G t t t r o w a c u a r a e s |
€ 3 6 7 m 2 0 % 3 1 % |
€ 0 0 9 1 m , 1 9 % 3 1 % |
Before special items
For a detailed overview of special items please see the reconciliation tables on slides 32 – 33.
Roadshow Boston, Fresenius SE & Co. KGaA, Investor Relations © Copyright, November 3, 2015
| / Q 3 1 5 |
h G t o r w Q 3 Y Y o |
/ Q 1 3 1 5 - |
h G t o r w Q 3 1 Y Y o - |
|
|---|---|---|---|---|
| l S a e s E B I T |
\$ U S 4 2 3 1 m , \$ U S 6 1 4 m |
3 % 4 % |
\$ U S 1 2 3 9 0 m , \$ U S 1, 6 6 5 m |
8 % 5 % |
| l S a e s 1 E B I T |
€ 1, 4 9 9 m € 3 0 1 m |
1 6 % 3 5 % |
€ 4 4 3 1 m , 8 € 7 2 m |
1 8 % 8 3 % |
| l S a e s 1 E B I T |
€ 1, 3 9 3 m € 1 6 5 m |
2 % 1 2 % |
€ 4 1 6 7 m , € 4 7 2 m |
7 % 1 9 % |
| l S a e s E B I T |
€ 2 6 8 m € 1 4 m |
4 % 1 7 % |
€ 7 3 1 m € 3 0 m |
1 2 % 1 1 % |
Before special items
For a detailed overview of special items please see the reconciliation tables on slides 32 – 33.
Roadshow Boston, Fresenius SE & Co. KGaA, Investor Relations © Copyright, November 3, 2015
Fully on track to meet FY organic sales growth guidance of 3 – 5%
| G h t r o w |
Q 3 Y Y o |
G h t r o w |
Q 3 1 Y Y o - |
|||
|---|---|---|---|---|---|---|
| € m |
/ Q 3 1 5 |
l t a c u a t r a e s |
t t c o n s a n t r a e s |
/ Q 1 3 1 5 - |
l t a c u a t r a e s |
t t c o n s a n t r a e s |
| l S a e s |
6 9 4 0 , |
1 6 % |
7 % |
2 0 3 6 9 , |
2 2 % |
1 1 % |
| 1 E B I T |
1 0 2 7 , |
2 % 5 |
1 2 % |
2 8 9 4 , |
2 8 % |
1 % 4 |
| N i t t t e n e r e s |
1 4 6 - |
1 % |
1 0 % |
4 7 6 - |
1 0 % - |
1 % |
| 1 I t n o m e e c a x s |
2 6 2 - |
3 3 % - |
9 % 1 - |
0 3 7 - |
3 3 % - |
% 1 7 - |
| 2 N i t e n c o m e |
3 6 7 |
3 1 % |
2 0 % |
1 0 0 9 , |
3 1 % |
1 9 % |
1 Before special items
2Net income attributable to shareholders of Fresenius SE & Co. KGaA; before special items
For a detailed overview of special items please see the reconciliation tables on slides 32 – 33.
| € m |
/ Q 3 1 5 |
O i r g a n c h G t r o w Q 3 Y Y o |
/ Q 1 3 1 5 - |
O i r g a n c h G t r o w Q 1 3 Y Y o - |
|---|---|---|---|---|
| I. V D r u g s |
6 1 1 |
2 3 % |
8 1 0 2 , |
1 9 % |
| l l C i i N i i t t n c a u r o n |
3 9 5 |
5 % |
1 1 6 7 , |
7 % |
| f h I i T n u s o n e r a p y |
2 3 6 |
3 % |
7 0 4 |
1 % |
| d l / M i D i e c a e v c e s f h l T i T r a n s u s o n e c n o o g y |
2 5 7 |
1 % - |
7 5 8 |
1 % - |
| l l T t o e a s a s |
9 9 1 4 , |
0 % 1 |
3 4 4 1 , |
9 % |
| € m |
Q 3 / 1 5 |
O i r g a n c G h t r o w Q 3 Y Y o |
Q 3 / 1 1 5 - |
O i r g a n c G h t r o w Q 1 3 Y Y o - |
|---|---|---|---|---|
| E o p e u r |
5 1 4 |
% 4 |
6 6 1 5 , |
% 4 |
| h i N t A o m e c a r r |
2 9 5 |
2 2 % |
1 5 5 5 , |
6 % 1 |
| f A i P i i s a a c c - |
2 9 8 |
4 % |
8 6 2 |
4 % |
| / f L i A i A i t a n m e r c a r c a |
1 5 8 |
1 4 % |
4 4 8 |
1 2 % |
| l l T t o e a s a s |
9 9 1 4 , |
0 % 1 |
3 4 4 1 , |
9 % |
| € m |
Q 3 / 1 5 |
G h t r o w Q 3 Y Y o |
Q 3 / 1 1 5 - |
G h t r o w Q 3 1 Y Y o - |
|---|---|---|---|---|
| E o p e u r i M a r g n |
8 3 6. % 1 1 |
8 % 0 b 1 1 p s |
2 5 7 6. % 1 4 |
3 % 1 6 0 b 1 p s |
| h N A i t o r m e r c a M i a r g n |
2 0 2 3 8. 2 % |
2 % 5 2 0 b 4 p s |
6 0 5 3 8. 9 % |
% 4 4 0 b 1 4 p s |
| f / / f A i P i i L i A i A i t s a a c c a n m e r c a r c a - M i a g n r |
9 2 2 0. 2 % |
2 8 % b 2 6 0 p s |
2 2 5 1 7. 2 % |
2 5 % b 9 0 p s |
| C d C & R D t t o p o a e a n o p o a e r r r r |
6 7 - |
2 9 % - |
2 1 5 - |
2 % 1 - |
| l T E B I T t o a t t t a c o n s a n c u r r e n c y M i a r g n |
3 0 1 2 0 1 % |
3 % 5 1 9 % |
8 2 7 1 9 7 % |
3 8 % 1 9 % |
EBIT before special items
For a detailed overview of special items please see the reconciliation tables on slides 32 – 33.
| € m |
Q 3 / 1 5 |
G h t r o w Q 3 Y Y o |
Q 3 / 1 1 5 - |
h G t r o w Q 1 3 Y Y o - |
|---|---|---|---|---|
| b l h d l f l E i i i i t t s a s e c n c p o r o o |
3 8 1 7 , |
2 % |
3 9 0 7 , |
3 % |
| A i i i t c q u s o n s ( l i d i 1 ) t < c o n s o a o n y r |
6 | 9 1 7 |
||
| l l T t o a s a e s |
3 9 3 1 , |
2 % |
6 4 1 7 , |
% 7 |
| € m |
Q 3 / 1 5 |
G h t r o w Q 3 Y Y o |
Q 3 / 1 1 5 - |
G h t r o w Q 1 3 Y Y o - |
|---|---|---|---|---|
| l l T t o a s a e s |
3 9 3 1 , |
2 % |
6 4 1 7 , |
% 7 |
| E B I T |
||||
| b l h d l f l E i i i i t t s a s e c n c p o r o o M i a r g n |
6 1 5 1 1. 9 % |
2 % 1 1 1 0 b p s |
6 3 4 1 1. 7 % |
% 1 7 1 5 0 b p s |
| A i i i t c q u s o n s |
0 | 9 | ||
| ( l d ) i i 1 t < c o n s o a o n y r M i a g n r |
0 % |
4 6 % |
||
| l T E B I T t o a |
1 6 5 |
1 2 % |
4 7 2 |
1 9 % |
| i M a r g n |
8 % 1 1. |
0 0 b 1 p s |
3 % 1 1. |
0 b 1 1 p s |
EBIT before special items
For a detailed overview of special items please see the reconciliation tables on slides 32 – 33.
| / Q 1 3 1 5 - |
/ Q 1 3 1 4 - |
h C a n g e |
|
|---|---|---|---|
| 1 f h l N i t o o o s p a s l A i i t c e c a e c n c s u r - P l i i t- t o s a c u e c a r e c n c s - |
1 1 1 8 7 2 4 |
0 1 1 8 6 2 4 |
% 1 1 % 0 % |
| 1 f b d N o o e s l A i i t c e c a e c n c s u r - l P i i t- t o e e n s a c u c a r c c s - |
3 3 4 1 5 , 2 9, 1 5 3 5, 1 6 2 |
3 8 8 4 1 , 2 9, 0 6 8 5, 1 2 0 |
0 % 0 % 1 % |
| d i i A m s s o n s ( ) A i i t t t c e c a e n p a e n u r - |
8 9 1, 6 5 4 |
8 5 0, 7 7 5 |
5 % |
| O p a n c c u c y P t- t o e e s a c u c a r - |
8 4 % |
8 4 % |
|
| f l h ( d ) A t t e a g e e n g o s a a s v r y y 2 A t e e c u c a r - P t- t o s a c u e c a r e - |
6. 5 2 6. 5 |
6. 6 2 6. 6 |
1December 31, 2014
2German average (2013): 7.5
| i f l i Y P t e a s n o o o r r |
|||||||||
|---|---|---|---|---|---|---|---|---|---|
| 1 < |
1 | 2 | 3 | 1 4 |
5 | 6 | 6 > |
1 l T t o a |
|
| f l N i i o. o c n c s |
- | - | 2 1 |
3 | 0 4 |
- | 6 | 9 4 |
1 1 1 |
| ( € ) R e v e n u e m |
- | - | 0 4 1 |
6 0 1 |
9 9 1, 7 |
- | 2 0 5 |
2, 5 1 5 |
0 8 0 5, |
| T t a r g e |
|||||||||
| ( % ) E B I T i m a r g n |
- | 2. 0 |
0 4 |
6. 0 |
8. 0 |
0. 0 1 |
2. 0 1 |
2. 0- 0 1 1 5. |
|
| ( ) E B I T € m |
- | - | 1 6. 0 |
9 6 |
1 4 3. 9 |
- | 2 4 6 |
8 3 0 1. |
4 9 5. 9 |
| d R t e p o r e |
|||||||||
| ( % ) E B I T i m a r g n |
- | - | 8. 1 |
8 4 |
9 7. |
- | 8. 8 |
3. 1 5 |
0. 6 1 |
| ( ) E B I T € m |
- | - | 3 2. 4 |
7. 7 |
1 4 1. 2 |
- | 8. 1 0 |
8. 3 3 3 |
5 3 7. 6 |
| f l N i i t t > o. o c n c s a r g e |
- | - | 8 | 1 | 9 1 |
- | 2 | 2 2 |
2 5 |
| f l N i i t t < o. o c n c s a r g e |
- | - | 4 | 2 | 2 1 |
- | 4 | 2 7 |
8 5 |
1 includes all hospitals acquired from Rhön Klinikum, €29 m integration costs allocated to individual hospitals.
Roadshow Boston, Fresenius SE & Co. KGaA, Investor Relations © Copyright, November 3, 2015
| € m |
/ Q 3 1 5 |
G h t r o w Q 3 Y Y o |
/ Q 1 3 1 5 - |
G h t r o w Q 3 1 Y Y o - |
|---|---|---|---|---|
| b P j i t o e s n e s s r c u b S i i e c e s n e s s r v u |
1 3 1 1 3 7 |
2 % - 1 0 % |
3 3 3 3 9 8 |
9 % 1 4 % |
| l l T t o a s a e s |
2 6 8 |
4 % |
7 3 1 |
1 2 % |
| l T E B I T t o a M i a r g n |
1 4 2 % 5. |
% 1 7 0 b 5 p s |
3 0 1 % 4 |
% 1 1 0 b p s |
| 1 O d k i t r e r n a e 1 O d b k l r e r a c o g |
9 2 1 |
9 % 4 - |
6 4 7 2 8 1 5 , |
3 0 % - 2 9 % |
Project business only
2December 31, 2014
Pro forma acquisitions; before special items
2Pro forma excluding advances made for the acquisition of hospitals from Rhön-Klinikum AG; before special items
3Before special items; without major acquisitions
| € m |
i O C F t p e r a n g |
C a p e x |
( ) t n e |
1 h l F C F r e e a s o w |
|||
|---|---|---|---|---|---|---|---|
| L T M S t. 3 0 e p |
i L T M M a r g n |
L T M S t. 3 0 e p |
i L T M M a r g n |
L T M S t. 3 0 e p |
i L T M M a r g n |
||
| 7 9 8 |
1 3 7 % |
3 3 7 - |
5 8 % - |
4 6 1 |
7 9 % |
||
| 0 5 4 |
9 8 % |
2 8 5 - |
% 4 7 - |
2 8 2 |
3 1 % 5 |
||
| 9 - |
0 8 % - |
1 1 - |
1 0 % - |
2 0 - |
1 8 % - |
||
| / Co te rp or a O he t r |
6 1 - |
n a |
9 - |
n a |
2 5 - |
n a |
|
| l. F M C ex c |
1 3 1 3 , |
2 1 1 2 % |
6 1 5 - |
5 0 % - |
6 9 8 |
2 6 2 % |
|
| G ro up |
3 0 4 1 , |
1 1 3 % |
1 4 0 7 - , |
5 2 % - |
1 6 3 4 , |
6 1 % |
1 Before acquisitions and dividends
2 Margin incl. FMC dividend
3 Understated: 5.8% excluding €37 million of capex commitments from acquisitions
Roadshow Boston, Fresenius SE & Co. KGaA, Investor Relations © Copyright, November 3, 2015
Margin = in % of sales
The Group's U.S. GAAP financial results as of September 30, 2015 and September 30, 2014 comprise special items. Net income attributable to shareholders of Fresenius SE & Co.KGaA was adjusted for these special items. The table below shows the special items and the reconciliation from net income (before special items) to earnings according to U.S. GAAP.
| Q 3/ 20 15 be for cia l e s pe ite ms |
eff ici en cy pro gra m |
int rat ion eg fo sts co r ire d R hö ac qu n ho ita ls sp |
Q 3/ 20 15 rdi to ac co ng U.S . G AA P ( inc l. s cia l pe ite ) ms |
Q 3/ 20 14 be for cia l e s pe ite ms |
Fe al nw int ion rat eg sts co |
int rat ion eg fo sts co r ire d R hö ac qu n ho ita ls sp |
Q 3/ 20 14 rdi to ac co ng U.S . G AA P ( inc l. s cia l pe ite ) ms |
|
|---|---|---|---|---|---|---|---|---|
| €m | ||||||||
| le Sa s |
6, 9 4 0 |
6, 9 4 0 |
5, 9 7 8 |
5, 9 7 8 |
||||
| E B I T |
1, 0 2 7 |
-1 0 |
-4 | 1, 0 1 3 |
8 2 0 |
-3 | -4 | 8 1 3 |
| l In te t r t re s es u |
6 -1 4 |
6 -1 4 |
8 -1 4 |
8 -1 4 |
||||
| in be fo Ne t ta co m e re xe s |
8 8 1 |
-1 0 |
-4 | 8 6 7 |
6 7 2 |
-3 | -4 | 6 6 5 |
| In ta co me xe s |
-2 6 2 |
4 | -2 8 5 |
-1 9 7 |
1 | 1 | -1 9 5 |
|
| in Ne t co m e |
6 1 9 |
-6 | -4 | 6 0 9 |
4 7 5 |
-2 | -3 | 4 7 0 |
| Le l l ing in tro te t ss no nc on re s |
-2 5 2 |
-2 5 2 |
-1 9 4 |
-1 9 4 |
||||
| in i bu b le Ne t t tr ta to co m e a ha ho l de f Fr iu re o es en s rs s S E & Co K Ga A |
3 6 7 |
-6 | -4 | 3 5 7 |
2 8 1 |
-2 | -3 | 2 7 6 |
The special items are reported in the Group Corporate/Other segment.
The Group's U.S. GAAP financial results as of September 30, 2015 and September 30, 2014 comprise special items. Net income attributable to shareholders of Fresenius SE & Co.KGaA was adjusted for these special items. The table below shows the special items and the reconciliation from net income (before special items) to earnings according to U.S. GAAP.
| €m | Q 1-3 / 20 15 be for e ial sp ec ite ms |
eff ici en cy pro gra m |
int rat ion eg fo sts co r ire d ac qu Rh ön ho ita ls sp |
dis l po sa ins fr ga om tw o HE LIO S ho ita ls sp |
Q 1-3 / 20 15 rdi ac co ng to U.S ( inc l. GA AP ial sp ec ite ) ms |
Q 1-3 / 20 14 be for e ial sp ec ite ms |
Fe al nw int ion rat eg sts co |
int rat ion eg fo sts co r ire d ac qu Rh ön ho ita ls sp |
dis l po sa ins fr ga om tw o HE LIO S ho ita ls sp |
dis l po sa in fro ga m Rh ön ke sta |
Q 1-3 / 20 14 rdi ac co ng to U.S . G AA P ( inc l. ial sp ec ite ) ms |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Sa le s |
2 0, 3 6 9 |
2 0, 3 6 9 |
6, 1 7 1 1 |
6, 1 7 1 1 |
|||||||
| E B I T |
2, 8 4 9 |
-5 0 |
-1 2 |
3 4 |
2, 8 2 1 |
2, 2 2 3 |
-6 | -1 2 |
2 2 |
3 5 |
2, 2 6 2 |
| In l te t r t re s es u |
-4 7 6 |
-4 7 6 |
-4 3 1 |
-4 3 1 |
|||||||
| in be fo Ne t ta co m e re xe s |
3 3 2, 7 |
0 -5 |
-1 2 |
3 4 |
3 2, 4 5 |
9 1, 7 2 |
-6 | -1 2 |
2 2 |
3 5 |
8 3 1, 1 |
| In ta co me xe s |
-7 0 3 |
1 6 |
2 | -6 8 5 |
-5 2 9 |
2 | 3 | -1 | -1 | -5 2 6 |
|
| in Ne t co m e |
6 0 1, 7 |
-3 4 |
0 -1 |
3 4 |
6 6 0 1, |
2 6 3 1, |
-4 | -9 | 2 1 |
3 4 |
3 0 1, 5 |
| l l Le tro ing in te t ss no nc on re s |
-6 6 1 |
-6 6 1 |
-4 9 5 |
-4 9 5 |
|||||||
| Ne in i bu b le t t tr ta co m e a ha ho l de f to s re rs o iu S & Co Ga Fr E K A es en s |
1, 0 0 9 |
-3 4 |
-1 0 |
3 4 |
9 9 9 |
7 6 8 |
-4 | -9 | 2 1 |
3 4 |
8 1 0 |
The special items are reported in the Group Corporate/Other segment.
Number of shares1 544,999,890 Ticker symbol FRE Bloomberg symbol FRE GR Reuters symbol FREG.de
WKN / ISIN 578560 / DE0005785604
Ticker symbol FSNUY Depositary bank Deutsche Bank
Ratio 4 ADRs = 1 ordinary share ADR CUSIP / ISIN 35804M105 / US35804M1053 Exchange OTCQX International Premier Structure Sponsored Level I ADR
As of September 30, 2015
| 2 4 0 2 2 0 1 6 |
R F Y 2 0 1 5 t e p o r o n |
|---|---|
| 0 3 0 5 2 0 1 6 |
t R 1 2 0 1 6 t t s e p o r o n q u a r e r |
| 1 3 0 5 2 0 1 6 |
l l k f / A G M i F M i t t n n u a e n e r a e e n g r a n u r a n , |
| 0 2 0 8 2 0 1 6 |
d R 2 2 0 1 6 t t n e p o o n q a e r u r r |
| 2 7 1 0 2 0 1 6 |
d R 3 2 0 1 6 t t r e p o o n q a e r u r r |
Please note that these dates could be subject to change.
Investor RelationsFresenius SE & Co. KGaA
| h p o n e : |
9 6 2 6 0 8 2 8 4 1 7 4 7 + - |
|---|---|
| i l e -m a : |
f f i @ i e e e n o m r- r r s u s. c |
For further information and current news: http://www.fresenius.com
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