Investor Presentation • Jan 14, 2008
Investor Presentation
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New York, January 14, 2008
This presentation includes certain forward-looking statements. Actual results could differ materially from those included in the forward-looking statements due to various risk factors and uncertainties, including changes in business, economic competitive conditions, regulatory reforms, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings and the availability of financing. These and other risks and uncertainties are detailed in the Company's reports filed with the Securities and Exchange Commission and the German Exchange Commission "Deutsche Börse".
1. Business Update
2. Financials and Outlook
3. Midterm Strategy
4. Attachments
* including clinics where FME has an interest of at least 10%
| ( lu d ing im i in ) -t te 2 0 0 6 ex c o ne e ms |
||
|---|---|---|
| R e e n e v u |
\$ 1 5 1 7 m , |
1 6 % + |
| N i t |
\$ 5 2 0 |
3 5 % |
| e n c o m e |
m | + |
| E i h a r n n g s p e r s a r e |
\$ 1 6 7 |
3 4 % + |
| \$ i i l l i n m o n s |
9 M 2 0 0 6 |
9 M 2 0 0 7 |
G h t r o w |
c c |
|---|---|---|---|---|
| 1) N h A i t o r m e r c a |
3 9 9 5 , |
4 4 7 6 , |
1 3 % |
|
| I i l t t n e r n a o n a |
6 6 9 |
8 8 0 |
3 2 % |
2 4 % |
| 1) T l t o a |
4 6 2 8 , |
5 3 5 7 , |
1 6 % |
1 5 % |
1) Q3 2006 revenue adjusted for sale of perfusion business in the amount of US\$ 27 m
cc = constant currency
| \$ i i l l i n m o n s |
9 M 2 0 0 6 |
9 M 2 0 0 7 |
G h t r o w |
c c |
|---|---|---|---|---|
| T l t o a r e v e n u e ( i l. I l R ) t n c n e r n a e v e n u e |
1 9 8 8 , |
2 3 6 0 , |
1 9 % |
1 4 % |
| E l t x e r n a r e v e n u e |
1 1 9 5 , |
1 7 9 4 , |
1 8 % |
1 3 % |
| N h A i t o r m e r c a |
4 0 8 |
4 8 1 |
1 8 % |
1 8 % |
| I i l t t n e r n a o n a |
1 1 1 1 , |
1 3 1 3 , |
1 8 % |
1 1 % |
* Excluding one-time items. A reconciliation to the most directly comparable US-GAAP financial measure is provided in the attachment.
X Strong growth in products well above market of 18% X PhosLo sales fully in line with expectations
being up +79%, y-o-y
X 5008 HD machine unit sales up 135%, y-o-y
X Strong Revenue/treatment despite EPO discussion
X Service Growth in Eastern Europe of 18%cc, ytd
X Strong treatment growth in Q3 of 119% (14% excl. Jiate Excelsior)
| \$ i i l l i n m o n s |
M 9 2 0 0 6 |
9 M 2 0 0 7 |
|
|---|---|---|---|
| * | |||
| N t e r e e n e v u |
6 1 4 7 , |
1 5 1 7 , |
1 6 % + |
| O i i ( E B I T ) t p e r a n g n c o m e |
9 3 6 |
1 1 5 2 , |
2 3 % + |
| E B I T i i % m a r g n n |
1 2 5 |
1 6. 1 |
|
| I t t t n e r e s e p e n s e, n e x |
2 4 1 |
2 8 1 |
|
| I b f i t n c o m e e o r e n c o m e a x |
6 9 5 |
8 1 7 |
2 % 5 + |
| I t n c o m e a x e x p e n s e |
2 8 0 |
3 3 1 |
|
| T t a r a e x |
4 0 % |
3 8 % |
|
| M i i I t t t n o r y n e r e s |
1 0 |
2 0 |
|
| N i t e n c o m e |
4 0 5 |
5 2 0 |
2 8 % + |
* 14% growth at constant currency, 7% organic growth
1) Excluding one-time items in 2006
| \$ i i l l i n m o n s |
9 M 2 0 0 6 |
9 2 0 0 7 m |
|
|---|---|---|---|
| 1) N h i d d b i i i i t t t t e c a s p r o e o p e r a n g a c e s v y v |
6 6 3 |
8 9 0 f r 1 2. 4 % o ev en ue |
3 4 % + |
| C ( ) i l d i t t t a p a e x p e n u r e s n e |
( ) 2 3 7 |
( ) 3 6 4 |
|
| C F h F l r e e a s o w |
3 9 0 |
5 2 6 |
3 % 5 + |
| A i i i t c q s o n s u |
( ) 4 4 |
( ) 1 1 0 |
|
| F C h F l f i i i t t r e e a s o a e r a c q s o n s w u |
3 4 6 |
4 1 6 |
1) Excluding one-time effects in 2006
* Including non-cash charges and excluding restructuring costs, in-process R&D and gain from the sale of dialysis clinics.
* CAGR = Compound Annual Growth Rate
| \$ i i l l i n m o n s |
G i d 2 0 0 7 a n c e u |
|---|---|
| N R t e e v e n u e s |
9 5 0 0 > |
| N I t e n c o m e |
5 5 6 8 7 0 - |
| L i t e e r a g e r a o v ( / ) D b E B I T D A t e |
3 0 < |
| C E d i i i t a p a n a c q s o n s x u |
6 5 0 ~ |
X Clearly on Track for the Upper End of Net Income Guidance
X Leverage Ratio Target already Achieved after Nine Months
* Number of Patients Treated Q3 2007
15%
| N h A i t o r m e r c a |
3 % |
i L t a i A m e r |
n c a |
|---|---|---|---|
| E r o p e u |
4 5 % - |
1 2 % |
E M E A 2 9 % |
| i i L A t a n m e r c a |
1 0 % |
/ A i s a i f i P a c c |
|
| A i P i f i s a a c c - |
6 % |
3 5 % |
N h A i t o r m e r c a |
| i W l d d o r w e |
5 6 % - |
2 4 % |
|
| J a p a n |
Renal Pharma
Expansion of Clinic Network Revenue Growth per Year
Reimbursement Based on Quality
Increased Product Market Share
Product & Service Innovation
Global Patient Growth
| N h A i t o r m e r c a |
6 % |
|---|---|
| E u r o p e |
1 0 % |
| A i P i f i s a a c c - |
1 5 % |
~10-15% per Year
| D b t e |
Q 3 2 0 0 7 |
F Y 2 0 0 6 |
F Y 2 0 0 5 |
F Y 2 0 0 4 |
F Y 2 0 0 3 |
|---|---|---|---|---|---|
| 1) S ho bo ing ( inc l. A / R ) t te r rm rro w s p ro g ra m |
7 6 |
3 3 1 |
1 5 1 |
4 1 9 |
9 0 |
| S ho bo ing fro la d p ies t te te t r rm rro w s m re ar + |
4 6 |
5 | 1 9 |
6 | 3 0 |
| Cu ion f lon de b d c i l lea b l ig ion t p t te t a ta t + rre n or o g- rm n ap se o a s |
4 6 |
1 6 0 |
1 2 6 |
2 3 0 |
9 0 |
| Cu Se ion f Tr Pr fe d i ies t p t t t rre n or o us e rre cu r + |
6 6 5 |
||||
| Lo de b d c i l lea b l ig ion les ion -te t a ta t t p t ng rm n ap se o a s, s c ur re n or + |
4, 0 3 2 |
3, 8 2 9 |
7 0 7 |
5 4 5 |
1, 1 1 2 |
| Tr Pr fe d Se i ies ( f c ion ) t t t o t p t + us e rre cu r ne ur re n or |
6 4 8 |
5 1, 2 4 |
1, 1 8 8 |
1, 2 7 9 |
1, 2 4 2 |
| iva i iza ion Ac ts b le t t co un rec e se cu r p ro g ra m + |
0 | 0 | 0 | 0 | 1 5 8 |
| To l de b ta t = |
1 3 5, 5 |
9 5, 5 7 |
2, 1 9 1 |
2, 4 9 7 |
2, 2 2 7 |
All numbers are in \$ millions
| E B I T D A |
2) Q 3 2 0 0 7 |
2) F Y 2 0 0 6 (pr o f ) orm a |
F Y 2 0 0 5 |
F Y 2 0 0 4 |
F Y 2 0 0 3 |
|---|---|---|---|---|---|
| La lve hs ing inc ( E B I T ) t tw t t s e m on o p er a om e |
1, 5 3 3 |
1, 3 6 7 |
9 3 9 |
8 5 2 |
7 5 7 |
| La lve hs de ia ion d a iza ion t tw t t t t + s e m on p rec an mo r |
3 4 7 |
3 2 6 |
2 5 1 |
2 3 3 |
2 1 6 |
| No h c ha + n-c as rg es |
3 7 |
3 5 |
1 4 |
1 3 |
1 3 |
| ( ) E B I T D A l ize d an nu a = |
1, 9 1 7 |
1, 7 2 8 |
1, 2 0 4 |
1, 0 9 8 |
9 8 6 |
1) A/R securitization program off-balance sheet in 2003 and included in short term borrowings from 2004 onwards 2) Excluding restructuring costs and in-process R&D
| E l R t x e r n a e v e n u e |
Q 3 2 0 0 7 |
Q 3 2 0 0 6 |
h t g row |
cc |
|---|---|---|---|---|
| In io l du te t t r rn a na p ro c ev en ue |
5 2 4 |
4 3 9 |
1 9 % + |
1 1 % + |
| In l re te rna ve nu e - |
( 6 ) 5 |
( 0 ) 5 |
||
| Ex l r te rn a ev en ue = |
4 5 9 |
3 8 9 |
1 8 % + |
9 % + |
| ica No t h Am du t r r er p ro c ev en ue |
2 9 7 |
2 6 8 |
1 1 % + |
|
| In l re te rna ve nu e - |
( 1 3 0 ) |
( 1 2 ) 7 |
||
| Ex l r te rn a ev en ue = |
1 6 7 |
1 4 1 |
1 8 % + |
|
| T O T A L du t r p ro c ev en ue |
8 2 1 |
0 7 5 |
1 6 % + |
1 1 % + |
| In l re te rna ve nu e - |
( 1 9 6 ) |
( 1 7 5 ) |
||
| Ex te l r rn a ev en ue = |
6 2 5 |
5 3 0 |
1 8 % + |
1 2 % + |
| C ( ) i l d i t t t a p a e x p e n u r e n e |
9 M 2 0 0 7 |
Q 3 2 0 0 7 |
Q 3 2 0 0 6 |
9 M 2 0 0 6 |
| Pu ha f p lan d ip ty t a t rc se o ro p er p n eq u m en , |
3 8 6 |
1 3 4 |
1 1 5 |
2 8 8 |
| Pr ds fro le f p lan d ip ty t a t oc ee m sa o ro p er p n eq u m en - , |
( 2 2 ) |
( 1 1 ) |
( 2 ) |
( 1 5 ) |
| Ca ( ) i l e d i ta tu t p xp en re ne = |
3 6 4 |
1 2 3 |
1 1 3 |
2 7 3 |
cc = constant currency
| O i f b f i i t t t p e r a n g p e r o r m a n c e e o r e o n e- m e e m s |
Q 3 2 0 0 7 |
Q 3 2 0 0 6 |
h t g row |
|
|---|---|---|---|---|
| Op ing inc ( E B I T ) t er a om e |
3 9 7 |
3 4 9 |
1 4 % |
|
| Ga in fro d ive i in t tu tru tu m s re re s c r g + |
0 | 6 | ||
| Op ing inc ( E B I T ) be fo im i t t te er a om e re on e- e- ms |
3 9 7 |
3 5 5 |
1 2 % |
|
| Ne in t co me |
1 8 1 |
1 3 9 |
3 0 % |
|
| fro ive i in Lo d t tu tru tu ss m s re re s c r g , |
0 | 4 | ||
| fo Ne inc be im i t t te om e re on e- e- ms |
1 8 1 |
1 4 3 |
2 7 % |
| P f i & L A t t r o o s s c c o u n |
Q 3 2 0 0 6 |
On im i t tem e- e s |
Q 3 2 0 0 6 lu d ing im i t tem ex c on e- e s |
|---|---|---|---|
| Ne t r ev en ue |
2, 2 3 4 |
2, 2 3 4 |
|
| Op in in ( E B I T ) t er a g co me |
3 4 9 |
* 6 |
5 5 3 |
| ( ) E B I T- in % m ar g |
1 5. 6 |
1 5. 9 |
|
| In te t e t res xp en se ne , |
( ) 1 0 0 |
( ) 1 0 0 |
|
| In be fo in ta co m e re co m e xe s |
2 4 9 |
6 | 2 5 5 |
| Inc Ta om e x e xp en se |
( ) 1 0 6 |
( ) 2 |
( ) 1 0 8 |
| ( ) Ta % te x r a |
4 2 |
4 2 |
|
| M ino i in ty te t r re s |
( 4 ) |
( 4 ) |
|
| in Ne t co me |
1 3 9 |
4 | 1 4 3 |
* Restructuring costs of US\$ 7 m, less gain from divestiture of US\$ 1 m
| P f i & L A t t r o o s s c c o u n |
M 9 2 0 0 6 |
On im i t tem e- e s |
M 9 2 0 0 6 lu d ing im i t tem ex c on e- e s |
|---|---|---|---|
| Ne t r ev en ue |
6, 1 4 7 |
6, 1 4 7 |
|
| in in ( ) Op t E B I T er a g co me |
9 6 4 |
* ( ) 2 8 |
9 3 6 |
| E B I T- in ( ) % m ar g |
1 5. 7 |
1 5. 2 |
|
| In te t e t res xp en se ne , |
( 2 ) 5 5 |
** 1 4 |
( 2 4 1 ) |
| fo In be in ta co m e re co m e xe s |
7 0 9 |
( ) 1 4 |
6 9 5 |
| Inc Ta om e x e xp en se |
( ) 3 1 4 |
3 4 |
( ) 2 8 0 |
| Ta ( % ) te x r a |
4 4 % |
4 0 |
|
| M ino i in ty te t r re s |
( 1 0 ) |
( 1 0 ) |
|
| Ne in t co me |
5 3 8 |
2 0 |
5 4 0 |
| O i i N h A i t t p e r a n g n c o m e o r m e r c a |
Q 3 2 0 0 6 |
M 9 2 0 0 6 |
|---|---|---|
| Re ve nu e |
1, 6 1 3 |
4, 3 6 7 |
| Op ( ) ing inc E B I T t er a om e |
2 5 7 |
7 0 4 |
| E B I T in ( in % f r ) m ar g o ev en ue |
1 5. 9 % |
1 6. 1 % |
| On im i t te e- e- m s |
6 | ( 3 0 ) |
| in ( in f r ) fo im i E B I T % be -t te m ar g o ev en ue re o ne e m s |
1 6. 3 % |
1 5. 4 % |
* US\$ 40 m gain from divestiture, less US\$ 10 m restructuring costs and US\$ 2 m costs for transformation of the legal form of the Company ** Write-off of deferred financing costs
| C h F l a s o w |
Q 3 2 0 0 7 |
9 M 2 0 0 7 |
|---|---|---|
| Ac is i ion t q s u |
( ) 2 6 |
( ) 1 4 0 |
| Pr ds fro d ive i t tu oc ee m s res |
2 | 3 0 |
| Ac is i io f d ive i t t o t tu q ns ne s re s u , |
( ) 2 4 |
( ) 1 1 0 |
| C h F l a s o w |
Q 3 2 0 0 6 |
Ta for ts x p ay me n ior p r y ea rs |
C G R is i ion t ac q u |
Q 3 2 0 0 6 |
|---|---|---|---|---|
| i in iv i ies Ne h de d by t c t t t as p ro o p er a g ac v |
1 5 3 |
9 9 |
9 | 2 6 1 |
| Ca i l Ex d i ( ) ta tu t p p en res ne |
( 1 1 3 ) |
( 1 1 3 ) |
||
| Ca Fr h F low ee s |
4 0 |
9 9 |
9 | 1 4 8 |
| Ac is i ion d d ive i t t tu q s a n s res u |
( ) 8 |
( ) 2 |
( ) 1 0 |
|
| Fr Ca h F low f is i io d d ive i te t t tu ee s a r a cq u ns a n s re s |
3 2 |
9 9 |
7 | 1 3 8 |
| C h F l a s o w |
9 M 2 0 0 6 |
for Ta ts x p ay me n ior p r y ea rs |
C G R is i t ion ac q u |
9 M 2 0 0 6 |
|---|---|---|---|---|
| Ne h i de d by in iv i ies t c t t t as p ro v o p er a g ac |
5 4 6 |
9 9 |
9 9 |
6 6 3 |
| Ca i l Ex d i ( ) ta tu t p p en res ne |
( 2 3 ) 7 |
( 2 3 ) 7 |
||
| Fr Ca h F low ee s |
1 9 2 |
9 9 |
9 9 |
3 9 0 |
| Ac is i ion d d ive i t t tu q u s a n s res |
( ) 3, 6 8 2 |
3, 6 3 8 |
( ) 4 4 |
|
| Fr Ca h F low f is i io d d ive i te t t tu ee s a r a cq u ns a n s re s |
( 3, 4 9 0 ) |
9 9 |
3, 3 7 7 |
3 4 6 |
Fresenius Medical Care AG & Co. KGaAInvestor RelationsElse Kröner Str. 161352 Bad Homburg v.d.H.
Head of Investor Relations & Corporate Communications Tel.: +49-(0)6172-609-2601 Fax.: +49-(0)6172-609-2301 Mob.: +49-(0)173-6522-712 Mail: [email protected]
Terry L. Proveaux Tel.: +1-800-948-2538Fax.: +1-615-345-5605Mob.: +1-615-618-2987 bbMail: [email protected]
WKN 578 580ISIN DE0005785802SEDOL1 5129074 DE
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