BERLIN, May 2 (Xinhua) -- Turnover of Fresenius increased by 8 percent to 8.5 billion euros (9.5 billion U.S. dollars) in the first quarter (Q1) of fiscal year 2019, while operating profits (EBIT) grew by 6 percent to 1.1 billion euros, the German medical technology and healthcare group announced on Thursday.
"We have made a successful start into 2019. All four Fresenius business segments have developed in line with our expectations, putting us well on course to meet our targets for the year," commented Fresenius CEO Stephan Sturm.
The improved business performance of Fresenius was mainly attributable to the company's subsidiary Fresenius Medical Care (FMC), which was able to increase its turnover by 11 percent to 4.1 billion euros.
FMC, listed in the German stock index DAX and manufacturer of medical products for patients with renal diseases such as dialysis devices, profited from positive currency translation effects which were mainly related to the appreciation of the U.S. dollar against the euro, according to the subsidiary.
FMC is currently planning to expand its production capacities in China. In addition, it is intending to acquire hospitals in China to build dialysis centers for renal patients.
In Q1, the Fresenius group also benefitted from its Fresenius Kabi division, which is specialized in intravenously administered drugs and infusion therapies. Kabi increased its turnover by 6 percent to 1.7 billion euros and its EBIT by 13 percent to 303 million euros.
However, Fresenius' hospital business Helios had teething problems in the 2019 fiscal year as total sales fell slightly to 2.3 billion euros. This decline had been mainly due to a decreasing number of admissions in Germany, a shortage of nurses at intensive care units and a less pronounced flu season.
Fresenius confirmed its business forecast despite the "earnings dilution from NxStage", a U.S. manufacturer of systems for the treatment of end-stage renal disease and acute kidney failure, which Fresenius acquired in February.
In 2019, Fresenius is expecting its turnover to rise by 3 to 6 percent in constant currency while currency-adjusted profits are anticipated to remain unchanged.
