Fresenius (FRE) Q2 2026 earnings summary

Executive summary

• Achieved highest capital returns in a decade and strong operational momentum, with Core EPS up 14% at constant currency and upgraded FY 2026 guidance for Core EPS growth to 10–15% (previously 5–10%).

• Transformation initiatives and strategic focus on scaling (Bio)Pharma, MedTech, and Care Provision platforms have resulted in a more focused business mix and increased innovation-led growth.

• Leverage ratio stable at 2.6x, at the lower end of the 2.5–3.0x target corridor, reflecting financial strength and strategic flexibility.

Financial highlights

• Q2 2026 revenue reached €5,864 million (+6% organic), EBIT before special items was €719 million (+10% YOY), and EBIT margin expanded by 60 bps to 12.3%.

• Core EPS was €0.83 in Q2 (+14% constant currency); net income before special items was €560 million (+14% YOY).

• ROIC improved to 6.9%, up ~200 bps since 2022.

• Operating cash flow for Q2 was €344 million; last 12 months' operating cash flow reached €2.8 billion; cash conversion rate at 1.2.

Outlook and guidance

• FY 2026 guidance: organic revenue growth of 4–7%, Core EPS growth of 10–15% at constant currency, and EBIT margin of ~11.5%.

• Fresenius Kabi: organic revenue growth in mid- to high-single digits, EBIT margin at upper end of 16.5–17.0% range; Helios: mid-single-digit organic revenue growth, EBIT margin 10.0–10.5%.

• Net debt/EBITDA expected within 2.5–3.0x by year-end; tax rate between 24–25%.

• Guidance assumes current macroeconomic and geopolitical volatility, excluding extreme scenarios.