Published by Global Banking and Finance Review
Posted on November 5, 2025
(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)
