Fresenius (FRE) investor relations material

Executive summary

• Q1 2026 delivered strong results with 5% organic revenue growth and 13% core EPS growth at constant currency, driven by operating leverage, disciplined execution, and innovation investments.

• Both Kabi and Helios segments contributed robustly, with Kabi showing strong Biopharma launches and Helios achieving double-digit EBIT growth in Germany and Spain.

• Net debt/EBITDA improved to 2.6x, reflecting strong cash flow and deleveraging, at the lower end of the target range.

• S&P upgraded the credit outlook to positive, marking the best credit position in company history.

• Full-year 2026 guidance reconfirmed amid ongoing macroeconomic, geopolitical, and regulatory uncertainty.

Financial highlights

• Group revenue reached €5,744 million, up 5% organically year-over-year; EBIT before special items was €678 million, up 6% in constant currency with an 11.8% margin.

• Core EPS increased 13% to €0.82 at constant currency, supported by operating strength, lower interest expense, and a lower tax rate.

• Operating cash flow quadrupled year-over-year to €389 million; LTM operating cash flow at €2.9 billion.

• Free cash flow was €1.4 billion (LTM), including €280 million from a share buyback-related sale; Q1 free cash flow up 51% to €362 million.

• Cash conversion rate for the last 12 months was 1.2.

Outlook and guidance

• 2026 guidance reconfirmed: organic revenue growth of 4–7%, Core EPS growth of 5–10% in constant currency, EBIT margin around 11.5%.

• Fresenius Kabi targets mid- to high-single-digit organic revenue growth and EBIT margin of 16.5–17%.

• Fresenius Helios expects mid-single-digit organic revenue growth and EBIT margin of 10–10.5%.

• FX expected to have a 1% annual adverse impact on revenue, EBIT, and net income if rates remain unchanged.

• Guidance assumes ongoing macroeconomic and geopolitical volatility; does not account for extreme scenarios.