FMC trims outlook on strong U.S. dollar
FRANKFURT (Reuters) - Fresenius Medical Care (FMEG.DE), the world's largest dialysis company, trimmed its 2012 outlook as a strong U.S. dollar weighed on its earnings outside the United States.
The company said on Wednesday it now sees its revenue and net profit as much as 2 percent below its original aim of about $14 billion and $1.14 billion, respectively. It had previously said a deviation of plus or minus 2 percent from its goal was possible.
Third-quarter net income edged 3 percent lower to $270 million, where analysts on average had expected $285 million.
The German company reports in U.S. dollars because it derives about two-third of revenue from North America and the reported value of its revenues from Europe declines when the dollar rises against the euro.
German diversified healthcare group Fresenius (FREG.DE), which controls Fresenius Medical Care, reported slightly higher than expected adjusted net income on growth at its generic drugs and hospitals divisions.
Adjusted net income in the first nine months of the year rose 21 percent to 682 million euros ($885.09 million) as it had to pay lower interest rates and a lower tax rate. That was above the average estimate of 675 million euros in a Reuters poll.
The group still sees 2012 net income before special items up by between 14 and 16 percent, adjusted for currency swings and excluding the effects of the failed takeover of Rhoen-Klinikum AG (RHKG.DE), and currency-adjusted revenue growth of 12-14 percent.
Fresenius last month raised the full-year profit outlook for its generic infusion drug unit Kabi for the third time this year as it benefits from rivals' supply shortages, which have been longer than previously thought.
(Reporting by Ludwig Burger and Maria Sheahan)