Fresenius Medical Care reports third quarter 2026 performance partially offsetting headwinds and narrowing full year outlook

(NYSE:FMS) Fresenius Medical Care reported stable organic revenue development in Q3 2026, driven by growth in Care Delivery and Care Enablement, offset by an expected decline in profit-neutral Value-Based Care. Operating income decreased by 6% due to regulatory and inflation headwinds. Reported operating income fell by 19% and reported net income decreased by 42%, mainly due to one-time costs related to the China strategy refinement. Earnings per share (EPS) remained stable, supported by the share buyback program. The company converted 348 U.S. clinics, representing 16% of its U.S. dialysis machines, to the 5008X CAREsystem™, with 1.3 million treatments performed. The FY 2026 outlook projects broadly flat revenue and operating income between flat and a negative mid-single digit percent growth rate. In Q3 2026, revenue was EUR 4,937 million, up 1% year-on-year, while operating income was EUR 384 million, down 19%. Net income for Q3 2026 was EUR 160 million, down 42%. For the first nine months of 2026, revenue was EUR 14,409 million, down 1%, and operating income was EUR 1,136 million, down 8%. Net income for the first nine months was EUR 496 million, down 24%. The company launched the multiFiltratePRO™ system in the U.S. for acute kidney injury and discontinued production and sales of the 4008A hemodialysis system in China, exiting its peritoneal dialysis business there. One-time costs of EUR 108 million were incurred in China, primarily due to impairment charges, scrappage, and termination costs. The FME25+ transformation program delivered EUR 74 million in additional sustainable savings in Q3 2026, with related one-time costs of EUR 54 million. The company expects EUR 250 million in savings and EUR 350 million in related one-time costs in 2026, with total FME25+ savings targeted at EUR 1.2 billion by the end of 2027. As of September 30, 2026, 9.1 million shares or 3.4% of total shares issued have been repurchased for a total investment of EUR 357 million. Care Delivery revenue in Q3 2026 was EUR 3,492 million, up 3%, and Care Enablement revenue was EUR 1,451 million, up 7%. Value-Based Care revenue declined by 7% to EUR 537 million. In the first nine months, Care Delivery revenue was EUR 10,264 million, Care Enablement revenue was EUR 4,121 million, and Value-Based Care revenue was EUR 1,563 million. Basic EPS in Q3 2026 was EUR 0.61, down 35%, based on 262,951,005 shares; for the first nine months, basic EPS was EUR 1.84, down 17%, based on 268,833,509 shares. The company continues to focus on execution, innovation, and profitable growth, with ongoing transformation and cost-saving initiatives.