Fresenius Se & Co. Kgaa · XETR:FRE
Fresenius Se & Co. Kgaa — Q3 2024 Earnings Presentation
40 slides from Fresenius Se & Co. Kgaa's earnings presentation, Nov 6, 2024
Slide 1: #FutureFresenius: Simplification and focus drives sustained performance
#FutureFresenius: Simplification and focus drives sustained performance Delivering continued momentum in Q3/24; upgrading FY/24 outlook Bad Homburg, 6 November 2024
Slide 2: Safe Harbor Statement
Business update Financial review Q3/24 #FutureFresenius Attachments 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
Slide 3: Business update
Business update Financial review Q3/24 #FutureFresenius Attachments 01 01 Business update Financial review Q3/24 02 Business update #FutureFresenius 03 Attachments 04
Slide 4: Q3/24 Continued momentum and sustained performance
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 Continued momentum and sustained performance Further deleveraging based on excellent cash flow; leverage target ratio under review Strong top-line: 9% organic revenue growth Ongoing momentum at Biopharma: Delivering positive E
Slide 5: Kabi and Helios above structural growth band
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 Kabi and Helios above structural growth band Fresenius Kabi Fresenius Helios 4–7% 4–6% Revenue (Org. € 2.1bn +11%1 € 3.1bn +8% Growth) 14–17% 10–12% EBIT € 335m 15.9% € 244m 7.9% (Margin) • Growth Vectors posting 16% organic r
Slide 6: Kabi: Growth Vector momentum continues
Business update Financial review Q3/24 #FutureFresenius Attachments Kabi: Growth Vector momentum continues Biopharma MedTech Nutrition Pharma Q3/24 Revenue Q3/24 Revenue Q3/24 Revenue Q3/24 Revenue €177m €384m €597m €957m +66% +7% +11% +6% yoy1 yoy1 yoy1 yoy1 • FDA and EMA approval for • Contract wi
Slide 7: Biopharma: Strong focus on market penetration reflected in recent successes
Business update Financial review Q3/24 #FutureFresenius Attachments Biopharma: Strong focus on market penetration reflected in recent successes October 3, 2024 mAbxience and Teva Announce Second Strategic Global License Agreement for Biosimilar Oncology Treatment Candidate October 1, 2024 Evio Annou
Slide 8: Tyenne: Strong momentum building
Business update Financial review Q3/24 #FutureFresenius Attachments Tyenne: Strong momentum building US Milestones • Launched in 17 EU countries, UK & KSA FDA approval RoE IV & SC Billing code • 19% market share in EU5 (as of Aug‘24) RoW activation Launch Launch • Essentially all GER sick funds cont
Slide 9: Helios delivering consistent strong organic growth
Business update Financial review Q3/24 #FutureFresenius Attachments Helios delivering consistent strong organic growth Helios Germany Helios Spain Q3/24 Revenue Q3/24 Revenue €1,940m €1,142m +8% +8% yoy1 yoy1 • Key parameter for 2025 DRG inflator • Start of construction of new hospital set at 4.41%
Slide 10: Strong revenue growth…
Business update Financial review Q3/24 #FutureFresenius Attachments Strong revenue growth… 20% Kabi: Helios Kabi: Growth Pharma Vectors 16% 15% Growth Revenue Vectors 9% Fresenius driving Organic 10% Group organic growth 8% growth yoy 5% 6% momentum 0% Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Growt
Slide 11: …drives significant bottom-line progress
Business update Financial review Q3/24 #FutureFresenius Attachments …drives significant bottom-line progress FY/20 FY/21 FY/22 FY/23 Q1-3/24 EPS1 EPS growth back to solid yoy positive growth trajectory -3% +5% -13% -15% +7%2 1 Before special items; at constant currency 2 Growth rate adjusted for Arg
Slide 12: Financial review Q3/24
Business update Financial review Q3/24 #FutureFresenius Attachments 01 02 Business update Financial review Q3/24 02 Financial review Q3/24 #FutureFresenius 03 Attachments 04
Slide 13: Q3/24 Consistent strong financial performance
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 Consistent strong financial performance Very strong revenue growth driven by an excellent delivery of Kabi and a strong performance at Helios €5.3bn €552m €312m +7%2 Strong EBIT growth of 9%2 reflecting the operational +9% org
Slide 14: Fresenius Kabi Growth Vectors showing continued momentum
Business update Financial review Q3/24 #FutureFresenius Attachments Fresenius Kabi Growth Vectors showing continued momentum Quarterly financials Main developments 2,200 Strong organic revenue growth of 11%1 above top-end of structural growth band; pricing effects in 15.9% Argentina continue to supp
Slide 15: Fresenius Helios Ongoing strong organic growth performance
Business update Financial review Q3/24 #FutureFresenius Attachments Fresenius Helios Ongoing strong organic growth performance Quarterly financials Main developments 3,400 Strong 8% organic revenue growth above top-end of structural growth band driven equally by Helios 11.5% 11.0% 11.1% Germany (8%
Slide 16: Cost and productivity savings target achieved ahead of plan
Business update Financial review Q3/24 #FutureFresenius Attachments Cost and productivity savings target achieved ahead of plan Cost savings 408 EBIT view, cumulated New target: Cost savings ambition for €m ~€400m FY/25 already achieved in Q3/24: Old target: €330-350m • Leaner organization based on
Slide 17: Disciplined execution unlocking significant cash flow
Business update Financial review Q3/24 #FutureFresenius Attachments Disciplined execution unlocking significant cash flow Operating cash flow CAPEX Free cash flow2 €m €m €m 12.8%1 10.0%1 9.5%1 2,719 5.5%1 4.4%1 2,015 2,003 1,102 942 0.2%1 45 Q3/23 LTM Q3/24 LTM Q3/23 LTM Q3/24 LTM Q3/23 LTM Q3/24 LT
Slide 18: Simplification and focus drives structurally stronger balance sheet and returns
Business update Financial review Q3/24 #FutureFresenius Attachments Simplification and focus drives structurally stronger balance sheet and returns 4.0x 7% 4.19 3.96 4.03 6.0 6.1 4.0x 3.80 3.76 3.75 6% 5.6 3.43 5.5 3.5x 3.24 5.2 5.2 5.0 5.0 5% 3.0x 2.5x 4% Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q
Slide 19: FY/24 Outlook upgraded based on excellent first nine months
Business update Financial review Q3/24 #FutureFresenius Attachments FY/24 Outlook upgraded based on excellent first nine months PREVIOUS OUTLOOK NEW OUTLOOK Revenue growth (organic): Revenue growth (organic): 4–7% growth 6–8% growth Q1-3/24: 8% EBIT growth (cc): EBIT growth (cc): 6–10% growth 8–11%
Slide 20: #FutureFresenius
Business update Financial review Q3/24 #FutureFresenius Attachments 01 03 Business update Financial review Q3/24 02 #FutureFresenius #FutureFresenius 03 Attachments 04
Slide 21: #FutureFresenius: Rigorous execution drives consistent delivery
Business update Financial review Q3/24 #FutureFresenius Attachments Growth momentum: High single-digit organic revenue growth in Q1-3/24 Revigoration of EPS momentum: High single-digit growth in Q1-3/24 Structural productivity: 2025 savings target already achieved in Q3/24 Structurally strengthened
Slide 22: #FutureFresenius: Heading towards Re-Juvenation
Business update Financial review Q3/24 #FutureFresenius Attachments #FutureFresenius: Heading towards Re-Juvenation REIMAGINE REJUVENATE Shape the future of healthcare REVITALIZE Pursue platform-driven growth opportunities Optimize portfolio & RESET refine operating model Simplification + Focus + Pe
Slide 23: Attachments
Business update Financial review Q3/24 #FutureFresenius Attachments 01 04 Business update Financial review Q3/24 02 Attachments #FutureFresenius 03 Attachments 04
Slide 24: Outlook for FY/24
Business update Financial review Q3/24 #FutureFresenius Attachments Outlook for FY/24 FY/23 base1 FY/24 outlook €8,009m Mid to high single-digit organic revenue growth Revenue growth (organic): Fresenius Q1-3/24: 10% 6–8% growth Kabi €1,145m Between 15–16% EBIT margin; FY/23 base: €20,307m1 structur
Slide 25: Other financial KPIs
Business update Financial review Q3/24 #FutureFresenius Attachments Other financial KPIs €m FY/23 FY/24 expectation Interest expense €418m Upper end of €420 to €440m range Profitability Tax rate 28.3% Between 25 to 26% Below 5% CAPEX % of revenue 5.1% (Previously: around 5%) CCR LTM 1.0 Around 1 Cap
Slide 26: Guidance base
Business update Financial review Q3/24 #FutureFresenius Attachments Guidance base Portfolio Base for FY/23 Vamed €m Adjustments Guidance Actual Exit Helios FY/24 Revenue 8,009 8,009 EBIT 1,145 1,145 Revenue 12,320 -368 11,952 EBIT 1,232 -42 1,190 Revenue 2,356 -2,356 0 EBIT -16 +16 0 Revenue -386 +7
Slide 27: Attractive biosimilar portfolio and pipeline focused on oncology and autoimmune diseases
Business update Financial review Q3/24 #FutureFresenius Attachments Attractive biosimilar portfolio and pipeline focused on oncology and autoimmune diseases Candidate & TA Pre-clinical Clinical trials Approval Launch Adalimumab EU: Apr 2019 / US: Dec 2022 EU: May 2019 / US: Jul 2023 Autoimmune Pegfi
Slide 28: Q3/24 & Q1-3/24 Fresenius Kabi Organic Revenue Growth by Product Group
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 & Q1-3/24 Fresenius Kabi Organic Revenue Growth by Product Group Δ YoY Δ YoY €m Q3/24 organic2 Q1-3/24 organic2 MedTech 384 7% 1,144 6% Nutrition 597 11% 1,785 11% Biopharma 177 66% 466 91% Growth Vectors1 1,158 16% 3,396 16%
Slide 29: Q3/24 & Q1-3/24 Fresenius Kabi EBIT(DA) development
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 & Q1-3/24 Fresenius Kabi EBIT(DA) development €m Q3/24 Δ YoY cc2 Q1-3/24 Δ YoY cc2 Total EBITDA 460 14% 1,372 14% Margin 21.8% +170 bps 21.9% +180 bps Total EBIT 335 16% 979 14% Margin 15.9% +160 bps 15.6% +120 bps Growth Vect
Slide 30: Q3/24 & Q1-3/24 Fresenius Helios Key Financials
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 & Q1-3/24 Fresenius Helios Key Financials €m Q3/24 Δ YoY cc Q1-3/24 Δ YoY cc Total revenue 3,082 8%1 9,466 6%1 Thereof Helios Germany 1,940 8%1 5,725 5%1 Thereof Helios Spain 1,142 8%1 3,741 9%1 Total EBIT 244 6% 949 13% Margi
Slide 31: Fresenius Helios: Key Metrics
Business update Financial review Q3/24 #FutureFresenius Attachments Fresenius Helios: Key Metrics Q1-3/24 FY/23 ΔYoY Helios Germany Hospitals 85 86 -1% - Acute care hospitals 82 83 -1% Beds 30,011 29,976 0% - Acute care hospitals 29,445 29,410 0% Admissions 4,161,348 5,470,871 0% - patients treated
Slide 32: Q1-3/24 Fresenius Group Calculation of Noncontrolling Interests
Business update Financial review Q3/24 #FutureFresenius Attachments Q1-3/24 Fresenius Group Calculation of Noncontrolling Interests €m Q1-3/24 Q1-3/23 Earnings before tax and noncontrolling interests 1,507 1,373 Taxes -378 -325 Noncontrolling interests, thereof -58 -54 Fresenius Kabi -49 -47 Freseni
Slide 33: Q3/24 & Q3/24 LTM Fresenius Group Cash flow development
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 & Q3/24 LTM Fresenius Group Cash flow development €m Q3/24 Q3/23 Q3/24 Q3/23 LTM LTM OCF 763 603 2,719 2,015 thereof Kabi 374 380 1,224 879 thereof Helios 454 208 1,808 1,333 % OCF Margin 14.4% 12.1% 12.8% 10.0% Capex (net) -2
Slide 34: Reconciliation adjusted Free Cash Flow for CCR
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 & Q1-3/24 Fresenius Group Reconciliation adjusted Free Cash Flow for CCR €m Q3/24 Q3/23 Q1-3/24 Q1-3/23 Operating Cash Flow 763 603 1,444 802 Capex (net) -231 -257 -568 -652 Free Cash Flow 532 346 876 -150 (before acquisitions
Slide 35: Q3/24 Cash Flow development
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 Cash Flow development Operating Cash Flow Capex (net)1 Free Cash Flow2 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 €m Margin Margin % rev. % rev. Margin Margin 374 380 17.7% 18.8% -71 -110 -3.4% -5.
Slide 36: Q3/24 LTM Cash Flow development
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 LTM Cash Flow development Operating Cash Flow Capex (net)1 Free Cash Flow2 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 Q3/24 Q3/23 €m LTM LTM LTM LTM LTM LTM LTM LTM LTM LTM LTM LTM Margin Margin % rev. % rev.
Slide 37: Q3/24 Revenue by Business Segment – FX, Acquisitions/Divestitures
Business update Financial review Q3/24 #FutureFresenius Attachments Q3/24 Revenue by Business Segment – FX, Acquisitions/Divestitures Growth at Currency Growth at actual translation constant Organic Acquisi- Divestiture/ €m Q3/24 Q3/23 rates effects rates growth1 tions Others Fresenius 2,114 2,021 5
Slide 38: Q1-3/24 Revenue by Business Segment – FX, Acquisitions/Divestitures
Business update Financial review Q3/24 #FutureFresenius Attachments Q1-3/24 Revenue by Business Segment – FX, Acquisitions/Divestitures Growth at Currency Growth at actual translation constant Organic Acquisi- Divestiture/ €m Q1-3/24 Q1-3/23 rates effects rates growth1 tions Others Fresenius 6,266 6
Slide 39: Financial Calendar / Contact
Business update Financial review Q3/24 #FutureFresenius Attachments Financial Calendar / Contact Financial Calendar Please note that these dates could be subject to change. Social Media 26 Feb 2025 Results FY/24 Follow Fresenius Investor Relations on LinkedIn: 07 May 2025 Results Q1/25 23 May 2025 A
Slide 40: #FutureFresenius
#FutureFresenius November 2024