- For 2019, an indicative and preliminary assumption of
- solid revenue growth on a comparable basis1
- net income2 at around the FY 2018 level on a comparable basis1
- Use of cash currently under evaluation
Fresenius Medical Care, the world’s largest provider of dialysis products and services, has decided to update the market early by providing its indicative preliminary assumptions for the business development in 2019.
“With the pending acquisition of NxStage Medical Inc., the corresponding build out of our home dialysis services infrastructure in the United States as well as investments in future growth markets in the Products as well as the Services business such as China, we have an investment year ahead of us,” said Rice Powell, Chief Executive Officer of Fresenius Medical Care. ”We would like to share as an early indication that 2019 will have a clear focus on preparing the company for future sustainable, profitable growth. For 2019, we currently broadly assume solid comparable1 revenue growth and the comparable1 net income to be around the level of FY 2018.”
Fresenius Medical Care remains committed to a continuous optimization of its business, weighing future sustainable, profitable growth opportunities of potential investments and implied risks. From a global perspective, Fresenius Medical Care invests in new products as well as growth markets such as China. From an operational perspective, the company invests to increase the global home dialysis penetration and from an innovation perspective, the company makes investments such as in Humacyte Inc. to meet unmet medical needs.
Fresenius Medical Care is reviewing all factors as part of its budgeting process and plans to publish the guidance for 2019, at the usual level of detail, along with the company’s fiscal year 2018 results, which are planned to be released on February 20, 2019.
Fresenius Medical Care intends to reset its 2020 constant currency targets to also reflect the IFRS accounting changes, the divestiture of Sound Inpatient Physicians Holdings and the pending acquisition of NxStage Medical Inc., all as highlighted in the previous quarter. The reset targets are scheduled to be published along with the company’s fiscal year 2018 results, which are planned to be released on February 20, 2019.
Fresenius Medical Care will host a conference call on December 7, 2018, at 9:00 a.m. CET / 3:00 a.m. EST. Details will be available on the company’s website www.freseniusmedicalcare.com in the “Investors/Events” section. A replay will be available on the same day of the call.
1“comparable” is on a constant currency basis and reflects an adjustment for those effects that are as per the company´s view not related to the company´s operating business performance such as, for example, the effects of IFRS 16, sizeable portfolio changes like the divestiture of Sound Inpatient Physicians Holdings or the pending acquisition of NxStage Medical Inc. or other effects of one-time nature like FCPA-related charges or the cost of the 2018 U.S. ballot initiatives. For the preliminary indicative 2019 guidance the “comparable” 2018 basis translates roughly at current currencies for revenue in a range of 15,850 – 16,050 EUR million and for net income in a range of 1,350 – 1,365 EUR million. This is subject to fluctuations in the currency rates in the fourth quarter of 2018.
2Net income attributable to shareholders of FMC AG & Co. KGaA