(Reuters) -Fresenius Medical Care, the world's largest dialysis specialist, reported fourth quarter results above market expectations on Tuesday, citing positive development both in its care delivery
Dialysis firm FMC beats profit estimates in fourth quarter
(Reuters) -Fresenius Medical Care, the world's largest dialysis specialist, reported fourth quarter results above market expectations on Tuesday, citing positive development both in its care delivery and care enablement businesses.
The results were boosted by positive volume and pricing effects, as well as savings from its FME25 turnaround program and portfolio optimization plan aimed at cutting costs and helping improve its leverage ratio.
"The momentum we have created enables us to further raise our FME25 savings target from EUR 650 million to EUR 750 million," CEO Helen Giza said in a statement.
FMC, which makes the bulk of its sales in the U.S. and employs most of its staff there, said its adjusted operating income grew 31% to 489 million euros ($512.3 million) in the final quarter of 2024, beating analysts' estimate of 481 million euros in a company-provided consensus.
The adjusted figure is given at a constant currency basis and excludes the impact from divestitures closed in 2023 and special items such as costs related to the FME25 turnaround plan and the change in FMC's legal form, it said.
Including those effects, the quarterly operating income fell 39% to 259 million euros.
FMC also said it expected 2025 revenue to grow at a low single digit percentage rate and adjusted operating income to rise by a high teens to high twenties percentage, both in constant currency.
Based on this, FMC narrowed its operating margin guidance for the year to a range of 11% to 12%, from the previously expected 10% to 14%.
The company's shares were seen rising 2.7% in Lang & Schwarz pre-market indications, with a German trader saying that both results and the outlook were better than expected.
($1 = 0.9546 euros)
(Reporting by Isabel Demetz in Gdansk; Editing by Milla Nissi)
