By Introduction
Fresenius, the German health-care company, recently released its earnings report for the second quarter. Despite experiencing some challenges including rising costs, higher taxes, and negative developments at its hospital subsidiary, the company demonstrated resilience with increasing revenue.
Declining Earnings
Fresenius reported a decline in net income before special items for the second quarter, from EUR450 million in the previous year to EUR375 million this year. Similarly, operating income decreased from EUR845 million to EUR543 million during the same period. Despite these challenges, the company managed to grow its revenue to EUR10.36 billion from EUR10.02 billion, with assistance from acquisitions and divestitures.
Positive Results for Fresenius Medical Care
Fresenius Medical Care, the company’s dialysis business which is currently in the process of being deconsolidated, achieved positive results. Net income for this segment increased from EUR116 million to EUR175 million compared to last year. Earnings before interest and taxes also experienced growth, rising from EUR284 million to EUR401 million. Additionally, revenue climbed from EUR4.76 billion to EUR4.83 billion during the same period.
Conclusion
Despite facing challenges such as rising costs and negative developments at its hospital subsidiary, Fresenius showcased its ability to generate revenue growth. With its dialysis business, Fresenius Medical Care, also delivering positive results, the company is well-positioned for the future.
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