Finance
Fresenius raises earnings guidance after another quarterly beat
Published by Global Banking & Finance Review®
Posted on November 5, 2025
2 min readLast updated: January 21, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on November 5, 2025
2 min readLast updated: January 21, 2026
Fresenius raises earnings guidance after exceeding expectations, driven by strategic restructuring and cost reduction efforts.
(Reuters) -Germany's Fresenius raised its annual operating profit guidance after it once again topped analysts' earnings expectations on Wednesday, as the healthcare group carries out the second part of its turnaround plan.
Fresenius has been consistently beating earnings forecasts in recent quarters, helped by CEO Michael Sen's organisational revamp aimed at reducing costs and liabilities. That plan included ceding control of dialysis firm FMC in 2023.
The restructuring initiative, which entered its second phase this year, has prioritised Fresenius Kabi, a producer of generic hospital medications, and hospital operator Helios with a network across Germany and Spain.
"For Q4, we expect to continue on this path of debt reduction," Sen said in a call following the third-quarter results.
The Hessian-based company now expects growth of 4% to 8% in its annual earnings before interest and taxes on a constant currency basis, after previously guiding for a range of 3% to 7%.
That marks Fresenius' second outlook raise this year, as it already raised its revenue expectations in August, targeting 5% to 7% organic revenue growth instead of the formerly guided 4% to 6%.
"We think Q3 demonstrates continued execution on the turnaround and we see scope for further outperformance in the near term," J.P. Morgan analysts said in a research note.
Fresenius' third-quarter EBIT was 574 million euros ($669 million), 2.1% above analysts' expectations according to a poll by Vara Research. Revenue reached 5.48 billion euros, broadly in line with market estimates.
Fresenius' shares were down around 1% at 1047 GMT, after gaining more than 40% so far this year. They have largely outperformed the rest of the market, with Europe's benchmark health index down 1.7% in 2025.
($1 = 0.8575 euros)
(Reporting by Tristan Veyet in Gdansk, Patricia Weiss in Frankfurt, editing by Milla Nissi-Prussak)
Operating profit is the profit a company makes from its normal business operations, excluding any income derived from non-operational activities such as investments or sales of assets.
Revenue growth refers to the increase in a company's sales over a specific period, often expressed as a percentage compared to previous periods.
Restructuring in business involves making significant changes to the company's operations, structure, or finances to improve efficiency and profitability.
EBIT stands for Earnings Before Interest and Taxes, a measure of a firm's profit that excludes interest and income tax expenses.
A turnaround plan is a strategy implemented by a company to reverse its declining performance and return to profitability.
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