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Fresenius SE & Co. KGaA

Earnings Release Oct 29, 2015

166_ip_2015-10-29_3bf83391-c107-4a41-8654-a95ab7f1ebac.pdf

Earnings Release

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Conference Call – Q3/2015 Results

October 29, 2015

Safe Harbor Statement

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.

Fresenius Group: Financial Results

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1Before special items

For a detailed overview of special items please see the reconciliation tables on slides 26 – 27.

Conference Call – Q3/15 Results, Fresenius SE & Co. KGaA, Investor Relations © Copyright, October 29, 2015

Fresenius Group: Financial Results by Business Segment

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1Before special items

For a detailed overview of special items please see the reconciliation tables on slides 26 – 27.

Conference Call – Q3/15 Results, Fresenius SE & Co. KGaA, Investor Relations © Copyright, October 29, 2015

Q3 Business Segment Update

Continued strong sales and EBIT growth

Regional development

North America

  • IV drug shortages situation largely unchanged from Q2
  • 7 product launches YTD
  • Expected 2015 organic sales growth range 13 15%

Europe

Fully on track to meet FY organic sales growth guidance of 3 – 5%

Emerging Markets

  • Expected 2015 Emerging Market organic sales growth in the mid to high single-digits
  • China: High single-digit organic sales growth expected for FY/2015
  • Latin America: Double-digit organic sales growth expected for FY/2015

Kabi efficiency program

  • €100 m efficiency program fully on track;
  • €50 m booked in Q1-3, remainder of approx. €50 m to be recorded in Q4/2015

Q3 Business Segment Update

Hospital business fully on track

  • Further sequential margin expansion (20 bps) reflects continued successful integration of acquired Rhön hospitals
  • Ongoing favorable reimbursement environment in 2016; DRG inflator set at 2.95%, final price increase will be lower, as it is subject to negotiations at the state level and surplus treatments continue to be reimbursed at a discount

Continued organic sales growth

  • Service business (+9%) drives organic sales growth in Q3
  • Strong order intake of €192 m in Q3
  • New market entry in Bolivia (turnkey project €56 m)

Group Financials Q3/15 − Outlook 2015

Fresenius Group: Profit and Loss Statement

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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 26 – 27.

Fresenius Kabi: Strong EBIT Growth


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EBIT before special items

For a detailed overview of special items please see the reconciliation tables on slides 26 – 27.

Fresenius Helios: Strong EBIT margin increase


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For a detailed overview of special items please see the reconciliation tables on slides 26 – 27.

Cash Flow Development


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1 Before acquisitions and dividends

2 Margin incl. FMC dividend

3 Understated: 5.8% excluding €37 million of capex commitments from acquisitions

Fresenius Group: New Outlook for Fresenius Kabi and Fresenius Vamed

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Fresenius Group: Earnings guidance increased

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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

Attachments

Fresenius Group: Overview – Calculation of Noncontrolling Interest


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1
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1
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--

Margin = in % of sales

Cash Flow Development LTM as of September 30


m
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1

1 Before acquisitions and dividends

2 Margin incl. FMC dividend

3 Understated: 5.8% excluding €37 million of capex commitments from acquisitions

Conference Call – Q3/15 Results, Fresenius SE & Co. KGaA, Investor Relations © Copyright, October 29, 2015

Margin = in % of sales

Fresenius Group: Leverage Ratio

1Pro 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

Fresenius Kabi: Strong Organic Sales Growth


m
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Fresenius Kabi: Strong Organic Sales Growth


m
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Fresenius Helios: Sales Growth


m
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Fresenius Helios: Performance Indicators

Q
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6.
5
6.
6
2
6.
6

1December 31, 2014

2German average (2013): 7.5

Fresenius Helios: Sales Influence Hospital Acquisitions / Divestitures

A
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Fresenius Vamed: Strong Sales Growth


m
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4
7
6
1
5
2
8
,
3
0
%
-
2
9
%

Project business only

December 31, 2014

Fresenius Group: Key Figures According to IFRS


m
/
Q
1
3
1
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A
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1
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1
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4
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2
7
7
,

1Before special items

2Net income attributable to shareholders of Fresenius SE & Co. KGaA

3Net income attributable to shareholders of Fresenius SE & Co. KGaA, before special items

Reconciliation according to U.S. GAAP Q3 2015 / Q3 2014

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 Q3
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01
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The special items are reported in the Group Corporate/Other segment.

Reconciliation according to U.S. GAAP Q1-3 2015 / Q1-3 2014

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 Q1
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20
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The special items are reported in the Group Corporate/Other segment.

Share Information

Share key facts

Number of shares1 544,999,890 Ticker symbol FRE Bloomberg symbol FRE GR Reuters symbol FREG.de

WKN / ISIN 578560 / DE0005785604

ADR key facts

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

1As of September 30, 2015

Financial Calendar 2016

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Please note that these dates could be subject to change.

Contact

Investor RelationsFresenius SE & Co. KGaA

phone: +49 6172 608-2487 e-mail: [email protected]

For further information and current news: http://www.fresenius.com

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