Fresenius Medical Care Delivers Strong Q4 Results, Raises 2025 Earnings Guidance

Fresenius Medical Care (FMC), the world's leading provider of products and services for individuals with renal diseases, has reported strong fourth-quarter and full-year 2024 results, topping profit estimates. The company's adjusted operating profit increased by 31% year-over-year to €489 million, while the operating margin expanded from 7.7 to 9.6 percent. For the full year, FMC's adjusted operating profit grew by 18% to €1.812 billion, despite a marginal one percent decline in revenue to €19.336 billion. Shareholders will benefit from a 21% increase in dividends to €1.44 per share.



FMC's strong performance was driven by successful cost-reduction initiatives, with savings targets raised from €650 million to €750 million. The company's fourth-quarter results were particularly noteworthy, showing a 31% jump in adjusted operating profit to €489 million, while the operating margin expanded from 7.7 to 9.6 percent. For the full year, FMC's adjusted operating profit grew by 18% to €1.812 billion, despite a marginal one percent decline in revenue to €19.336 billion. Shareholders will benefit from a 21% increase in dividends to €1.44 per share.



Looking ahead to 2025, FMC projects continued momentum with operating profit expected to grow in the high teens to high twenties percentage range, accompanied by low single-digit revenue growth. The company is further streamlining its operations through strategic divestitures, including the planned sale of select Spectra Laboratories assets to Quest Diagnostics, scheduled for completion in the latter half of 2025. This strategic move aligns with FMC's ongoing transformation efforts, focusing on core business optimization while maintaining comprehensive laboratory services for end-stage renal disease patients.

FMC's strong financial performance and continued growth prospects are driven by its successful execution of the FME25 transformation plan, which has delivered significant cost savings and improved operational efficiency. The company's focus on improving operational performance, optimizing its portfolio, and realizing significant savings has allowed it to set the course for significantly growing earnings, raising the implied operating income margin to around 11 to 12 percent in 2025. With a strong balance sheet and a clear strategic vision, Fresenius Medical Care is well-positioned to continue its growth trajectory and maintain its leadership in the renal care industry.