Document and Entity Information
Document and Entity Information | 3 Months Ended |
Mar. 31, 2018shares | |
Document And Entity Information [Abstract] | |
Document Period End Date | Mar. 31, 2018 |
Entity Registrant Name | FRESENIUS MEDICAL CARE AG & Co. KGaA |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | Yes |
Entity Central Index Key | 1,333,141 |
Document Type | 6-K |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Large Accelerated Filer |
Entity Well-known Seasoned Issuer | Yes |
Entity Common Stock, Shares Outstanding | 305,366,918 |
Document Fiscal Year Focus | 2,018 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | false |
Consolidated statements of inco
Consolidated statements of income - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue Table | ||
Health care services | € 3,208,795,000 | € 3,769,339,000 |
Health care products | 766,834,000 | 778,781,000 |
Revenue | 3,975,629,000 | 4,548,120,000 |
Costs of revenue: | ||
Health care services | 2,434,324,000 | 2,630,241,000 |
Health care products | 338,556,000 | 326,218,000 |
Costs of revenue | 2,772,880,000 | 2,956,459,000 |
Gross Profit | 1,202,749,000 | 1,591,661,000 |
Operating (income) expenses: | ||
Selling, general and administrative | 691,880,000 | 923,131,000 |
Research and development | 31,897,000 | 32,136,000 |
Income from equity method investees | (17,904,000) | (14,885,000) |
Operating income | 496,876,000 | 651,279,000 |
Other (income) expense: | ||
Interest income | (24,155,000) | (28,686,000) |
Interest expense | 104,131,000 | 121,414,000 |
Income before income taxes | 416,900,000 | 558,551,000 |
Income tax expense | 87,191,000 | 181,568,000 |
Net income | 329,709,000 | 376,983,000 |
Net income attributable to noncontrolling interests | 51,154,000 | 68,808,000 |
Net income attributable to shareholders of FMC-AG & Co. KGaA | € 278,555,000 | € 308,175,000 |
Basic earnings per share (in dollars per share) | € 0.91 | € 1.01 |
Fully diluted earnings per share (in dollars per share) | € 0.91 | € 1 |
Consolidated statements of comp
Consolidated statements of comprehensive income - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Consolidated statements of comprehensive income | ||
Net income | € 329,709,000 | € 376,983,000 |
Components that may be reclassified subsequently to profit or loss: | ||
Gain (loss) related to foreign currency translation | (263,651,000) | (61,369,000) |
Gain (loss) related to cash flow hedges | (7,834,000) | (9,369,000) |
Income tax (expense) benefit related to components of other comprehensive income that may be reclassified | (2,218,000) | (2,978,000) |
Other comprehensive income (loss), net of tax | (258,035,000) | (54,978,000) |
Total comprehensive income | 71,674,000 | 322,005,000 |
Comprehensive income attributable to noncontrolling interests | 25,776,000 | 56,080,000 |
Comprehensive income attributable to shareholders of FMC-AG & Co. KGaA | € 45,898,000 | € 265,925,000 |
Consolidated balance sheets
Consolidated balance sheets - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Cash and cash equivalents | € 846,378,000 | € 978,109,000 |
Trade accounts receivable, less allowance for doubtful accounts of 474,891 in 2017 and 482,461 in 2016 | 3,776,566,000 | 3,389,326,000 |
Accounts receivable from related parties | 121,612,000 | 111,643,000 |
Inventories | 1,354,503,000 | 1,290,779,000 |
Other current assets | 744,551,000 | 604,450,000 |
Total current assets | 6,843,610,000 | 6,374,307,000 |
Property, plant and equipment | 3,478,381,000 | 3,491,771,000 |
Intangible assets | 682,208,000 | 683,058,000 |
Goodwill | 11,834,584,000 | 12,103,921,000 |
Deferred taxes assets | 324,851,000 | 315,168,000 |
Investment in equity method investees | 619,730,000 | 647,009,000 |
Other non-current assets | 373,697,000 | 409,894,000 |
Total non-current assets | 17,313,451,000 | 17,650,821,000 |
Total assets | 24,157,061,000 | 24,025,128,000 |
Liabilities | ||
Accounts payable | 508,701,000 | 590,493,000 |
Accounts payable to related parties | 236,237,000 | 147,349,000 |
Current provisions and other current liabilities | 2,645,420,000 | 2,843,760,000 |
Short-term debt | 1,010,536,000 | 760,279,000 |
Short-term debt from related parties | 40,800,000 | 9,000,000 |
Current portion of long-term debt and capital lease obligations | 872,508,000 | 883,535,000 |
Income tax payable | 114,253,000 | 65,477,000 |
Total current liabilities | 5,428,455,000 | 5,299,893,000 |
Long-term debt and capital lease obligations, less current portion | 5,797,025,000 | 5,794,872,000 |
Non-current provisions and other noncurrent liabilities | 901,082,000 | 975,645,000 |
Pension liabilities | 536,825,000 | 530,559,000 |
Income tax payable | 124,926,000 | 128,433,000 |
Deferred taxes liabilities | 457,800,000 | 467,540,000 |
Total non-current liabilities | 7,817,658,000 | 7,897,049,000 |
Total liabilities | 13,246,113,000 | 13,196,942,000 |
Shareholders' equity | ||
Ordinary shares, no par value, 1.00 nominal value, 385,913,972 shares authorized, 308,111,000 issued and 306,451,049 outstanding as of December 31, 2017 and 385,913,972 shares authorized, 307,221,791 issued and 306,221,840 outstanding as of December 31, 2016 respectively | 308,121,000 | 308,111,000 |
Treasury stock, at cost | (108,931,000) | (108,931,000) |
Additional paid-in capital | 3,974,570,000 | 3,969,245,000 |
Retained earnings | 7,476,464,000 | 7,137,255,000 |
Accumulated other comprehensive income (loss) | (1,718,235,000) | (1,485,578,000) |
Total FMC-AG & Co. KGaA shareholders' equity | 9,931,989,000 | 9,820,102,000 |
Noncontrolling interests | 978,959,000 | 1,008,084,000 |
Total equity | 10,910,948,000 | 10,828,186,000 |
Total liabilities and equity | € 24,157,061,000 | € 24,025,128,000 |
Consolidated balance sheets (Pa
Consolidated balance sheets (Parenthetical) - EUR (€) € in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Consolidated balance sheets | ||
Allowance for doubtful accounts | € 115,796 | € 474,891 |
Consolidated statements of cash
Consolidated statements of cash flows - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Operating activities | ||
Net income | € 329,709,000 | € 376,983,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 174,994,000 | 189,908,000 |
Change in deferred taxes, net | (8,147,000) | (17,124,000) |
(Gain) loss on sale of fixed assets and investments | 2,028,000 | 3,143,000 |
Compensation expense related to share-based plans | 18,656,000 | 14,607,000 |
Investments in equity method investees, net | 22,303,000 | (12,640,000) |
Changes in assets and liabilities, net of amounts from businesses acquired: | ||
Trade accounts receivable, net | (462,386,000) | (279,921,000) |
Inventories | (84,210,000) | (11,690,000) |
Other current and non-current assets | (15,299,000) | 11,188,000 |
Accounts receivable from related parties | (10,370,000) | (2,127,000) |
Accounts payable to related parties | 90,081,000 | 8,086,000 |
Accounts payable, provisions and other current and non-current liabilities | (45,524,000) | (16,522,000) |
Paid interest | (108,473,000) | (141,995,000) |
Received interest | 6,436,000 | 13,280,000 |
Income tax payable | 98,827,000 | 187,225,000 |
Paid income taxes | (53,433,000) | (152,805,000) |
Net cash provided by (used in) operating activities | (44,808,000) | 169,596,000 |
Investing activities | ||
Purchases of property, plant and equipment | (221,486,000) | (197,548,000) |
Proceeds from sale of property, plant and equipment | 3,095,000 | 2,480,000 |
Acquisitions and investments, net of cash acquired, and purchases of intangible assets | (181,403,000) | (160,211,000) |
Proceeds from divestitures | 158,000 | 299,000 |
Net cash provided by (used in) investing activities | (399,636,000) | (354,980,000) |
Financing activities | ||
Proceeds from short-term debt | 268,785,000 | 144,118,000 |
Repayments of short-term debt | (18,889,000) | (13,692,000) |
Proceeds from short-term debt from related parties | 31,800,000 | 116,000,000 |
Repayments of short-term debt from related parties | 0 | 0 |
Proceeds from long-term debt and capital lease obligations | 105,899,000 | 2,053,000 |
Repayments of long-term debt and capital lease obligations | (15,027,000) | (29,277,000) |
Increase (decrease) of accounts receivable securitization program | 9,356,000 | (4,696,000) |
Proceeds from exercise of stock options | 562,000 | 4,436,000 |
Distributions to noncontrolling interests | (50,951,000) | (80,119,000) |
Contributions from noncontrolling interests | 6,303,000 | 7,562,000 |
Net cash provided by (used in) financing activities | 337,838,000 | 146,385,000 |
Effect of exchange rate changes on cash and cash equivalents | (25,125,000) | 692,000 |
Cash and cash equivalents: | ||
Net increase (decrease) in cash and cash equivalents | (131,731,000) | (38,307,000) |
Cash and cash equivalents at beginning of period | 978,109,000 | |
Cash and cash equivalents at end of period | € 846,378,000 | € 670,575,000 |
Consolidated statements of shar
Consolidated statements of shareholders' equity - EUR (€) | Total | Equity Attributable To Owners Of Parent [Member] | Issued Capital [Member] | Treasury Shares [Member] | Share Premium [Member] | Retained Earnings [Member] | Reserve Of Exchange Differences On Translation [Member] | Reserve Of Cash Flow Hedges [Member] | Reserve Of Remeasurements Of Defined Benefit Plans [Member] | Noncontrolling Interests [Member] |
Balance at beginning of period at Dec. 31, 2016 | € 11,051,132,000 | € 9,977,657,000 | € 307,222,000 | € (50,993,000) | € 3,960,115,000 | € 6,085,876,000 | € (26,019,000) | € (38,107,000) | € (260,437,000) | € 1,073,475,000 |
Balance at beginning of period (in shares) at Dec. 31, 2016 | 307,221,791 | (999,951) | ||||||||
Proceeds from exercise of options and related tax effects | 4,096,000 | 4,096,000 | 4,014,000 | |||||||
Compensation expense related to stock options | 2,163,000 | 2,163,000 | 2,163,000 | |||||||
Purchase/sale of noncontrolling interests | (14,888,000) | (32,225,000) | (32,225,000) | 17,337,000 | ||||||
Contributions from/to noncontrolling interests | (51,364,000) | (51,364,000) | ||||||||
Net income | 376,983,000 | 308,175,000 | 308,175,000 | 68,808,000 | ||||||
Other comprehensive income (loss) related to: | ||||||||||
Foreign currency translation | (61,369,000) | (48,641,000) | (50,440,000) | 18,000 | 1,781,000 | (12,728,000) | ||||
Cash flow hedges, net of related tax effects | 6,391,000 | 6,391,000 | 6,391,000 | |||||||
Total comprehensive income | 322,005,000 | 265,925,000 | 56,080,000 | |||||||
Balance at end of period at Mar. 31, 2017 | 11,298,053,000 | 10,202,525,000 | € 307,304,000 | € (50,993,000) | 3,934,067,000 | 6,378,960,000 | (76,459,000) | (31,698,000) | (258,656,000) | 1,095,528,000 |
Balance at end of period (in shares) at Mar. 31, 2017 | 307,303,855 | (999,951) | ||||||||
Noncontrolling interests subject to put provisions | 15,091,000 | 15,091,000 | 15,091,000 | |||||||
Adjusted balance application IFRS 9 | (6,466,000) | (6,466,000) | (6,466,000) | |||||||
Noncontrolling interests subject to put provisions | (830,773,000) | |||||||||
Balance at beginning of period at Dec. 31, 2017 | 10,828,186,000 | 9,820,102,000 | € 308,111,000 | € (108,931,000) | 3,969,245,000 | 7,137,255,000 | (1,203,904,000) | (18,336,000) | (263,338,000) | 1,008,084,000 |
Balance at beginning of period (in shares) at Dec. 31, 2017 | 308,111,000 | (1,659,951) | ||||||||
Proceeds from exercise of options and related tax effects | 486,000 | 486,000 | 476,000 | |||||||
Compensation expense related to stock options | 2,014,000 | 2,014,000 | 2,014,000 | |||||||
Withdrawal of treasury stock | 0 | |||||||||
Dividends paid | 0 | |||||||||
Purchase/sale of noncontrolling interests | (8,364,000) | 2,835,000 | 2,835,000 | (11,199,000) | ||||||
Contributions from/to noncontrolling interests | (43,702,000) | (43,702,000) | ||||||||
Net income | 329,709,000 | 278,555,000 | 278,555,000 | 51,154,000 | ||||||
Other comprehensive income (loss) related to: | ||||||||||
Foreign currency translation | (263,651,000) | (238,273,000) | (242,242,000) | 13,000 | 3,956,000 | (25,378,000) | ||||
Cash flow hedges, net of related tax effects | 5,616,000 | 5,616,000 | 5,616,000 | |||||||
Total comprehensive income | 71,674,000 | 45,898,000 | 25,776,000 | |||||||
Balance at end of period at Mar. 31, 2018 | 10,910,948,000 | 9,931,989,000 | € 308,121,000 | € (108,931,000) | € 3,974,570,000 | 7,476,464,000 | € (1,446,146,000) | € (12,707,000) | € (259,382,000) | € 978,959,000 |
Balance at end of period (in shares) at Mar. 31, 2018 | 308,121,322 | (1,659,951) | ||||||||
Noncontrolling interests subject to put provisions | € (742,289,430.11419) | € (67,120,000) | € (67,120,000) |
The Company, basis of presentat
The Company, basis of presentation and significant accounting policies | 3 Months Ended |
Mar. 31, 2018 | |
The Company, basis of presentation and significant accounting policies | |
The Company, basis of presentation and significant accounting policies | 1 . The Company and b asis of p resentation The Company Fresenius Medical Care AG & Co. KGaA (“FMC-AG & Co. KGaA” or the “Company”), a German partnership limited by shares (Kommanditgesellschaft auf Aktien) registered in the commercial registry of Hof an der Saale under HRB 4019, with its business address at Else-Kröner-Str. 1, 61352 Bad Homburg v. d. Höhe, is the world’s largest kidney dialysis company, based on publicly reported sales and number of patients treated. The Company provides dialysi s treatment and related dialysis care services to persons who suffer from end-stage renal disease (“ESRD”), as well as other health care services. The Company also develops and manufactures a wide variety of health care products, which includes dialysis an d non-dialysis products. The Company’s dialysis products include hemodialysis machines, peritoneal cyclers, dialyzers, peritoneal solutions, hemodialysis concentrates, solutions and granulates, bloodlines, renal pharmaceuticals and systems for water treatm ent. The Company’s non-dialysis products include acute cardiopulmonary and apheresis products. The Company supplies dialysis clinics it owns, operates or manages with a broad range of products and also sells dialysis products to other dialysis service prov iders. The Company describes certain of its other health care services as “Care Coordination.” Care Coordination currently includes, but is not limited to, the coordinated delivery of pharmacy services, vascular, cardiovascular and endovascular specialty s ervices as well as ambu latory surgery center services, physician nephrology and cardiology services, health plan services , urgent care services and ambulant treatment services. Care Coordination also includes the coordinated delivery of emergency, intensiv ist and hospitalist physician services as well as transitional care which the Company refers to as “hospital related physician services.” All of these Care Coordination services together with dialysis care and related services represent the Company’s healt h care services. In these unaudited c onsolidated f inancial s tatements, “FMC- AG & Co. KGaA,” or the “Company ” refers to the Company or the Company and its subsidiaries on a consolidated basis, as the context requires. “Fresenius SE” and “Fresenius SE & Co. KGaA” refer to Fresenius SE & Co. KGaA, a German partnership limited by shares resulting from the change of legal form of Fresenius SE (effective as of January 2011), a European Company (Societas Europaea) previously called Fresenius AG, a German stock cor poration. “Management AG” and the “General Partner” refer to Fresenius Medical Care Management AG which is FMC-AG & Co. KGaA’s general partner and is wholly owned by Fresenius SE. “Management Board” refers to the members of the management board of Managem ent AG and, except as otherwise specified, “Supervisory Board” refers to the supervisory board of FMC-AG & Co. KGaA. The term “North America Segment” refers to the North America operating segment, the term “EMEA Segment” refers to the Europe, Middle East a nd Africa operating segment, the term “Asia-Pacific Segment” refers to the Asia-Pacific operating segment, and the term “Latin America Segment” refers to the Latin America operating segment. For further discussion of the Company’s operating segments, see n ote 13 . Basis of p resentation The consolidated financial statements and other financial information included in the Company’s quarterly reports on Form 6-K and its Annual Report on Form 20-F for 2017 were prepared solely in accordance with IFRS as issued by the International Accounting Standards Board (“IASB”), using the euro as the Company’s reporting currency. At March 31 , 2018 , there were no IFRS or International Financial Reporting Interpretation C ommittee (“IFRIC”) interpretations as endorsed by the European Union relevant for interim reporting that differed from IFRS as issued by the IASB. As such, the accompanying condensed interim report complies with the requirements of International Accounting Standard (“IAS”) 34, Interim Financial Reporting as well as with the rules concerning interim reporting as issued by the IASB. The consolidated financial statements at March 31 , 2018 and for the three months ended March 31 , 2018 and 2017 conta ined in this report are unaudited and should be read in conjunction with the consolidated financial statements contained in the Compa ny's 2017 Annual Report on Form 20-F. The preparation of C onsolidated F inancial S tatements in conformity with IFRS requi res management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the C onsolidated F inancial S tatements and the reported amounts of revenue and exp ense during the reporting period. Actual results could differ from those estimates . Such financial statements reflect all adjustments that, in the opinion of management, are necessary for a fair presentation of the results of the periods presented. All suc h adjustments are of a normal recurring nature. As a result of the implementation of IFRS 15 - Revenue from Contracts with Customers and IFRS 9 – Financial Instruments, the Company has updated its accounting policies accordingly. Please refer to “Recently implemented accounting pronouncements ” below for further details on the updated policies. Excluding the policy updates for IFRS 15 and IFRS 9, t he accounting policies applied in the accompanying c onso lidated f inancial s tatements are the same as those applied in the c onsolidated f inancial s tatements as of December 31 , 2017 . Finance lease receivables in the amount of €58,336 in the prior years’ comparative consolidated financial statements have been reclassified from other currents assets to trade accounts and other receivables to conform to the current year’s presentation. The results of operations for the three months ended March 31 , 2018 are not necessarily indicative of the results of operations for the year ending December 31 , 2018 . Recently i mplemented a ccounting p ronouncements The Company has prepared its c onsolidated f inancial s tatements at March 31 , 2018 in conformity with IFRS in force for the interim periods on January 1, 2018 . In the first quarter of 2018 , the Company applied the following new standards relevant for its business for the first time: IFRS 15, Revenue from Contracts with Customers IFRS 9, Financial Instruments IFRS 15 The Company adopted IFRS 15, Revenue from Contracts with Customers , as issued in May 2014 , with the effective date of January 1, 2018. While this standard applies to nearly all contracts with customers, the main exceptions are leases, financial instruments and insurance contracts. In accordance with the transition provisions in IFRS 15 the new rules were only adopted for those contracts that are not completed contracts as of January 1, 2018 following the cumulative effect method with no restatement of the comparative periods presented. The major changes in the Company’s accou nting policies resulting from the implementation of IFRS 15 are summarized below: Health care services For services performed for patients where the collection of the billed amount or a portion of the billed amount cannot be determined at the time services are performed , the Company concludes that the consideration is variable (“implicit price concession”) and records the difference between the billed amount and the amount estimated to be collectible as a reduction to health care s ervices revenue , wherea s p rior to the adoption of IFRS 15 it was recorded as an allowance for doubtful accounts. Implicit price concessions include such items as amounts due from patients without adequate insurance coverage and patient co-payment and deductible amounts due from pat ients with health care coverage. The Company determines implicit price concessions primarily up on past collection history. IFRS 15 requires the consideration of implicit price concessions when determining the transaction price which, through adoption, resulted in the implicit price concessions directly reducing revenue in the amount of €156,592 for the three months ended March 31 , 2018 . Prior to the adoption of IFRS 15, implicit price concessions were included as part of selling, general an d administrative expenses as an allowance for doubtful accounts in the amount of €138,952 for the three months ended March 31 , 2017 . There is no effect on net income as the implicit price concessions are merely presented in different lines within the co nsolidated statements of income . Revenue from insurance contracts will be disclosed as part of “Other revenue” separately from IFRS 15 revenue in the notes to the consolidated financial statements. Health care products In the health care p roduct business , major revenues are generated from the sale of dialysis machines and water treatment systems, disposable products and maintenance agreements for the Company´s h ealth c are p roducts. P rior to the adoption of IFRS 15 revenues were recorded upon transfer of ti tle to the customer, either at the time of shipment, upon receipt or upon any other terms that clearly define passage of title . With the adoption of IFRS 15, r evenues from the sale of dialysis machines and water treatme nt systems are typically recogniz ed u pon installation and provision of the necessary technical instructions as only thereafter does the customer obtain contr ol of the medical device . A portion of dialysis product revenues is generated from arrangements which give the customer, typically a hea lth care provider, the right to use dialysis machines. IFRS 15 specifically excludes leases from the scope of the revenue standard. As a result, the transaction price is allocated in accordance with IFRS 15, and re venue is recogniz ed separately for the lea se and the non-lease components of the contract in accordance with IAS 17. Revenue from lease contracts will be disclosed as part of “Other revenue” separately from IFRS 15 revenue in the notes to the consolidated financial statements. As of March 31, 201 8 there are no contract assets and an immaterial amount of contract liabilities resulting from the implementation of IFRS 15. Contract assets would be shown in the consolidated balance sheet in line item “Trade accounts and other receivables” and contract liabilities are shown in line item “Current provisions and other current liabilities.” IFRS 9 The Company has adopted IFRS 9 Financial instruments with the effective date of January 1, 2018. IFRS 9 was issued in July 2014 and mainly replaced IAS 39 Financial instruments: recognition and measurement. Additionally, the Company has adopted the related amendments to IFRS 7 Financial instruments: disclosures. The major changes in the Company’s accounting policies resulting from the implementation of IFRS 9 are summarised below: Classification and measurement of financial assets and financial liabilities IFRS 9 defined the following three categories for financial assets: measured at amortized cost, measured at fair value through other comprehensive income ( “FVOCI”) and measured at fair value through profit or loss (“FVPL”). The classification depends on the business model that the financial assets are managed in and the contractual terms of the cash flows of the financial assets. IFRS 9 eliminated the follow ing categories that were applicable for the Company under IAS 39: loans and receivables and available for sale financial assets. The requirements for the classification and measurement of financial liabilities have not changed significantly. Consequently, the implementation of IFRS 9 does not have a material impact on the Company’s accounting policies for financial liabilities. Impairment of financial assets IFRS 9 replaces the incurred loss model under IAS 39 with an expected credit loss approach. Under the new approach, the Company is only allowed to recognize an impairment loss if a loss event occurred. This means that generally all impacted financial asset s will carry a loss allowance based on their expected credit losses. Expected credit losses are a probability-weighted estimate of credit losses over the contractual life of the financial assets. This model comprises a three stage approach. Upon recognitio n, the Company shall recognize losses that are expected within the next 12 months. If credit risk deteriorates significantly, from that time, impairment losses shall amount to lifetime expected losses. When assessing for significant increases in credit ris k, the Company shall compare the risk of a default occurring on the financial instrument at the reporting date with the risk of a default occurring on the financial instrument at the date of initial recognition. The Company should consider reasonable and s upportable information including historic loss rates, present developments such as liquidity issues and information about future economic conditions, to ensure foreseeable changes in the customer-specific or macroeconomic environment are considered. In cas e of objective evidence of impairment there is an assignment to stage 3. The assignment of a financial asset to stage 3 should rely on qualitative knowledge on the customers’ unfavorable financial positi on (for example bankruptcy, law suit s with private or public payers), or quantitative criteria, based on an individual maturity analysis. When a counterpart defaults, all financial assets against this counterpart are considered impaired. The definition of default is mainly based on payment practices specific to individual regions and businesses. The Company recognizes a loss allowance for expected credit losses on financial assets measured at amortized cost, contract assets and lease receivables as well as in investments in debt securities measured at fair val ue through other comprehensive income. The financial assets mainly comprise trade accounts receivables and cash and cash equivalents. The amount of expected credit losses is updated at each reporting date to reflect changes in credit risk since initial rec ognition of the respective instrument. Financial assets whose expected credit loss is not assessed individually are grouped on the basis of geographical regions and the impairment is generally assessed on the basis of macroeconomic indicators such as credi t default swaps. For trade accounts receivable, the Company uses the simplified method which requires recognizing lifetime expected credit losses. Expected credit losses on cash and cash equivalents are measured according to the general method which is ba sed on 12-month expected credit losses. Due to the short maturity term of the financial instruments this corresponds with the lifetime expected loss. Based on the external credit ratings of the counterparties the Company considers that its cash and cash equivalents have a low credit risk. Hedge accounting The Company implemented the IFRS 9 hedge accounting model. The new model allows for improved alignment of hedge accounting with risk management strategies and objectives. The Company applies cash flow h edge accounting mainly for the purpose of hedging forecasted transactions relating to inventory purchases and sales. To hedge the resulting foreign currency exposure, the Company generally enters into foreign exchange forward contracts. With the applicatio n of IFRS 9, only the effective fair value changes of the spot component of these contracts will be designated as hedging instrument and accounted for in other comprehensive income (loss) (“OCI”). Forward points are recognized and accumulated in a separate component within OCI. Under IAS 39, the fair value changes of both the spot and forward component were designated as hedging instrument, and recognized in accumulated OCI (“AOCI”). Under IAS 39 accumulated amounts related to cash flow hedges were reclassi fied to profit or loss in the same period as the hedged forecasted transaction affected profit or loss. Under IFRS 9, accumulated amounts in OCI for cash flow hedges of foreign exchange risk in relation to hedged forecasted product purchases from third par ty are directly included in the initial cost of the asset when it is recognized. Recent a ccounting p ronouncements n ot y et a dopted IFRS 16, Leases IFRS 17, Insurance Contracts IFRS 16 In January 2016, the IASB issued IFRS 16, Leases, which supersedes the current standard on lease-accounting, IAS 17, as well as the interpretations IFRIC 4, SIC-15 and SIC-27. IFRS 16 significantly changes lessee accounting. For all leases, a lessee is required to recognize a right-of-use asset representing its right to use t he underlying leased asset and a lease liability representing its obligation to make lease payments. Depreciation of the right-of-use asset and interest on the lease liability must be recognized in the income statement for every lease contract. Therefore, straight-line rental expenses will no longer be shown. The lessor accounting requirements in IAS 17 are substantially carried forward. The standard is effective for fiscal years beginning on or after January 1, 2019. Earlier application is permitted for en tities that have also adopted IFRS 15 Revenue from Contracts with Customers. The Company decided that IFRS 16 will not be adopted early. The Company expects a balance sheet extension due to the on balance sheet recognition of right of use assets and liabil ities for agreed lease payment obligations, currently classified as operating leases, resulting in particular from leased clinics and buildings. Based on a first impact analysis as of December 31, 2015 using certain assumptions and simplifications, the Com pany expects a financial debt increase of approximately €4,000,000. Referring to the consolidated statement of income, the Company expects an operating income improvement due to the split of rent expenses in depreciation and interest expenses, by having un changed cash outflows. The Company also expects that its net leverage ratio (net debt as compared to Earnings before Interest, Taxes, Depreciation and Amortization, “EBITDA”), adjusted for acquisitions and divestitures made during the last twelve months wi th a purchase price above a €50,000 threshold as defined in the Amended 2012 Credit Agreement and non-cash charges) will increase by about 0.5. The impact on the Company will depend on the contract portfolio at the effective date, as well as the transition method. Based on a first impact analysis, the Company will apply the modified retrospective method. Except for the transition method, the Company is currently evaluating the accounting policy options of IFRS 16. IFRS 17 In May 2017, the IASB issued IFRS 17, Insurance Contracts. IFRS 17 establishes principles for the recognition, measurement, presentation and disclosure related to the issuance of insurance contracts. IFRS 17 replaces IFRS 4, Insurance Contracts, which was brought in as an interim s tandard in 2004. IFRS 4 permitted the use of national accounting standards for the accounting of insurance contracts under IFRS. As a result of the varied application for insurance contracts there was a lack of comparability among peer groups. IFRS 17 eliminates this diversity in practice by requiring all insurance contracts to be accounted for using current values. The frequent updates to the insurance values are expected to provide more useful information to users of financial st atements. IFRS 17 is effective for fiscal years beginning on or after January 1, 2021. Earlier adoption is permitted for entities that have also adopted IFRS 9 Financial Instruments and IFRS 15 Revenue from Contracts with Customers. The Company is evaluati ng the impact of IFRS 17 on the consolidated financial statements. In the Company’s view, all other pronouncements issued by the IASB do not have a material impact on the consolidated financial statement s . |
Notes to the consolidated state
Notes to the consolidated statements of income | 3 Months Ended |
Mar. 31, 2018 | |
Notes to the consolidated statements of income | |
Notes to the consolidated statements of income | 2 . Notes to the c onsolidated s tatements of i ncome Revenue The Company has recognized the following revenue in the consolidated statement of income for the three months ended March 31 , 2018 : Revenue in € THOUS For the three months ended March 31, 2018 Revenue from contracts with customers (IFRS 15) Other revenue Total Health care services 3.155.537 53.258 3.208.795 Dialysis services 2.648.293 - 2.648.293 Care Coordination 507.244 53.258 560.502 Health care products 749.098 17.736 766.834 Dialysis products 729.956 17.736 747.692 Non-dialysis products 19.142 - 19.142 Total 3.904.635 70.994 3.975.629 Research and development expenses Research and development expenses of € 31.897 for the three months ended March 31 , 2018 (for the three months ended March 31 , 2017 : € 32.136 ) include expenditure for research and non-capitalizable development costs as well as depreciation and amortization expenses related to capitalized development costs of €80 (for the three months ended March 31 , 2017 : € 104 ). Earnings per share The following table contains reconciliations of the numerators and denominators of the basic and fully diluted earnings per share comput ations for 2018 and 2017 : Reconciliation of Basic and Diluted Earnings per Share in € THOUS, except share and per share data For the three months ended March 31, 2018 2017 Numerator: Net income attributable to shareholders of FMC-AG & Co. KGaA 278.555 308.175 Denominators: Weighted average number of shares outstanding 306.453.070 306.241.321 Potentially dilutive shares 986.454 519.712 Basic earnings per share 0,91 1,01 Fully diluted earnings per share 0,91 1,00 |
Related party transactions
Related party transactions | 3 Months Ended |
Mar. 31, 2018 | |
Related party transactions | |
Related party transactions | 3 . Related p arty t ransactions Fresenius SE is the Company’s largest shareholder and owns 30,8% of the Company’s outstanding shares, excluding treasury shares held by the Company, at March 31 , 2018 . The Company has entered into certain arrangements for services, leases and products with Fresenius SE or its subsidiaries and with certain of the Company’s equity method investees as described in item a) below. The Company’s terms related to the receivables or payables for these services, lea ses and products are generally consistent with the normal terms of the Company’s ordinary course of business transactions with unrelated parties. Financing arrangements as described in item b) below have agreed upon terms which are determined at the time s uch financing transactions occur and reflect market rates at the time of the transaction. The relationship between the Company and its key management personnel who are considered to be related parties is described in item c) below. Our related party transa ctions are settled through Fresenius SE’s cash management system where appropriate. a) Service a greements, l ease a greements and p roducts The Company is party to service agreements with Fresenius SE and certain of its affiliates (collectively the “Fresenius SE Companies”) to receive services, including, but not limited to: administrative services, management information services, employee benefit administration, insurance, information technology services, tax services and treasury management services. The Co mpany also provides central purchasing services to the Fresenius SE Companies. These related party agreements generally have a duration of 1 to 5 years and are renegotiated on an as needed basis when the agreement comes due. The Company provides administra tive services to one of its equity method investees. The Company is a party to real estate operating lease agreements with the Fresenius SE Companies, which mainly include leases for the Company’s corporate headquarters in Bad Homburg, Germany and product ion sites in Schweinfurt and St. Wendel, Germany. The majority of the leases expire at the end of 2026. In addition to the above mentioned service and lease agreements, the Company sold products to the Fresenius SE Companies and made purchases from the Fr esenius SE Companies and equity method investees. In addition, Fresenius Medical Care Holdings, Inc. (“FMCH”) purchases heparin supplied by Fresenius Kabi USA, Inc. (“Kabi USA”), through an independent group purchasing organization (“GPO”). Kabi USA is an indirect, wholly-owned subsidiary of Fresenius SE. The Company has no direct supply agreement with Kabi USA and does not submit purchase orders directly to Kabi USA. FMCH acquires heparin from Kabi USA, through the GPO contract, which was negotiated by the GPO at arm’s length on behalf of all members of the GPO. In December 2010, the Company and Galenica Ltd. (now known as Vifor Pharma Ltd.) formed the renal pharmaceutical company Vifor Fresenius Medical Care Renal Pharma Ltd., (“VFMCRP”), an equity method investee of which the Compa ny owns 45% . The Company has entered into exclusive supply agreements to purchase certain pharmaceuticals from VFMCRP. B elow is a summary, including the Company’s receivables from and payables to the indicated parties resulting from the above described transactions with related parties. Service Agreements, Lease Agreements and Products in € THOUS For the three months ended March 31, 2018 For the three months ended March 31, 2017 March 31, 2018 December 31, 2017 Sales of goods and services Purchases of goods and services Sales of goods and services Purchases of goods and services Accounts Receivables Accounts Payables Accounts Receivables Accounts Payables Service Agreements (1) Fresenius SE 70 5.724 54 5.454 124 2.890 40 2.948 Fresenius SE affiliates 876 24.455 840 18.370 513 3.444 9.445 4.696 Equity method investees 5.060 - 4.236 - 845 - 1.738 - Total 6.006 30.179 5.130 23.824 1.482 6.334 11.223 7.644 Lease Agreements Fresenius SE - 2.069 - 2.211 - - - - Fresenius SE affiliates - 2.532 - 3.153 - - - - Total - 4.601 - 5.364 - - - - Products Fresenius SE affiliates 7.907 9.075 7.794 10.221 11.185 4.164 9.148 3.976 Equity method investees - 121.021 - 98.363 - 116.626 - 36.550 Total 7.907 130.096 7.794 108.584 11.185 120.790 9.148 40.526 (1) In addition to the above shown Accounts Payable, Accrued Expenses for Service Agreements with related parties amounted to €6,055 and €6,397 at March 31, 2018 and December 31, 2017, respectively. b) Financing The Company receives short-term financing from and provides short-term financing to Fresenius SE. The Company also utilizes Fresenius SE’s cash management system for the settlement of certain intercompany receivables an d payables with its subsidiaries and other related parties. As of March 31 , 2018 and December 31 , 2017 , the Company had accounts receivable from Fresenius SE related to short-term financing in the amount of € 108.764 and € 91.026 , respectively. As of March 31 , 2018 and December 31 , 2017 , the Company had accounts payable to Fresenius SE related to short-term financing in the amount of € 84.172 and € 76.159 , respectively. The interest rate s for these cash management arrangements are set on a daily basis and are based on the then-prevailing overnight reference rate , with a floor of zero, for the respective currencies. On August 19, 2009, the Company borrowed € 1.500 from the General Partner on an unsecured basis at 1,335% . The loan repayment has been extended periodically and is currently due August 22, 2018 with an interest rate of 1,100% . On November 28, 2013 , the Company borrowed an additional € 1.500 with an interest rate of 1,875% from the General Partner. The loan repayment has been extended periodically and is currently due on November 2 3 , 201 8 with an inter est rate of 1,100% . At March 31 , 2018 and December 31 , 2017 , a subsidiary of Fresenius SE held unsecured bonds issued by the Company in the amount of € 6.000 and € 6.000 , respectively. The bonds were issued in 2011 and 2012, mature in 2021 and 2019, respectively, and each has a coupon rate of 5.25% with interest payable semiannually. At March 31 , 2018 and December 31 , 2017 , the Company borrowed from Fresenius SE in the amount of € 37.800 on an unsecured basis at an interest rate of 0,825% and € 6.000 on an unsecured basis at an interest rate of 0,825% , respectiv ely . For further information on this loan agreement, see n ote 7 . c) Key m anagement p ersonnel Due to the Company’s legal form of a German partnership limited by shares, the General Partner holds a key management position within the Company. In addition, as key management personnel, members of the Management Board and the Supervisory Board, as well as their close relatives, are cons idered related parties. The Company’s Articles of Association provide that the General Partner shall be reimbursed for any and all expenses in connection with management of the Company’s business, including remuneration of the members of the General Partne r’s supervisory board and the members of the Management Board. The aggregate amount reimbursed to the General Partner was € 4.016 and € 5.383 , respectively, for its management services during the three months ended March 31 , 2018 and 2017 . As of March 31 , 2018 and December 31 , 2017 , the Company had accounts receivable from the General Partner in the amount of € 181 and € 246 , respectively. As of March 31 , 2018 and December 31 , 2017 , the Company had accounts payable to the General Partner in the amount of € 24.941 and € 23.020 , respectively. |
Cash and cash equivalents
Cash and cash equivalents | 3 Months Ended |
Mar. 31, 2018 | |
Cash and cash equivalents | |
Cash and cash equivalents | 4 . Cash and c ash e quivalents As of March 31 , 2018 and December 31 , 2017 , cash and cash equivalents are as follows : Cash and cash equivalents in € THOUS March 31, December 31, 2018 2017 Cash 613.132 620.145 Securities and Time deposits 233.246 357.964 Cash and cash equivalents 846.378 978.109 |
Trade accounts receivable
Trade accounts receivable | 3 Months Ended |
Mar. 31, 2018 | |
Trade accounts receivable | |
Trade accounts receivable | 5 . Trade accounts and other receivables As of March 31 , 2018 , the trade accounts and other receivables, including the corresponding allowance, contain an impact from the implementation of IFRS 9. This results in an increase i n the allowance which amounts to € 4,924 . The implementation of IFRS 15 also had an impact on trade accounts receivable and, correspondingly, on the allowance in North America. This isolated impact of € 351,643 was recorded against trade accounts receivable an d the allowance. As of March 31 , 2018 a nd December 31 , 2017 , trade accounts and other receivables are as follows : Trade accounts and other receivables in € THOUS March 31, December 31, 2018 2017 thereof Credit-Impaired Trade accounts and other receivables, gross 3.892.362 325.130 3.864.217 thereof Finance Lease Receivables 56.857 58.336 less allowances (115.796) (86.677) (474.891) Trade accounts and other receivables 3.776.566 238.453 3.389.326 |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2018 | |
Inventories | |
Inventories | 6 . Inventories At March 31 , 2018 and December 31 , 2017 , inventories consisted of the following: Inventories in € THOUS March 31, December 31, 2018 2017 Finished goods 727.553 672.851 Health care supplies 350.652 343.351 Raw materials and purchased components 195.887 193.295 Work in process 80.411 81.282 Inventories 1.354.503 1.290.779 |
Short-term debt and short-term
Short-term debt and short-term debt from related parties | 3 Months Ended |
Mar. 31, 2018 | |
Short-term debt and short-term debt from related parties | |
Short-term debt and short-term debt from related parties | 7 . Short-term d ebt and s hort-term d ebt from r elated p arties At March 31 , 2018 and December 31 , 2017 , short-term debt and short-term debt from related parties consisted of the following: Short-term debt and short-term debt from related parties in € THOUS March 31, December 31, 2018 2017 Commercial paper program 944.814 679.886 Borrowings under lines of credit 64.634 79.313 Other 1.088 1.080 Short-term debt 1.010.536 760.279 Short-term debt from related parties (see note 3 b) 40.800 9.000 Short-term debt and short-term debt from related parties 1.051.336 769.279 The Company and certain consolidated entities operate a multi-currency notional pooling cash management system. The Company met the conditions to offset balances within this cash pool for reporting purposes. At March 31 , 2018 and December 31 , 2017 , cash and borrowings under lines of credit in the amount of € 109.152 and € 318.654 were offset under this cash management system. Commercial paper program The Company maintains a commercial paper program under which short-term notes of up to €1,000,000 can be issued. At March 31 , 2018 and December 31 , 2017 , the outstanding commercial paper amounted to € 945.000 and € 680.000 , respectively. Other At March 31 , 2018 and December 31 , 2017 , the Company had € 1.088 and € 1.080 of other debt outstanding related to fixed payments outstanding for acquisitions. Short-term debt from related parties The Company is party to an unsecured loan agreement with Fresenius SE under which the Compa ny or FMCH may request and receive one or more short-term advances up to an aggregate amount of $ 400,000 until maturity on July 31 , 20 22 . For further information on short-term debt from related parties, see note 3 b). |
Long-term debt and capital leas
Long-term debt and capital lease obligations | 3 Months Ended |
Mar. 31, 2018 | |
Long-term debt and capital lease obligations | |
Long-term debt and capital lease obligations | 8 . Long-term d ebt and c apital l ease o bligations As of March 31 , 2018 and December 31 , 2017 , long-term debt and capital lease obligations consisted of the following: Long-term debt and capital lease obligations in € THOUS March 31, December 31, 2018 2017 Amended 2012 Credit Agreement 2.079.048 2.017.952 Bonds 3.736.039 3.810.483 Convertible Bonds 388.546 386.984 Accounts Receivable Facility 295.273 293.673 Capital lease obligations 36.277 37.704 Other 134.350 131.611 Long-term debt and capital lease obligations 6.669.533 6.678.407 Less current portion (872.508) (883.535) Long-term debt and capital lease obligations, less current portion 5.797.025 5.794.872 Amended 2012 C redit A greement The following table shows the available and outstanding amounts under the Amended 2012 Credit Agreement at March 31 , 2018 and December 31 , 2017 : Amended 2012 Credit Agreement - Maximum amount available and balance outstanding in THOUS Maximum amount available Balance outstanding March 31, 2018 March 31, 2018 (1) Revolving credit USD $ 900.000 € 730.460 $ 225.000 € 182.615 Revolving credit EUR € 600.000 € 600.000 € - € - USD term loan 5-year $ 1.440.000 € 1.168.736 $ 1.440.000 € 1.168.736 EUR term loan 5-year € 336.000 € 336.000 € 336.000 € 336.000 EUR term loan 3-year € 400.000 € 400.000 € 400.000 € 400.000 € 3.235.196 € 2.087.351 Maximum amount available Balance outstanding December 31, 2017 December 31, 2017 (1) Revolving credit USD $ 900.000 € 750.438 $ 70.000 € 58.367 Revolving credit EUR € 600.000 € 600.000 € - € - USD term loan 5-year $ 1.470.000 € 1.225.715 $ 1.470.000 € 1.225.715 EUR term loan 5-year € 343.000 € 343.000 € 343.000 € 343.000 EUR term loan 3-year € 400.000 € 400.000 € 400.000 € 400.000 € 3.319.153 € 2.027.082 (1) Amounts shown are excluding debt issuance costs. At March 31 , 2018 and December 31 , 2017 , the Company had letters of credit outstanding in the amount of $ 1.690 and $ 1.690 ( € 1.372 and € 1.409 ), respectively, under the USD revolving credit facility, which are not included above as part of the balance outstanding at those dates, but which reduce available borrowings under the applicable revolving credit facility. Accounts Receivable Facility The following table shows the available and outstanding amounts under the Accounts Receivable Facility at March 31 , 2018 and at December 31 , 2017 : Accounts Receivable Facility - Maximum amount available and balance outstanding in THOUS Maximum amount available Balance outstanding March 31, 2018 -1 March 31, 2018 -2 Accounts Receivable Facility $ 800.000 € 649.298 $ 364.500 € 295.836 Maximum amount available Balance outstanding December 31, 2017 -1 December 31, 2017 -2 Accounts Receivable Facility $ 800.000 € 667.056 $ 353.000 € 294.338 (1) Subject to availability of sufficient accounts receivable meeting funding criteria. (2) Amounts shown are excluding debt issuance costs. The Company also had letters of credit outstanding under the Accounts Receivable Facility in the amount of $ 71.244 and $ 71.244 (€ 57.823 and € 59.404 ) at March 31 , 2018 and December 31 , 2017 , respectively. These letters of credit are not included above as part of the balance outstanding at March 31 , 2018 and December 31 , 2017 ; however, they reduce available borrowings under the Accounts Receivable Facility. |
Employee benefit plans
Employee benefit plans | 3 Months Ended |
Mar. 31, 2018 | |
Employee benefit plans | |
Employee benefit plans | 10 . Employee b enefit p lans The Company currently has five principal pension plans, one for German employees, three for French employees and the other covering employees in the United States , the last of which was curtailed in 2002. Plan benefits are generally based on years of service and final salary. As there is no legal requirement in Germany to fund defined benefit plans, the Company's pension obligations in Germany are unfunded. Each year FMCH contributes to the plan covering United States employees at least the minimum required by the Employee Retirement Income Security Act of 1974, as amended. In 2018 , FMCH did not have a minimum funding requirement. For the first three months of 2018 , the Company voluntarily provided € 247 to the defined benefit plan. For the remaining period of 2018 , the Company expects further voluntarily contributions of € 746 . The following table provides the calculations of net periodic benefit cost for the three months ended March 31 , 2018 and 2017 , respectively. Net periodic benefit cost in € THOUS For the three months ended March 31, 2018 2017 Service cost 6.794 7.107 Net interest cost 3.208 2.785 Net periodic benefit costs 10.002 9.892 |
Supplementary information on ca
Supplementary information on capital management | 3 Months Ended |
Mar. 31, 2018 | |
Supplementary information on capital management | |
Supplementary information on capital management | 9 . Supplementary i nformation on c apital m anagement As of March 31 , 2018 and December 31 , 2017 the total equity in percent of total assets was 45,2% and 45,1% , respectively, and the debt in p ercent of total assets was 32,0% and 31,0% , respectively. Further information on the Company’s capital management is available in the Annual Report on Form 20-F as of December 31, 2017. The Company’s financing structure and business model are reflected in the investment grade ratings. The Company is covered by the three leading rating agencies, Moody’s, Standard & Poor’s and Fitch. Rating (1) Standard & Poor´s Moody´s Fitch Corporate Credit Rating BBB- Baa3 BBB- Outlook positive stable stable (1) A rating is not a recommendation to buy, sell or hold securities of the Company, and may be subject to suspension, change or withdrawal at any time by the assigning rating agency. |
Earnings per share
Earnings per share | 3 Months Ended |
Mar. 31, 2018 | |
Earnings per share | |
Earnings per share | Reconciliation of Basic and Diluted Earnings per Share in € THOUS, except share and per share data For the three months ended March 31, 2018 2017 Numerator: Net income attributable to shareholders of FMC-AG & Co. KGaA 278.555 308.175 Denominators: Weighted average number of shares outstanding 306.453.070 306.241.321 Potentially dilutive shares 986.454 519.712 Basic earnings per share 0,91 1,01 Fully diluted earnings per share 0,91 1,00 |
Share-based plans
Share-based plans | 3 Months Ended |
Mar. 31, 2018 | |
Share-based plans | |
Share-based plans | 10 . Employee b enefit p lans The Company currently has five principal pension plans, one for German employees, three for French employees and the other covering employees in the United States , the last of which was curtailed in 2002. Plan benefits are generally based on years of service and final salary. As there is no legal requirement in Germany to fund defined benefit plans, the Company's pension obligations in Germany are unfunded. Each year FMCH contributes to the plan covering United States employees at least the minimum required by the Employee Retirement Income Security Act of 1974, as amended. In 2018 , FMCH did not have a minimum funding requirement. For the first three months of 2018 , the Company voluntarily provided € 247 to the defined benefit plan. For the remaining period of 2018 , the Company expects further voluntarily contributions of € 746 . The following table provides the calculations of net periodic benefit cost for the three months ended March 31 , 2018 and 2017 , respectively. Net periodic benefit cost in € THOUS For the three months ended March 31, 2018 2017 Service cost 6.794 7.107 Net interest cost 3.208 2.785 Net periodic benefit costs 10.002 9.892 |
Commitments and contingencies
Commitments and contingencies | 3 Months Ended |
Mar. 31, 2018 | |
Commitments and contingencies | |
Commitments and contingencies | 11 . Commitments and c ontingencies Legal and regulatory matters The Company is routinely involved in claims, lawsuits, regulatory and tax audits, investigations and other legal matters arising, for the most part, in the ordinary course of its business of providing health care services and products. Legal matters that the Company currently deems to be material or noteworthy are described below. For the matters described below in which the Company believes a loss is both reasonably possible and estimable, an estimate of the loss or range of l oss exposure is provided. For the other matters described below, the Company believes that the loss probability is remote and/or the loss or range of possible losses cannot be reasonably estimated at this time. The outcome of litigation and other legal mat ters is always difficult to predict accurately and outcomes that are not consistent with the Company's view of the merits can occur. The Company believes that it has valid defenses to the legal matters pending against it and is defending itself vigorously. Nevertheless, it is possible that the resolution of one or more of the legal matters currently pending or threatened could have a material adverse effect on its business, results of operations and financial condition. On February 15, 2011, a whistleblowe r (relator) action under the False Claims Act against FMCH was unsealed by order of the United States District Court for the District of Massachusetts and served by the relator. United States ex rel. Chris Drennen v. Fresenius Medical Care Holdings, Inc. , 2009 Civ. 10179 (D. Mass.). The relator's complaint, which was first filed under seal in February 2009, alleged that the Company sought and received reimbursement from government payors for serum ferritin and multiple forms of hepatitis B laboratory tests that were medically unnecessary or not properly ordered by a physician. Discovery on the relator's complaint closed in May 2015. Although the United States initially declined to intervene in the case, the government subsequently changed position. On April 3, 2017, the court allowed the government to intervene with respect only to certain hepatitis B surface antigen tests performed prior to 2011, when Medicare reimbursement rules for such tests changed. The court has subsequently rejected government requests to conduct new discovery and to add counts to its complaint-in-intervention that would expand upon the relator’s complaint, but has allowed FMCH to take discovery against the government as if the government had intervened at the outset. Beginning in 2012, the Company received certain communications alleging conduct in countries outside the U.S. that might violate the FCPA or other anti-bribery laws. Since that time, the Company’s Supervisory Board, through its Audit and Corporate Governance Committee, has conducted investigations with the assistance of independent counsel. In a continuing dialogue, the Company voluntarily advised the SEC and the DOJ about these investigations, while the SEC and DOJ (collectively the “government” or “government agencies”) ha ve conducted their own investigations, in which the Company has cooperated. In the course of this dialogue, the Company identified and reported to the government, and has taken remedial actions including employee disciplinary actions with respect to, con duct that has resulted in the government agencies’ seeking monetary penalties or other sanctions against the Company under the FCPA or other anti-bribery laws. Such conduct or its remediation may impact adversely the Company's ability to conduct business i n certain jurisdictions. The Company has substantially concluded its investigations and undertaken discussions toward a possible settlement with the government agencies that would avoid litigation over government demands related to certain identified cond uct. These discussions are continuing and have not yet achieved an agreement-in-principle; failure to reach agreement and consequent litigation with either or both government agencies remains possible. The discussions have revolved around possible bribery and corruption questions principally related to certain conduct in the Company’s products business in a number of countries. The Company recorded a charge of €200,000 in the fourth quarter of 2017. The charge is based on ongoing settlement negotiations th at would avoid litigation between the Company and the government agencies and represents an estimate from a range of potential outcomes estimated from current discussions. The charge encompasses government agencies claims for profit disgorgement, as well a s accruals for fines or penalties, certain legal expenses and other related costs or asset impairments. The Company continues to implement enhancements to its anti-corruption compliance program, including internal controls related to compliance with inter national anti-bribery laws. The Company continues to be fully committed to FCPA and other anti-bribery law compliance. On April 5, 2013, the U.S. Judicial Panel on Multidistrict Litigation ordered that the numerous lawsuits pending in various federal court s alleging wrongful death and personal injury claims against FMCH and certain of its affiliates relating to FMCH's acid concentrate products NaturaLyte® and GranuFlo® be transferred and consolidated for pretrial management purposes into a consolidated mult idistrict litigation in the United States District Court for the District of Massachusetts. In Re: Fresenius GranuFlo/NaturaLyte Dialysate Products Liability Litigation , Case No. 2013-md-02428. The Massachusetts state courts and the St. Louis City (Missour i) court subsequently established similar consolidated litigation for their cases. In Re: Consolidated Fresenius Cases , Case No. MICV 2013-03400-O (Massachusetts Superior Court, Middlesex County). Similar cases were filed in other state courts. The lawsuit s alleged generally that inadequate labeling and warnings for these products caused harm to patients. On February 17, 2016, the Company reached with a committee of plaintiffs’ counsel and reported to the courts an agreement in principle for settlement of p otentially all cases. The agreement in principle called for the Company to pay $250,000 into a settlement fund in exchange for releases of substantially all the plaintiffs' claims, subject to the Company's right to void the settlement under certain conditi ons. On or about November 28, 2017, after the plaintiff committee and the Company determined that the condition of settlement related to minimum participation had been satisfied, the Company and its insurers funded and consummated the settlement. Fewer tha n fifty (50 ) plaintiffs with cases pending in the U.S. District Court for Massachusetts (Boston); Los Ange les, California county court; Birmingham, Alabama county court; or Staten Island, New York county court declined to participate in the settlement and have expressed intent to continue litigation. These remaining cases represent less than 0.5% of the total cases filed. There are no tri al dates set in the remaining cases and dispositive motions by the Company are either pending or will be pursued in all of them. The remaining personal injury and wrongful death cases, collectively or individual, are not significant to the Company’s finan cial statements and reporting on them will be discontinued. The Company's affected insurers funded $220,000 of the settlement fund, with a reservation of rights regarding certain coverage issues between and among the Company and its insurers. The Company accrued a net expense of $60,000 for consummation of the settlement, including legal fees and other anticipated costs. Following entry of the agreement in principle, the Company’s insurers in the AIG group and the Company each initiated litigation against the other relating to the AIG group’s coverage obligations under applicable policies. In the coverage litigation, the AIG group seeks to be indemnified by the Company for a portion of its $220,000 outlay; the Company seeks to confirm the AIG group’s $220, 000 funding obligation, to recover defense costs already incurred by the Company, and to compel the AIG group to honor defense and indemnification obligations, if any, required for resolution of cases not participating in the settlement. As a result of dec isions on issues of venue, the coverage litigation is proceeding in the New York state trial court for Manhattan. ( National Union Fire Insurance v. Fresenius Medical Care , 2016 Index No. 653108 (Supreme Court o f New York for New York County)). Certain of t he complaints in the GranuFlo ® /NaturaLyte ® litigation named combinations of FMC-AG & Co. KGaA, Management AG, Fresenius SE and Fresenius Management SE as defendants, in addition to FMCH and its domestic United States affiliates. Plaintiffs participating in the settlement dismissed and released their claims encompassing the European defendants. Four institutional plaintiffs filed complaints against FMCH or its affiliates under state deceptive practices statutes resting on certain background allegations comm on to the GranuFlo ® /NaturaLyte ® personal injury litigation, but seeking as remedy the repayment of sums paid to FMCH attributable to the GranuFlo ® /NaturaLyte ® products. These cases implicate different legal standards, theories of liability and forms of pot ential recovery from those in the personal injury litigation and their claims were not extinguished by the personal injury litigation settlement described above. The four plaintiffs are the Attorneys General for the States of Kentucky, Louisiana and Missis sippi and the commercial insurance company Blue Cross Blue Shield of Louisiana in its private capacity. State of Mississippi ex rel. Hood, v. Fresenius Medical Care Holdings, Inc., No. 14-cv-152 (Chancery Court, DeSoto County); State of Louisiana ex re. Ca ldwell and Louisiana Health Service & Indemnity Company v. Fresenius Medical Care Airline , 2016 Civ. 11035 (U.S.D.C. D. Mass.); Commonwealth of Kentucky ex rel. Beshear v. Fresenius Medical Care Holdings, Inc. et al ., No. 16-CI-00946 (Circuit Court, Frankl in County). In August 2014, FMCH received a subpoena from the United States Attorney for the District of Maryland inquiring into FMCH's contractual arrangements with hospitals and physicians involving contracts relating to the management of in-patient acu te dialysis services. FMCH is cooperating in the investigation. In July 2015, the Attorney General for Hawaii issued a civil complaint under the Hawaii False Claims Act alleging a conspiracy pursuant to which certain Liberty Dialysis subsidiaries of FMCH overbilled Hawaii Medicaid for Liberty's Epogen ® administrations to Hawaii Medicaid patients during the period from 2006 through 2010, prior to the time of FMCH's acquisition of Liberty. Hawaii v. Liberty Dialysis – Hawaii, LLC et al. , Case No. 15-1-1357-0 7 (Hawaii 1 st Circuit). The State alleges that Liberty acted unlawfully by relying on incorrect and unauthorized billing guidance provided to Liberty by Xerox State Healthcare LLC, which acted as Hawaii's contracted administrator for its Medicaid program r eimbursement operations during the relevant period. The amount of the overpayment claimed by the State is approximately $8,000, but the State seeks civil remedies, interest, fines, and penalties against Liberty and FMCH under the Hawaii False Claims Act su bstantially in excess of the overpayment. After prevailing on motions by Xerox to preclude it from doing so, FMCH is pursuing third-party claims for contribution and indemnification against Xerox. The State’s False Claims Act complaint was filed after Libe rty initiated an administrative action challenging the State’s recoupment of alleged overpayments from sums currently owed to Liberty. The civil litigation and administrative action are proceeding in parallel. Trial in the civil litigation is scheduled for April 2019. On August 31 and November 25, 2015, respectively, FMCH received subpoenas under the False Claims Act from the United States Attorneys for the District of Colorado and the Eastern District of New York inquiring into FMCH's participation in and management of dialysis facility joint ventures in which physicians are partners. On March 20, 2017, FMCH received a subpoena in the Western District of Tennessee inquiring into certain of the operations of dialysis facility joint ventures with the Universi ty of Tennessee Medical Group, including joint ventures in which FMCH’s interests were divested to Satellite Dialysis in connection with FMCH’s acquisition of Liberty Dialysis in 2012. FMCH is cooperating in these investigations. Beginning October 6, 2015, the United States Attorney for the Eastern District of New York and the Office of Inspector General of the United States Department of Health and Human Services ("OIG") have investigated, through subpoenas issued under the False Claims Act, utilization an d invoicing by the Company’s subsidiary Azura Vascular Care, for a period beginning after the Company’s acquisition of American Access Care LLC in October 2011 (“AAC”). The Company is cooperating in the government's inquiry. Allegations against AAC arising in districts in Connecticut, Florida and Rhode Island relating to utilization and invoicing were settled in 2015. On June 30, 2016, FMCH received a subpoena from the United States Attorney for the Northern District of Texas (Dallas) seeking information un der the False Claims Act about the use and management of pharmaceuticals including Velphoro ® as well as FMCH’s interactions with DaVita Healthcare Partners, Inc. The investigation encompasses DaVita, Amgen, Sanofi, and other pharmaceutical manufacturers an d includes inquiries into whether certain compensation transfers between manufacturers and pharmacy vendors constituted unlawful kickbacks. The Company understands that this investigation is substantively independent of the $63,700 settlement by Davita Rx announced on December 14, 2017 in the matter styled United States ex rel. Gallian v. DaVita Rx , 2016 Civ. 0943 (N.D. Tex.). FMCH is cooperating in the investigation. On November 18, 2016, FMCH received a subpoena under the False Claims Act from the United States Attorney for the Eastern District of New York (Brooklyn) seeking documents and information relating to the operations of Shiel Medical Laboratory, Inc., which FMCH acquired in October 2013. In the course of cooperating in the investigation and prepa ring to respond to the subpoena, FMCH identified falsifications and misrepresentations in documents submitted by a Shiel salesperson that relate to the integrity of certain invoices submitted by Shiel for laboratory testing for patients in long term care f acilities. On February 21, 2017, FMCH terminated the employee and notified the United States Attorney of the termination and its circumstances. The terminated employee’s conduct is expected to result in demands for the Company to refund overpayments and to pay related penalties under applicable laws , but the monetary value of such payment demands cannot yet be reasonably estimated . On December 12, 2017, the Company sold to Quest Diagnostics certain Shiel operations that are the subject of this Brooklyn subp oena, including the misconduct reported to the United States Attorney. Under the sale agreement, the Company retains responsibility for the Brooklyn investigation and its outcome. The Company continues to cooperate in the ongoing investigation. On December 14, 2016, the Center for Medicare & Medicaid Services (“CMS”), which administers the federal Medicare program, published an Interim Final Rule (“IFR”) titled “Medicare Program; Conditions for Coverage for End-Stage Renal Disease Facilities-Third Party Pay ment.” The IFR would have amended the Conditions for Coverage for dialysis providers, like FMCH and would have effectively enabled insurers to reject premium payments made by or on behalf of patients who received grants for individual market coverage from the American Kidney Fund (“AKF” or “the Fund”). The IFR could thus have resulted in those patients losing individual insurance market coverage. The loss of coverage for these patients would have had a material and adverse impact on the operating results of FMCH. On January 25, 2017, a federal district court in Texas responsible for litigation initiated by a patient advocacy group and dialysis providers including FMCH preliminarily enjoined CMS from implementing the IFR. Dialysis Patient Citizens v. Burwel l, 2017 Civ. 0016 (E.D. Texas, Sherman Div.). The preliminary injunction was based on CMS' failure to follow appropriate notice-and-comment procedures in adopting the IFR. The injunction remains in place and the court retains jurisdiction over the dispute. O n June 22, 2017, CMS requested a stay of proceedings in the litigation pending further rulemaking concerning the IFR. CMS stated, in support of its request, that it expects to publish a Notice of Proposed Rulemaking in the Federal Register and otherwise pu rsue a notice-and-comment process. Plaintiffs in the litigation, including FMCH, consented to the stay, which was granted by the court on June 27, 2017. On January 3, 2017, the Company received a subpoena from the United States Attorney for the District of Massachusetts under the False Claims Act inquiring into the Company’s interactions and relationships with the AKF, including the Company’s charitable contributions to the Fund and the Fund’s financial assistance to patients for insurance premiums. FMCH is cooperating in the investigation, which is part of a broader investigation into charitable contributions in the medical industry. The Company believes that the investigation revolves around conduct alleged to be unlawful in United Healthcare v. American R enal Associates, 2018 Civ. 10622 (D. Mass.), but believes that such unlawful conduct was not undertaken by the Company. In early May 2017, the United States Attorney for the Middle District of Tennessee (Nashville) issued identical subpoenas to FMCH and two subsidiaries under the False Claims Act concerning the Company’s retail pharmaceutical business. The investigation is exploring allegations related to improper inducements to dialysis patients to fill oral prescriptions through FMCH’s pharmacy service, improper billing for returned pharmacy products and other allegations similar to those underlying the $63,700 settlement by DaVita Rx in Texas announce d on December 14, 2017. United States ex rel. Gallian , 2016 Civ. 0943 (N.D. Tex.). FMCH is cooperating in the investigation. The Company received a subpoena dated December 11, 2017 from the United States Attorney for the Eastern District of California (Sac ramento) requesting information under the False Claims Act concerning Spectra Laboratories, the Company’s affiliate engaged in laboratory testing for dialysis patients. The inquiry relates to allegations that certain services or materials provided by Spect ra to its outpatient dialysis facility customers constitute unlawful kickbacks. The Company understands that the allegations originate with an industry competitor and is cooperating in the investigation. From time to time, the Company is a party to or may be threatened with other litigation or arbitration, claims or assessments arising in the ordinary course of its business. Management regularly analyzes current information including, as applicable, the Company's defenses and insurance coverage and, as nece ssary, provides accruals for probable liabilities for the eventual disposition of these matters. The Company, like other healthcare providers, insurance plans and suppliers, conducts its operations under intense government regulation and scrutiny. It must comply with regulations which relate to or govern the safety and efficacy of medical products and supplies, the marketing and distribution of such products, the operation of manufacturing facilities, laboratories, dialysis clinics and other health care fa cilities, and environmental and occupational health and safety. With respect to its development, manufacture, marketing and distribution of medical products, if such compliance is not maintained, the Company could be subject to significant adverse regulato ry actions by the U.S. Food and Drug Administration (“FDA”) and comparable regulatory authorities outside the U.S. These regulatory actions could include warning letters or other enforcement notices from the FDA, and/or comparable foreign regulatory author ity which may require the Company to expend significant time and resources in order to implement appropriate corrective actions. If the Company does not address matters raised in warning letters or other enforcement notices to the satisfaction of the FDA a nd/or comparable regulatory authorities outside the U.S., these regulatory authorities could take additional actions, including product recalls, injunctions against the distribution of products or operation of manufacturing plants, civil penalties, seizure s of the Company's products and/or criminal prosecution. FMCH is currently engaged in remediation efforts with respect to one pending FDA warning letter. The Company must also comply with the laws of the United States, including the federal Anti-Kickback S tatute, the federal False Claims Act, the federal Stark Law, the federal Civil Monetary Penalties Law and the federal Foreign Corrupt Practices Act as well as other federal and state fraud and abuse laws. Applicable laws or regulations may be amended, or e nforcement agencies or courts may make interpretations that differ from the Company's interpretations or the manner in which it conducts its business. Enforcement has become a high priority for the federal government and some states. In addition, the provi sions of the False Claims Act authorizing payment of a portion of any recovery to the party bringing the suit encourage private plaintiffs to commence whistleblower actions. By virtue of this regulatory environment, the Company's business activities and pr actices are subject to extensive review by regulatory authorities and private parties, and continuing audits, subpoenas, other inquiries, claims and litigation relating to the Company's compliance with applicable laws and regulations. The Company may not a lways be aware that an inquiry or action has begun, particularly in the case of whistleblower actions, which are initially filed under court seal. The Company operates many facilities and handles the personal data (“PD”) of its patients and beneficiaries throughout the United States and other parts of the world, and engages with other business associates to help it carry out its health care activities. In such a decentralized system, it is often difficult to maintain the desired level of oversight and cont rol over the thousands of individuals employed by many affiliated companies and its business associates. On occasion, the Company or its business associates may experience a breach under the Health Insurance Portability and Accountability Act Privacy Rule and Security Rules, the EU’s General Data Protection Regulation and or other similar laws (“Data Protection Laws”) when there has been impermissible use, access, or disclosure of unsecured PD or when the Company or its business associates neglect to implem ent the required administrative, technical and physical safeguards of its electronic systems and devices, or a data breach that results in impermissible use, access or disclosure of personal identifying information of its employees, patients and beneficiar ies. On those occasions, the Company must comply with applicable breach notification requirements. The Company relies upon its management structure, regulatory and legal resources, and the effective operation of its compliance program to direct, manage an d monitor the activities of its employees. On occasion, the Company may identify instances where employees or other agents deliberately, recklessly or inadvertently contravene the Company's policies or violate applicable law. The actions of such persons ma y subject the Company and its subsidiaries to liability under the Anti-Kickback Statute, the Stark Law, the False Claims Act, Data Protection Laws, the Health Information Technology for Economic and Clinical Health Act and the Foreign Corrupt Practices Act , among other laws and comparable state laws or laws of other countries. Physicians, hospitals and other participants in the healthcare industry are also subject to a large number of lawsuits alleging professional negligence, malpractice, product liabilit y, worker's compensation or related claims, many of which involve large claims and significant defense costs. The Company has been and is currently subject to these suits due to the nature of its business and expects that those types of lawsuits may contin ue. Although the Company maintains insurance at a level which it believes to be prudent, it cannot assure that the coverage limits will be adequate or that insurance will cover all asserted claims. A successful claim against the Company or any of its subsi diaries in excess of insurance coverage could have a material adverse effect upon it and the results of its operations. Any claims, regardless of their merit or eventual outcome, could have a material adverse effect on the Company's reputation and business . The Company has also had claims asserted against it and has had lawsuits filed against it relating to alleged patent infringements or businesses that it has acquired or divested. These claims and suits relate both to operation of the businesses and to t he acquisition and divestiture transactions. The Company has, when appropriate, asserted its own claims, and claims for indemnification. A successful claim against the Company or any of its subsidiaries could have a material adverse effect upon its busines s, financial condition, and the results of its operations. Any claims, regardless of their merit or eventual outcome, could have a material adverse effect on the Company's reputation and business. In Germany , the tax audits for the years 2006 through 2009 have been substantially completed. The German tax authorities have indicated a re-qualification of dividends received in connection with intercompany mandatorily redeemable preferred shares into fully taxable interest payments for these and subsequent yea rs until 2013 and the disallowance of certain other tax deductions. The Company has defended its position and will avail itself of appropriate remedies. An adverse determination with respect to fully taxable interest payments related to intercompany mandat orily redeemable preferred shares and the disallowance of certain other tax deductions could have a material adverse effect on the Company’s financial condition and results of operations. The Company is also subject to ongoing and future tax audits in the U.S., Germany and other jurisdictions in the ordinary course of business . Tax authorities routinely pursue adjustments to the Company’s tax returns and disallowances of claimed tax deductions. When a ppropriate, the Company defends these adjustments and disallowanc es and asserts its own claims. A successful tax related claim against the Company or any of its subsidiaries could have a material adverse effect upon its business, financial condition and re sults of operations. Any claims, regardless of their merit or eventual outcome, could have a material adverse effect on the Company’s reputation and business. Other than those individual contingent liabilities mentioned above, the current estimated amoun t of the Company's other known individual contingent liabilities is immaterial. |
Financial instruments
Financial instruments | 3 Months Ended |
Mar. 31, 2018 | |
Financial instruments | |
Financial instruments | 12 . Financial i nstruments Transition from IAS 39 to IFRS 9 The Company applied IFRS 9 using the modified retrospective method. Comparative periods have not been restated. Differences in the carrying amounts of financial instruments resulting from the adoption of IFRS 9 are recognized in retained earnings as at January 1, 2018. Information presented for 2017 does not reflect the requirements of IFRS 9 and consequently is not comparable to the information presented for 2018 under IFRS 9. At the date of initial application, the Company determined the business model within which a financial asset is held. Further, certain equity investments have been designated at FVOCI. Changes to the hedge accounting policy are applied prospectively. The existin g hedging relationships designated under IAS 39 at December 31, 2017 met the criteria for hedge accounting under IFRS 9 as well and are regarded as continuing hedging relationships. The following table shows the measurement categories under IAS 39 at Decem ber 31, 2017 and the new classification of financial assets under IFRS 9 at January 1, 2018: Financial asset classification under IFRS 9 in € THOUS Categories under IAS 39 New classification under IFRS 9 Carrying amount under IAS 39 Carrying amount under IFRS 9 adjusted December 31, 2017 December 31, 2017 Cash and cash equivalents Not assigned to a category Amortized cost 620.145 620.145 Cash and cash equivalents Not assigned to a category FVPL 357.964 357.964 Trade accounts and other receivables Loans and receivables Amortized cost 3.330.990 3.326.258 Trade accounts and other receivables Not assigned to a category Not classified 58.336 58.144 Accounts receivable from related parties Loans and receivables Amortized cost 111.643 111.643 Derivatives - cash flow hedging instruments (1) Not assigned to a category Not classified 561 561 Derivatives - not designated as hedging instruments (1) FVPL FVPL 113.713 113.713 Equity investments (1) Available for sale FVOCI 16.010 16.010 Equity investments (1) Not assigned to a category FVOCI 10.537 10.537 Equity investments (1) Not assigned to a category FVPL 7.259 7.259 Debt securities (1) Available for sale FVOCI 2.650 2.650 Debt securities (1) Available for sale Not classified 833 833 Other financial assets (1) Loans and receivables Amortized cost 130.964 129.616 Other financial assets (1) Not assigned to a category Not classified 78.368 78.174 Financial assets 4.839.973 4.833.507 1) Included in Other current assets or Other non-current assets in the consolidated balance sheets. Financial liabilities measured at amortized cost under IAS 39 are also classified as measured at amortized cost under IFRS 9, with no change to the carrying amounts of the liabilities. This is also applicable for financial liabilities measured at FVPL under IAS 39 and IFRS 9 as well as financial liabilities not assigned to a category under IAS 39 and not classified under IFRS 9. The transition to IFRS 9 had an impact on retained earnings at January 1, 2018 in the amount of €6,466 . This impact results fr om the recognition of expected credit losses under IFRS 9. For further details on Trade accounts and other receivables, see note 5 . Financial instruments in accordance with IFRS 9 The following tables show the carrying amounts and fair values of the Company’s financial instruments at March 31 , 2018 and December 31, 2017 : Carrying amount and fair value of financial instruments in € THOUS March 31, 2018 Carrying amount Fair value Amortized cost FVPL FVOCI Not classified Total Level 1 Level 2 Level 3 Cash and cash equivalents (1) 613.132 233.246 - - 846.378 - 233.246 - Trade accounts and other receivables 3.704.960 - - 71.606 3.776.566 - - - Accounts receivable from related parties 121.612 - - - 121.612 - - - Derivatives - cash flow hedging instruments - - - 1.830 1.830 - 1.830 - Derivatives - not designated as hedging instruments - 101.459 - - 101.459 - 101.459 - Equity investments - 4.104 20.822 - 24.926 10.356 14.570 - Debt securities - 145.491 2.476 - 147.967 145.491 2.476 - Other financial assets 98.098 - - 74.193 172.291 - - - Other current and non-current assets 98.098 251.054 23.298 76.023 448.473 - - - Financial assets 4.537.802 484.300 23.298 147.629 5.193.029 - - - Accounts payable 508.701 - - - 508.701 - - - Accounts payable to related parties 236.237 - - - 236.237 - - - Short-term debt and short-term debt from related parties 1.051.336 - - - 1.051.336 - - - Long-term debt and capital lease obligations 6.633.256 - - 36.277 6.669.533 - 6.991.614 - Derivatives - cash flow hedging instruments - - - 2.050 2.050 - 2.050 - Derivatives - not designated as hedging instruments - 90.501 - - 90.501 - 90.501 - Variable payments outstanding for acquisitions - 205.097 - - 205.097 - - 205.097 Noncontrolling interest subject to put provisions - - - 742.289 742.289 - - 742.289 Other financial liabilities 1.292.051 - - - 1.292.051 - - - Other current and non-current liabilities 1.292.051 295.598 - 744.339 2.331.988 - - - Financial liabilities 9.721.581 295.598 - 780.616 10.797.795 - - - 1) Highly liquid short-term investments are categorized in level 2 of the fair value hierarchy. Other cash and cash equivalents is not categorized. Carrying amount and fair value of financial instruments in € THOUS December 31, 2017 Carrying amount Fair value Loans and receivables Amortized cost FVPL Available for sale Not assigned to a category Total Level 1 Level 2 Level 3 Cash and cash equivalents (1) - - - - 978.109 978.109 - 357.964 - Trade accounts and other receivables 3.330.990 - - - 58.336 3.389.326 - - - Accounts receivable from related parties 111.643 - - - - 111.643 - - - Derivatives - cash flow hedging instruments - - - - 561 561 - 561 - Derivatives - not designated as hedging instruments - - 113.713 - - 113.713 - 113.713 - Equity investments - - - 16.010 17.796 33.806 16.010 17.796 - Debt securities - - - 3.483 - 3.483 - 3.483 - Other financial assets 130.964 - - - 78.368 209.332 - - - Other current and non-current assets 130.964 - 113.713 19.493 96.725 360.895 - - - Financial assets 3.573.597 - 113.713 19.493 1.133.170 4.839.973 - - - Accounts payable - 590.493 - - - 590.493 - - - Accounts payable to related parties - 147.349 - - - 147.349 - - - Short-term debt and short-term debt from related parties - 769.279 - - - 769.279 - - - Long-term debt and capital lease obligations - 6.640.703 - - 37.704 6.678.407 - 7.084.986 - Derivatives - cash flow hedging instruments - - - - 3.209 3.209 - 3.209 - Derivatives - not designated as hedging instruments - - 111.953 - - 111.953 - 111.953 - Variable payments outstanding for acquisitions - - 205.792 - - 205.792 - - 205.792 Noncontrolling interest subject to put provisions - - - - 830.773 830.773 - - 830.773 Other financial liabilities - 1.446.469 - - - 1.446.469 - - - Other current and non-current liabilities - 1.446.469 317.745 - 833.982 2.598.196 - - - Financial liabilities - 9.594.293 317.745 - 871.686 10.783.724 - - - 1) Highly liquid short-term investments are categorized in level 2 of the fair value hierarchy. Other cash and cash equivalents is not categorized. Derivative and non-derivative financial instruments are categorised in the following three-tier fair value hierarchy that reflects the significance of the inputs in making the measurements. Level 1 is defined as observable inputs, such as quoted prices in active markets. Level 2 is defined as inputs other than quoted prices in active markets that are directly or indirectly observable. Level 3 is defined as unobservable inputs for which little or no market data exists, therefore requiring the Company to dev elop its own assumptions. Fair value information is not provided for financial instruments, if the carrying amount is a reasonable estimate of fair value due to the relatively short period of maturity of these instruments. Transfers between levels of the f air value hierarchy have not occurred as of March 31 , 2018 and December 31 , 2017 . The Company accounts for possible transfers at the end of the reporting period. Derivative financial instruments In order to manage the risk of currency exchange rate flu ctuations and interest rate fluctuations, the Company enters into various hedging transactions by means of derivative instruments with highly rated financial institutions. The Company primarily enters into foreign exchange forward contracts and interest ra te swaps. Derivative contracts that do not qualify for hedge accounting are utilized for economic purposes. The Company does not use financial instruments for trading purposes. Additionally the Company purchased share options in connection with the issuanc e of the Convertible Bonds. Any change in the Company’s share price above the conversion price would be offset by a corresponding value change in the share options. Non-derivative financial instruments The significant methods and assumptions used for the classification and measurement of non-derivative financial instruments are as follows: The Company assessed its business models and the cash flow characteristics of its financial assets. The vast majority of the non-derivative financial assets are held in order to collect the contractual cash flows. The contractual terms of the financial assets allow the conclusion that the cash flows represent payment of principle and interest only. Trade accounts and other receivables, Accounts receivable from related par ties and O ther financial assets are consequently measured at amortized cost. Cash and cash equivalents are comprised of cash funds and other short-term investments. Cash funds are measured at amortized cost. Short-term investments are highly liquid and rea dily convertible to known amounts of cash. Short-term investments are measured at FVPL. This risk of changes in fair value is insignificant. Equity investments are not held for trading. At initial recognition the Company elected, on an instrument-by-instru ment basis, to represent subsequent changes in the fair value of individual investments in OCI. If equity instruments are quoted in an active market, the fair value is based on price quotations at the period-end-date. The majority of debt securities are qu oted in an active market and do not give rise to cash flows that are solely payments of principle and interest. Consequently these securities are measured at FVPL. A small part of the debt securities are held within a business model whose objective is achi eving both contractual cash flows and sell the securities. The standard coupon bonds give rise on specified date to cash flows that are solely payments of principal and interest on the outstanding principal amount. Subsequently these financial assets have been classified as FVOCI. Long-term debt is recognized at its carrying amount. The fair values of major long-term debt are calculated on the basis of market information. Liabilities for which market quotes are available are measured using these quotes. The fair values of the other long-term debt are calculated at the present value of the respective future cash flows. To determine these present values, the prevailing interest rates and credit spreads for the Company as of the balance sheet date are used. Var iable payments outstanding for acquisitions are recognized at their fair value. The estimation of the individual fair values is based on the key inputs of the arrangement that determine the future contingent payment as well as the Company’s expectation of these factors. The Company assesses the likelihood and timing of achieving the relevant objectives. The underlying assumptions are reviewed regularly. Noncontrolling interests subject to put provisions are recognized at their fair value. The methodology th e Company uses to estimate the fair values assumes the greater of net book value or a multiple of earnings, based on historical earnings, development stage of the underlying business and other factors. Additionally, there are put provisions that are valued by an external valuation firm. The external valuation estimates the fair values using a combination of discounted cash flows and a multiple of earnings and/or revenue. When applicable, the obligations are discounted at a pre-tax discount rate that reflect s current market assessments of the time value of money and the risks specific to the liability. The estimated fair values of the noncontrolling interests subject to these put provisions can also fluctuate, and the discounted cash flows as well as the imp licit multiple of earnings and/or revenue at which these noncontrolling interest obligations may ultimately be settled could vary significantly from the Company’s current estimates depending upon market conditions. Following is a roll forward of variable p ayments outstanding for acquisitions and noncontrolling interests subject to put provisions at March 31 , 2018 and December 31 , 2017 : Reconciliation from beginning to ending balance of level 3 financial instruments in € THOUS 2018 2017 Variable payments outstanding for aquisitions Noncontrolling interests subject to put provisions Variable payments outstanding for aquisitions Noncontrolling interests subject to put provisions Beginning balance at January 1, 205.792 830.773 223.504 1.007.733 Increase 676 5.053 21.128 85.322 Decrease (2.131) (4.521) -32.764 -121.057 (Gain) Loss recognized in profit or loss 1.929 32.785 -2.685 160.916 (Gain) Loss recognized in equity - (72.662) - -20.012 Dividends - (27.775) - -164.404 Foreign currency translation and other changes (1.169) (21.364) -3.391 -117.725 Ending balance at March 31, and December 31, 205.097 742.289 205.792 830.773 |
Supplementary cash flow informa
Supplementary cash flow information | 3 Months Ended |
Mar. 31, 2018 | |
Supplementary cash flow information | |
Supplementary cash flow information | 14 . Supplementary c ash f low i nformation The following additional information is provided with respect to net cash provided by (used in) investing activities : Details for net cash provided by (used in) investing activities in € THOUS For the three months ended March 31, 2018 2017 Details for acquisitions Assets acquired -36.062 -155.397 Liabilities assumed 2.608 6.137 Noncontrolling interests subject to put provisions - 5.700 Noncontrolling interests - 563 Non-cash consideration 2.864 -9.917 Cash paid -30.590 -152.914 Less cash acquired 252 383 Net cash paid for acquisitions -30.338 -152.531 Cash paid for investments -146.867 -3.693 Cash paid for intangible assets -4.198 -3.987 Total cash paid for acquisitions and investments, net of cash acquired, and purchases of intangible assets -181.403 -160.211 Details for divestitures Cash received from sale of subsidiaries or other businesses, less cash disposed - 173 Cash received from divestitures of debt securities 82 117 Cash received from repayment of loans 76 9 Proceeds from divestitures 158 299 Acquisitions of the last twelve months increased consolidated earnings in the amount of €2,175 . |
Segment and corporate informati
Segment and corporate information | 3 Months Ended |
Mar. 31, 2018 | |
Segment and corporate information | |
Segment and corporate information | 13 . Segment and c orporate i nformation The Company’s operating segments are the North America Segment, the EMEA Segment, the Asia-Pacific Segment and the Latin America Segment. The operating segments are determined based upon how the Company manages its businesses with geographical responsibilities. All segments are primarily engaged in providing health care services and the distribution of products and equipment for the treatment of ESRD and other extracorporeal therapies . Management evaluate s each segment using measures that reflect all of the segment’s controllable revenues and expenses. With respect to the performance of business operations, management believes that the most appropriate measures are revenue, operating income and operating i ncome margin. The Company does not include income taxes as it believes this is outside the segments’ control. Financing is a corporate function, which the Company’s segments do not control. Therefore, the Company does not include interest expense relating to financing as a segment measurement. Similarly, the Company does not allocate certain costs, which relate primarily to certain headquarters’ overhead charges, including accounting and finance, because the Company believes that these costs are also not wi thin the control of the individual segments . Production of products, production asset management, quality management and procurement related to production are centrally managed at Corporate. The Company’s global research and development is also centrally m anaged at Corporate. These c orporate activities do not fulfill the definition of a segment according to IFRS 8 . Products are transferred to the segments at cost; therefore no internal profit is generated. The associated internal revenue for the product tra nsfers and their elimination are recorded as c orporate activities. Capital expenditures for production are based on the expected demand of the segments and consolidated profitability consideration s. In addition, certain revenues , investments and intangible assets, as well as any related expenses, are not allocated to a segment but are accounted for as Corporate. Information pertaining to the Company’s segment and Corporate activities for the three months ended March 31 , 2018 and 2017 is set forth below: Segment and corporate information in € THOUS North America Segment EMEA Segment Asia-Pacific Segment Latin America Segment Segment Total Corporate Total Three months ended March 31, 2018 Revenue from contracts with external customers 2.719.627 631.224 380.801 169.340 3.900.992 3.643 3.904.635 Other revenues 54.835 4.584 10.661 914 70.994 - 70.994 Revenue external customers 2.774.462 635.808 391.462 170.254 3.971.986 3.643 3.975.629 Inter - segment revenue 400 303 187 39 929 (929) - Revenue 2.774.862 636.111 391.649 170.293 3.972.915 2.714 3.975.629 Operating income 362.208 108.934 74.220 14.114 559.476 (62.600) 496.876 Interest (79.976) Income before income taxes 416.900 Depreciation and amortization (90.655) (28.861) (11.159) (4.580) (135.255) (39.739) (174.994) Income (loss) from equity method investees 18.801 (1.334) 335 102 17.904 - 17.904 Total assets 15.408.120 3.640.775 2.081.140 694.375 21.824.410 2.332.651 24.157.061 thereof investment in equity method investees 316.916 181.938 96.961 23.915 619.730 - 619.730 Additions of property, plant and equipment and intangible assets 141.821 30.405 10.034 3.796 186.056 45.114 231.170 Three months ended March 31, 2017 Revenue external customers 3.374.842 613.687 377.545 177.409 4.543.483 4.637 4.548.120 Inter - segment revenue 674 - 19 57 750 (750) - Revenue 3.375.516 613.687 377.564 177.466 4.544.233 3.887 4.548.120 Operating income 525.815 114.479 81.835 14.405 736.534 (85.255) 651.279 Interest (92.728) Income before income taxes 558.551 Depreciation and amortization (105.007) (30.453) (11.655) (4.508) (151.623) (38.285) (189.908) Income (loss) from equity method investees 14.808 (846) 804 119 14.885 - 14.885 Total assets 17.434.931 3.656.704 1.829.306 704.626 23.625.567 2.154.105 25.779.672 thereof investment in equity method investees 304.409 187.658 97.321 23.851 613.239 - 613.239 Additions of property, plant and equipment and intangible assets 124.701 30.228 9.416 7.360 171.705 40.893 212.598 |
Subsequent events
Subsequent events | 3 Months Ended |
Mar. 31, 2018 | |
Subsequent events | |
Subsequent events | 15 . Events o ccurring after the b alance s heet d ate In 2014, the Company invested in becoming the majority shareholder in Sound, which thereafter acquired Cog ent Healthcare, Inc. On April 20 , 2018 the Company signed a definitive agreement to divest its controlling interest in Sound to an investment consortium led by Summit Partners, L.P. for total transaction proceeds of $2,150,000 (€1,760,000). Closing of the transaction is subject to regulatory approvals and anticipa ted to occur late in 2018. Effective September 1, 2018, Ms. Katarzyna Mazur-Hofsäss, Ph.D., will assume the Management Board position in charge of the EMEA Segment . She follows Dominik Wehner, who decided to step down from his position for personal reason s, effective on December 31, 2017. In the interim period, Rice Powell, Chief Executive Officer of Fresenius Medical Care and Chairman of the Management Board, manages the EMEA Segment . No further significant activities have taken place subsequent to the balance sheet date March 31 , 2018 that have a material impact on the key figures and earnings presented. Currently, there are no other significant changes in the Company’s structure, management, legal form or personnel. |
Notes to the consolidated sta25
Notes to the consolidated statements of income (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes to the consolidated statements of income | |
Disclosure of earnings per share [text block] | Reconciliation of Basic and Diluted Earnings per Share in € THOUS, except share and per share data For the three months ended March 31, 2018 2017 Numerator: Net income attributable to shareholders of FMC-AG & Co. KGaA 278.555 308.175 Denominators: Weighted average number of shares outstanding 306.453.070 306.241.321 Potentially dilutive shares 986.454 519.712 Basic earnings per share 0,91 1,01 Fully diluted earnings per share 0,91 1,00 |
Disclosure of Revenue | Revenue in € THOUS For the three months ended March 31, 2018 Revenue from contracts with customers (IFRS 15) Other revenue Total Health care services 3.155.537 53.258 3.208.795 Dialysis services 2.648.293 - 2.648.293 Care Coordination 507.244 53.258 560.502 Health care products 749.098 17.736 766.834 Dialysis products 729.956 17.736 747.692 Non-dialysis products 19.142 - 19.142 Total 3.904.635 70.994 3.975.629 |
Related party transactions (Tab
Related party transactions (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Related party transactions | |
Schedule of Related Party Transactions | Service Agreements, Lease Agreements and Products in € THOUS For the three months ended March 31, 2018 For the three months ended March 31, 2017 March 31, 2018 December 31, 2017 Sales of goods and services Purchases of goods and services Sales of goods and services Purchases of goods and services Accounts Receivables Accounts Payables Accounts Receivables Accounts Payables Service Agreements (1) Fresenius SE 70 5.724 54 5.454 124 2.890 40 2.948 Fresenius SE affiliates 876 24.455 840 18.370 513 3.444 9.445 4.696 Equity method investees 5.060 - 4.236 - 845 - 1.738 - Total 6.006 30.179 5.130 23.824 1.482 6.334 11.223 7.644 Lease Agreements Fresenius SE - 2.069 - 2.211 - - - - Fresenius SE affiliates - 2.532 - 3.153 - - - - Total - 4.601 - 5.364 - - - - Products Fresenius SE affiliates 7.907 9.075 7.794 10.221 11.185 4.164 9.148 3.976 Equity method investees - 121.021 - 98.363 - 116.626 - 36.550 Total 7.907 130.096 7.794 108.584 11.185 120.790 9.148 40.526 (1) In addition to the above shown Accounts Payable, Accrued Expenses for Service Agreements with related parties amounted to €6,055 and €6,397 at March 31, 2018 and December 31, 2017, respectively. |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Cash and cash equivalents | |
Summary of Cash and cash equivalents | Cash and cash equivalents in € THOUS March 31, December 31, 2018 2017 Cash 613.132 620.145 Securities and Time deposits 233.246 357.964 Cash and cash equivalents 846.378 978.109 |
Trade accounts receivable (Tabl
Trade accounts receivable (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Trade accounts receivable | |
Components of trade accounts receivable | Trade accounts and other receivables in € THOUS March 31, December 31, 2018 2017 thereof Credit-Impaired Trade accounts and other receivables, gross 3.892.362 325.130 3.864.217 thereof Finance Lease Receivables 56.857 58.336 less allowances (115.796) (86.677) (474.891) Trade accounts and other receivables 3.776.566 238.453 3.389.326 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Inventories | |
Summary of Inventories | Inventories in € THOUS March 31, December 31, 2018 2017 Finished goods 727.553 672.851 Health care supplies 350.652 343.351 Raw materials and purchased components 195.887 193.295 Work in process 80.411 81.282 Inventories 1.354.503 1.290.779 |
Short-term debt and short-ter30
Short-term debt and short-term debt from related parties (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Short-term debt and short-term debt from related parties | |
Schedule of short-term debt and short-term debt from related parties | Short-term debt and short-term debt from related parties in € THOUS March 31, December 31, 2018 2017 Commercial paper program 944.814 679.886 Borrowings under lines of credit 64.634 79.313 Other 1.088 1.080 Short-term debt 1.010.536 760.279 Short-term debt from related parties (see note 3 b) 40.800 9.000 Short-term debt and short-term debt from related parties 1.051.336 769.279 |
Long-term debt and capital le31
Long-term debt and capital lease obligations (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Long-term debt and capital lease obligations | |
Schedule of long-term debt and capital lease obligations | Long-term debt and capital lease obligations in € THOUS March 31, December 31, 2018 2017 Amended 2012 Credit Agreement 2.079.048 2.017.952 Bonds 3.736.039 3.810.483 Convertible Bonds 388.546 386.984 Accounts Receivable Facility 295.273 293.673 Capital lease obligations 36.277 37.704 Other 134.350 131.611 Long-term debt and capital lease obligations 6.669.533 6.678.407 Less current portion (872.508) (883.535) Long-term debt and capital lease obligations, less current portion 5.797.025 5.794.872 |
Schedule of available and outstanding amounts under the Amended 2012 Credit Agreement | Amended 2012 Credit Agreement - Maximum amount available and balance outstanding in THOUS Maximum amount available Balance outstanding March 31, 2018 March 31, 2018 (1) Revolving credit USD $ 900.000 € 730.460 $ 225.000 € 182.615 Revolving credit EUR € 600.000 € 600.000 € - € - USD term loan 5-year $ 1.440.000 € 1.168.736 $ 1.440.000 € 1.168.736 EUR term loan 5-year € 336.000 € 336.000 € 336.000 € 336.000 EUR term loan 3-year € 400.000 € 400.000 € 400.000 € 400.000 € 3.235.196 € 2.087.351 Maximum amount available Balance outstanding December 31, 2017 December 31, 2017 (1) Revolving credit USD $ 900.000 € 750.438 $ 70.000 € 58.367 Revolving credit EUR € 600.000 € 600.000 € - € - USD term loan 5-year $ 1.470.000 € 1.225.715 $ 1.470.000 € 1.225.715 EUR term loan 5-year € 343.000 € 343.000 € 343.000 € 343.000 EUR term loan 3-year € 400.000 € 400.000 € 400.000 € 400.000 € 3.319.153 € 2.027.082 (1) Amounts shown are excluding debt issuance costs. |
Schedule of accounts receivable facility | Accounts Receivable Facility - Maximum amount available and balance outstanding in THOUS Maximum amount available Balance outstanding March 31, 2018 -1 March 31, 2018 -2 Accounts Receivable Facility $ 800.000 € 649.298 $ 364.500 € 295.836 Maximum amount available Balance outstanding December 31, 2017 -1 December 31, 2017 -2 Accounts Receivable Facility $ 800.000 € 667.056 $ 353.000 € 294.338 (1) Subject to availability of sufficient accounts receivable meeting funding criteria. (2) Amounts shown are excluding debt issuance costs. |
Employee benefit plans (Tables)
Employee benefit plans (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Employee benefit plans | |
Schedule of components of net periodic benefit cost | Net periodic benefit cost in € THOUS For the three months ended March 31, 2018 2017 Service cost 6.794 7.107 Net interest cost 3.208 2.785 Net periodic benefit costs 10.002 9.892 |
Supplementary information on 33
Supplementary information on capital management (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Supplementary information on capital management | |
Schedule of credit ratings | Rating (1) Standard & Poor´s Moody´s Fitch Corporate Credit Rating BBB- Baa3 BBB- Outlook positive stable stable (1) A rating is not a recommendation to buy, sell or hold securities of the Company, and may be subject to suspension, change or withdrawal at any time by the assigning rating agency. |
Financial instruments (Tables)
Financial instruments (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Financial instruments | ||
Schedule of financial instruments categories and classes | Financial asset classification under IFRS 9 in € THOUS Categories under IAS 39 New classification under IFRS 9 Carrying amount under IAS 39 Carrying amount under IFRS 9 adjusted December 31, 2017 December 31, 2017 Cash and cash equivalents Not assigned to a category Amortized cost 620.145 620.145 Cash and cash equivalents Not assigned to a category FVPL 357.964 357.964 Trade accounts and other receivables Loans and receivables Amortized cost 3.330.990 3.326.258 Trade accounts and other receivables Not assigned to a category Not classified 58.336 58.144 Accounts receivable from related parties Loans and receivables Amortized cost 111.643 111.643 Derivatives - cash flow hedging instruments (1) Not assigned to a category Not classified 561 561 Derivatives - not designated as hedging instruments (1) FVPL FVPL 113.713 113.713 Equity investments (1) Available for sale FVOCI 16.010 16.010 Equity investments (1) Not assigned to a category FVOCI 10.537 10.537 Equity investments (1) Not assigned to a category FVPL 7.259 7.259 Debt securities (1) Available for sale FVOCI 2.650 2.650 Debt securities (1) Available for sale Not classified 833 833 Other financial assets (1) Loans and receivables Amortized cost 130.964 129.616 Other financial assets (1) Not assigned to a category Not classified 78.368 78.174 Financial assets 4.839.973 4.833.507 1) Included in Other current assets or Other non-current assets in the consolidated balance sheets. | |
Schedule of carrying value and fair value of financial instruments | Carrying amount and fair value of financial instruments in € THOUS March 31, 2018 Carrying amount Fair value Amortized cost FVPL FVOCI Not classified Total Level 1 Level 2 Level 3 Cash and cash equivalents (1) 613.132 233.246 - - 846.378 - 233.246 - Trade accounts and other receivables 3.704.960 - - 71.606 3.776.566 - - - Accounts receivable from related parties 121.612 - - - 121.612 - - - Derivatives - cash flow hedging instruments - - - 1.830 1.830 - 1.830 - Derivatives - not designated as hedging instruments - 101.459 - - 101.459 - 101.459 - Equity investments - 4.104 20.822 - 24.926 10.356 14.570 - Debt securities - 145.491 2.476 - 147.967 145.491 2.476 - Other financial assets 98.098 - - 74.193 172.291 - - - Other current and non-current assets 98.098 251.054 23.298 76.023 448.473 - - - Financial assets 4.537.802 484.300 23.298 147.629 5.193.029 - - - Accounts payable 508.701 - - - 508.701 - - - Accounts payable to related parties 236.237 - - - 236.237 - - - Short-term debt and short-term debt from related parties 1.051.336 - - - 1.051.336 - - - Long-term debt and capital lease obligations 6.633.256 - - 36.277 6.669.533 - 6.991.614 - Derivatives - cash flow hedging instruments - - - 2.050 2.050 - 2.050 - Derivatives - not designated as hedging instruments - 90.501 - - 90.501 - 90.501 - Variable payments outstanding for acquisitions - 205.097 - - 205.097 - - 205.097 Noncontrolling interest subject to put provisions - - - 742.289 742.289 - - 742.289 Other financial liabilities 1.292.051 - - - 1.292.051 - - - Other current and non-current liabilities 1.292.051 295.598 - 744.339 2.331.988 - - - Financial liabilities 9.721.581 295.598 - 780.616 10.797.795 - - - 1) Highly liquid short-term investments are categorized in level 2 of the fair value hierarchy. Other cash and cash equivalents is not categorized. Carrying amount and fair value of financial instruments in € THOUS December 31, 2017 Carrying amount Fair value Loans and receivables Amortized cost FVPL Available for sale Not assigned to a category Total Level 1 Level 2 Level 3 Cash and cash equivalents (1) - - - - 978.109 978.109 - 357.964 - Trade accounts and other receivables 3.330.990 - - - 58.336 3.389.326 - - - Accounts receivable from related parties 111.643 - - - - 111.643 - - - Derivatives - cash flow hedging instruments - - - - 561 561 - 561 - Derivatives - not designated as hedging instruments - - 113.713 - - 113.713 - 113.713 - Equity investments - - - 16.010 17.796 33.806 16.010 17.796 - Debt securities - - - 3.483 - 3.483 - 3.483 - Other financial assets 130.964 - - - 78.368 209.332 - - - Other current and non-current assets 130.964 - 113.713 19.493 96.725 360.895 - - - Financial assets 3.573.597 - 113.713 19.493 1.133.170 4.839.973 - - - Accounts payable - 590.493 - - - 590.493 - - - Accounts payable to related parties - 147.349 - - - 147.349 - - - Short-term debt and short-term debt from related parties - 769.279 - - - 769.279 - - - Long-term debt and capital lease obligations - 6.640.703 - - 37.704 6.678.407 - 7.084.986 - Derivatives - cash flow hedging instruments - - - - 3.209 3.209 - 3.209 - Derivatives - not designated as hedging instruments - - 111.953 - - 111.953 - 111.953 - Variable payments outstanding for acquisitions - - 205.792 - - 205.792 - - 205.792 Noncontrolling interest subject to put provisions - - - - 830.773 830.773 - - 830.773 Other financial liabilities - 1.446.469 - - - 1.446.469 - - - Other current and non-current liabilities - 1.446.469 317.745 - 833.982 2.598.196 - - - Financial liabilities - 9.594.293 317.745 - 871.686 10.783.724 - - - 1) Highly liquid short-term investments are categorized in level 2 of the fair value hierarchy. Other cash and cash equivalents is not categorized. | Carrying amount and fair value of financial instruments in € THOUS December 31, 2017 Carrying amount Fair value Loans and receivables Amortized cost FVPL Available for sale Not assigned to a category Total Level 1 Level 2 Level 3 Cash and cash equivalents (1) - - - - 978.109 978.109 - 357.964 - Trade accounts and other receivables 3.330.990 - - - 58.336 3.389.326 - - - Accounts receivable from related parties 111.643 - - - - 111.643 - - - Derivatives - cash flow hedging instruments - - - - 561 561 - 561 - Derivatives - not designated as hedging instruments - - 113.713 - - 113.713 - 113.713 - Equity investments - - - 16.010 17.796 33.806 16.010 17.796 - Debt securities - - - 3.483 - 3.483 - 3.483 - Other financial assets 130.964 - - - 78.368 209.332 - - - Other current and non-current assets 130.964 - 113.713 19.493 96.725 360.895 - - - Financial assets 3.573.597 - 113.713 19.493 1.133.170 4.839.973 - - - Accounts payable - 590.493 - - - 590.493 - - - Accounts payable to related parties - 147.349 - - - 147.349 - - - Short-term debt and short-term debt from related parties - 769.279 - - - 769.279 - - - Long-term debt and capital lease obligations - 6.640.703 - - 37.704 6.678.407 - 7.084.986 - Derivatives - cash flow hedging instruments - - - - 3.209 3.209 - 3.209 - Derivatives - not designated as hedging instruments - - 111.953 - - 111.953 - 111.953 - Variable payments outstanding for acquisitions - - 205.792 - - 205.792 - - 205.792 Noncontrolling interest subject to put provisions - - - - 830.773 830.773 - - 830.773 Other financial liabilities - 1.446.469 - - - 1.446.469 - - - Other current and non-current liabilities - 1.446.469 317.745 - 833.982 2.598.196 - - - Financial liabilities - 9.594.293 317.745 - 871.686 10.783.724 - - - 1) Highly liquid short-term investments are categorized in level 2 of the fair value hierarchy. Other cash and cash equivalents is not categorized. |
Schedule of variable payments outstanding for acquisitions | Reconciliation from beginning to ending balance of level 3 financial instruments in € THOUS 2018 2017 Variable payments outstanding for aquisitions Noncontrolling interests subject to put provisions Variable payments outstanding for aquisitions Noncontrolling interests subject to put provisions Beginning balance at January 1, 205.792 830.773 223.504 1.007.733 Increase 676 5.053 21.128 85.322 Decrease (2.131) (4.521) -32.764 -121.057 (Gain) Loss recognized in profit or loss 1.929 32.785 -2.685 160.916 (Gain) Loss recognized in equity - (72.662) - -20.012 Dividends - (27.775) - -164.404 Foreign currency translation and other changes (1.169) (21.364) -3.391 -117.725 Ending balance at March 31, and December 31, 205.097 742.289 205.792 830.773 |
Supplementary cash flow infor35
Supplementary cash flow information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Supplementary cash flow information | |
Schedule of additional information provided with respect to net cash provided by (used in) investing activities | Details for net cash provided by (used in) investing activities in € THOUS For the three months ended March 31, 2018 2017 Details for acquisitions Assets acquired -36.062 -155.397 Liabilities assumed 2.608 6.137 Noncontrolling interests subject to put provisions - 5.700 Noncontrolling interests - 563 Non-cash consideration 2.864 -9.917 Cash paid -30.590 -152.914 Less cash acquired 252 383 Net cash paid for acquisitions -30.338 -152.531 Cash paid for investments -146.867 -3.693 Cash paid for intangible assets -4.198 -3.987 Total cash paid for acquisitions and investments, net of cash acquired, and purchases of intangible assets -181.403 -160.211 Details for divestitures Cash received from sale of subsidiaries or other businesses, less cash disposed - 173 Cash received from divestitures of debt securities 82 117 Cash received from repayment of loans 76 9 Proceeds from divestitures 158 299 |
Segment and corporate informa36
Segment and corporate information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Segment and corporate information | |
Schedule of segment and corporate activity | Segment and corporate information in € THOUS North America Segment EMEA Segment Asia-Pacific Segment Latin America Segment Segment Total Corporate Total Three months ended March 31, 2018 Revenue from contracts with external customers 2.719.627 631.224 380.801 169.340 3.900.992 3.643 3.904.635 Other revenues 54.835 4.584 10.661 914 70.994 - 70.994 Revenue external customers 2.774.462 635.808 391.462 170.254 3.971.986 3.643 3.975.629 Inter - segment revenue 400 303 187 39 929 (929) - Revenue 2.774.862 636.111 391.649 170.293 3.972.915 2.714 3.975.629 Operating income 362.208 108.934 74.220 14.114 559.476 (62.600) 496.876 Interest (79.976) Income before income taxes 416.900 Depreciation and amortization (90.655) (28.861) (11.159) (4.580) (135.255) (39.739) (174.994) Income (loss) from equity method investees 18.801 (1.334) 335 102 17.904 - 17.904 Total assets 15.408.120 3.640.775 2.081.140 694.375 21.824.410 2.332.651 24.157.061 thereof investment in equity method investees 316.916 181.938 96.961 23.915 619.730 - 619.730 Additions of property, plant and equipment and intangible assets 141.821 30.405 10.034 3.796 186.056 45.114 231.170 Three months ended March 31, 2017 Revenue external customers 3.374.842 613.687 377.545 177.409 4.543.483 4.637 4.548.120 Inter - segment revenue 674 - 19 57 750 (750) - Revenue 3.375.516 613.687 377.564 177.466 4.544.233 3.887 4.548.120 Operating income 525.815 114.479 81.835 14.405 736.534 (85.255) 651.279 Interest (92.728) Income before income taxes 558.551 Depreciation and amortization (105.007) (30.453) (11.655) (4.508) (151.623) (38.285) (189.908) Income (loss) from equity method investees 14.808 (846) 804 119 14.885 - 14.885 Total assets 17.434.931 3.656.704 1.829.306 704.626 23.625.567 2.154.105 25.779.672 thereof investment in equity method investees 304.409 187.658 97.321 23.851 613.239 - 613.239 Additions of property, plant and equipment and intangible assets 124.701 30.228 9.416 7.360 171.705 40.893 212.598 |
The Company, basis of present37
The Company, basis of presentation and significant accounting policies - Principles of consolidation and composition (Details) | Mar. 31, 2018EUR (€) |
The Company, basis of presentation and significant accounting policies | |
finance lease receivables reclassification from other current assets to trade accounts and other receivables to conform to current year's presentation | € 58,336,000 |
The Company, basis of present38
The Company, basis of presentation and significant accounting policies - Financial instruments (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Disclosure of detailed information about financial instruments [line items] | ||
Potential obligations put provisions, current and non-current | € 10,797,795,430.1142 | € 10,783,724,000 |
The Company, basis of present39
The Company, basis of presentation and significant accounting policies - Recent pronouncements (Details) | 3 Months Ended | |
Mar. 31, 2018EUR (€) | Mar. 31, 2017EUR (€) | |
IFRS 15, Revenue From Contracts With Customers | ||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||
Amount decrease of revenue without any effect on net income | € 156,592,000 | € 138,952,000 |
IFRS 16, Leases | ||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||
Expected financial debt increase | 4,000,000,000 | |
Acquisition purchase price threshold | € 50,000,000 | |
Expected increase in leverage ratio | 0.5 |
Discretionary decisions and sou
Discretionary decisions and sources of estimation uncertainties - Trade accounts receivable and allowance for doubtful accounts (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Trade accounts Receivable and Allowance for Doubtful Accounts | ||
Trade accounts receivable, less allowance for doubtful accounts of 482,461 in 2016 and 427,841 in 2015 | € 3,776,566,000 | € 3,389,326,000 |
Allowance for doubtful accounts | € 115,796,000 | € 474,891,000 |
Acquisitions, investments, purc
Acquisitions, investments, purchases of intangible assets and divestitures - Acquisitions and Investments (Details) - EUR (€) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Disclosure of detailed information about business combination [line items] | |||
Cash consideration, net of cash acquired | € 181,403,000 | € 160,211,000 | |
Acquisitions | |||
Cash consideration, net of cash acquired | (30,338,000) | € (152,531,000) | |
Goodwill. | € 11,834,584,000 | € 12,103,921,000 |
Acquisitions, investments, pu42
Acquisitions, investments, purchases of intangible assets and divestitures - Proceeds from divestitures (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Acquisitions, investments, purchases of intangible assets and divestitures | ||
Cash portion of proceeds from divestitures | € 158,000 | € 299,000 |
Notes to the consolidated sta43
Notes to the consolidated statements of income - Revenue (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue [Line Items] | ||
Health Care Services | € 3,208,795,000 | |
Dialysis services | 2,648,293,000 | |
Care Coordination Revenue | 560,502,000 | |
Health Care Products | 766,834,000 | |
Dialysis Products Revenue | 747,692,000 | |
Non-dialysis Product Revenue | 19,142,000 | |
Revenue | 3,975,629,000 | € 4,548,120,000 |
Revenue from contracts with customers (IFRS 15) [Member] | ||
Revenue [Line Items] | ||
Health Care Services | 3,155,537,000 | |
Dialysis services | 2,648,293,000 | |
Care Coordination Revenue | 507,244,000 | |
Health Care Products | 749,098,000 | |
Dialysis Products Revenue | 729,956,000 | |
Non-dialysis Product Revenue | 19,142,000 | |
Revenue | 3,904,635,000 | |
Other revenue [Member] | ||
Revenue [Line Items] | ||
Health Care Services | 53,258,000 | |
Dialysis services | 0 | |
Care Coordination Revenue | 53,258,000 | |
Health Care Products | 17,736,000 | |
Dialysis Products Revenue | 17,736,000 | |
Non-dialysis Product Revenue | 0 | |
Revenue | € 70,994,000 |
Notes to the consolidated sta44
Notes to the consolidated statements of income - Selling, general and administrative expenses (Details) | 3 Months Ended |
Mar. 31, 2018EUR (€) | |
Selling, general and administrative expenses | |
FCPA related charge | € 200,000,000 |
Notes to the consolidated sta45
Notes to the consolidated statements of income - Research and development expenses (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of detailed information about intangible assets [line items] | ||
Research and development expense | € 31,897,000 | € 32,136,000 |
Depreciation and amortisation expense | (174,994,000) | (189,908,000) |
Capitalized development costs | ||
Disclosure of detailed information about intangible assets [line items] | ||
Depreciation and amortisation expense | € 80,000 | € 104,000 |
Earnings per share (Details)
Earnings per share (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Numerators: | ||
Net income attributable to shareholders of FMC-AG & Co. KGaA | € 278,555,000 | € 308,175,000 |
Denominators: | ||
Weighted average number of shares outstanding | 306,453,070 | 306,241,321 |
Potentially dilutive shares | 986,454 | 519,712 |
Basic earnings per share (in dollars per share) | € 0.91 | € 1.01 |
Fully diluted earnings per share (in dollars per share) | € 0.91 | € 1 |
Notes to the consolidated sta47
Notes to the consolidated statements of income - Personnel expenses (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Personnel expenses | ||
thereof retirement benefits | € 10,002,000 | € 9,892,000 |
Notes to the consolidated sta48
Notes to the consolidated statements of income - Net interest (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Notes to the consolidated statements of income | ||
Interest expense | € 104,131,000 | € 121,414,000 |
Interest income | € 24,155,000 | € 28,686,000 |
Notes to the consolidated sta49
Notes to the consolidated statements of income - Income taxes geographical (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of geographical areas [line items] | ||
Income before income taxes | € 416,900,000 | € 558,551,000 |
income tax expense (benefit) | ||
Total tax expense (income) | € 87,191,000 | € 181,568,000 |
Notes to the consolidated sta50
Notes to the consolidated statements of income - Income taxes reconciliation (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Tax reconciliation | ||
Total tax expense (income) | € 87,191,000 | € 181,568,000 |
Notes to the consolidated sta51
Notes to the consolidated statements of income - Net deferred income tax assets and liabilities (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Notes to the consolidated statements of income | ||
Deferred taxes assets | € 324,851,000 | € 315,168,000 |
Deferred taxes liabilities | € 457,800,000 | € 467,540,000 |
Related party transactions - Se
Related party transactions - Service agreements, lease agreements and products - Summary (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Balances | ||
Accounts Payables | € 236,237,000 | € 147,349,000 |
Fresenius SE (largest shareholder) | ||
Balances | ||
Accounts Receivable | 108,764,000 | 91,026,000 |
Accounts Payables | € 84,172,000 | 76,159,000 |
Affiliates of Fresenius SE | Products | ||
Balances | ||
Accounts Payables | 3,976,000 | |
Equity method investees | Products | ||
Balances | ||
Accounts Payables | € 36,550,000 |
Related party transactions - Fi
Related party transactions - Financing (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Balances | ||
Accounts Payables | € 236,237,000 | € 147,349,000 |
Transactions | ||
Outstanding borrowings | 6,669,533,000 | 6,678,407,000 |
Bonds | ||
Transactions | ||
Outstanding borrowings | 3,736,039,000 | 3,810,483,000 |
Fresenius SE (largest shareholder) | ||
Balances | ||
Accounts Receivable | 108,764,000 | 91,026,000 |
Accounts Payables | € 84,172,000 | € 76,159,000 |
Fresenius SE (largest shareholder) | Bonds | Unsecured Term Loan Receivable | ||
Transactions | ||
Interest rate on borrowings (as a percent) | 0.825% | 0.825% |
Outstanding borrowings | € 37,800,000 | € 6,000,000 |
General Partner | ||
Balances | ||
Accounts Receivable | 181,000 | 246,000 |
Accounts Payables | € 24,941,000 | € 23,020,000 |
General Partner | Unsecured debt - originated in 2009 | ||
Transactions | ||
Interest rate on borrowings (as a percent) | 1.10% | |
Outstanding borrowings | € 1,500,000 | |
General Partner | Unsecured debt - originated in 2013 | ||
Transactions | ||
Interest rate on borrowings (as a percent) | 1.10% | |
Outstanding borrowings | € 1,500,000 | |
Subsidiary of Fresenius SE | Bonds | ||
Transactions | ||
Interest rate on borrowings (as a percent) | 5.25% | 5.25% |
Outstanding borrowings | € 6,000,000 | € 6,000,000 |
Related party transactions - Ke
Related party transactions - Key management personnel (Details) - EUR (€) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Transactions | |||
Capital | € 308,121,000 | € 308,111,000 | |
Balances | |||
Accounts Payables | 236,237,000 | 147,349,000 | |
General Partner | |||
Transactions | |||
Reimbursements paid to related party for management services | 4,016,000 | € 5,383,000 | |
Balances | |||
Accounts Receivable | 181,000 | 246,000 | |
Accounts Payables | € 24,941,000 | € 23,020,000 |
Cash and cash equivalents (Deta
Cash and cash equivalents (Details) - EUR (€) | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Jan. 01, 2017 |
Cash and cash equivalents | |||||
Cash | € 613,132,000 | € 620,145,000 | |||
Securities and time deposits | 233,246,000 | 357,964,000 | |||
Cash and cash equivalents | € 846,378,000 | € 978,109,000 | € 978,109,000 | € 670,575,000 | € 708,882,000 |
Trade accounts receivable - Tra
Trade accounts receivable - Trade accounts receivable, less allowance for doubtful accounts (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Trade accounts receivable [Line Items] | ||
Trade accounts receivable | € 3,892,362,000 | € 3,864,217,000 |
finance lease receivables | 56,856,763.53 | 58,336,000 |
less allowance for doubtful accounts | 115,796,000 | 474,891,000 |
Trade accounts receivable, net | 3,776,566,000 | 3,389,326,000 |
Trade accounts receivable included in other non-current assets | 85,725,000 | € 90,344,000 |
Allowance Trade Accounts Receivable Allowance Increase | 4,924,000 | |
Allowance Trade Accounts Receivable Increase IFRS 15 | 351,643,000 | |
Allowance Trade Accounts Receivable Non Current IFRS 9 | 235,000 | |
Credit impaired trade AR [Member] | ||
Trade accounts receivable [Line Items] | ||
Trade accounts receivable | 325,130,000 | |
less allowance for doubtful accounts | 86,677,000 | |
Trade accounts receivable, net | € 238,453,000 |
Trade accounts receivable - Dev
Trade accounts receivable - Development of allowance for doubtful accounts (Details) | 3 Months Ended |
Mar. 31, 2018EUR (€) | |
Development of Allowance For Doubtful Accounts | |
Allowance for doubtful accounts, beginning of period | € 474,891,000 |
Change in valuation allowances as recorded in the consolidated statements of income | 351,643,000 |
Allowance for doubtful accounts, end of period | € 115,796,000 |
Trade Accounts Receivable - Agi
Trade Accounts Receivable - Aging Analysis of Trade Accounts Receivable and the Allowance For Doubtful Accounts (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Aging Analysis of Trade Accounts Receivable | ||
Trade accounts receivable | € 3,892,362,000 | € 3,864,217,000 |
less allowance for doubtful accounts | (115,796,000) | (474,891,000) |
Trade accounts receivable, net | € 3,776,566,000 | € 3,389,326,000 |
Inventories (Details)
Inventories (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Inventories [Line Items] | ||
Finished Goods | € 727,553,000 | € 672,851,000 |
Health care supplies | 350,652,000 | 343,351,000 |
Raw materials and purchased components | 195,887,000 | 193,295,000 |
Work in process | 80,411,000 | 81,282,000 |
Inventories | € 1,354,503,000 | € 1,290,779,000 |
Other current assets (Details)
Other current assets (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Other current assets | ||
Other current assets | € 744,551,000 | € 604,450,000 |
Property, plant and equipment (
Property, plant and equipment (Details) | Mar. 31, 2018EUR (€) |
Changes in property, plant, and equipment: | |
Balance, beginning of period | € 3,491,771,000 |
Balance, ending of period | 3,478,381,000 |
Property, plant and equipment | € 3,478,381,000 |
Intangible assets and goodwill
Intangible assets and goodwill - Acquisition or manufacturing costs of intangible assets and goodwill (Details) | Mar. 31, 2018EUR (€) |
Detailed information on intangible assets | |
Intangible assets other than goodwill | € 682,208,000 |
Goodwill | 11,834,584,000 |
Reconciliation of intangible assets other than goodwill | |
Balance at the beginning of the period | 683,058,000 |
Balance at the end of the period | 682,208,000 |
Reconciliation of goodwill | |
Balance at the beginning of the period | 12,103,921,000 |
Balance at the end of the period | € 11,834,584,000 |
Intangible assets and goodwil63
Intangible assets and goodwill - Goodwill and intangible assets with indefinite useful Life (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Disclosure of geographic region | ||
Goodwill | € 11,834,584,000 | € 12,103,921,000 |
Intangible assets other than goodwill | € 682,208,000 | € 683,058,000 |
Current provisions and other cu
Current provisions and other current liabilities (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Miscellaneous current liabilities | ||
Variable payments outstanding for acquisitions | € 205,097,000 | € 205,792,000 |
Short-term debt and short-ter65
Short-term debt and short-term debt from related parties (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Long-term Debt and Capital Lease Obligations. | ||
Short-term debt | € 1,010,536,000 | € 760,279,000 |
Short-term debt from related parties | 40,800,000 | 9,000,000 |
Short-term debt and short-term debt from related parties | 1,051,336,000 | 769,279,000 |
Commercial paper borrowing limit | 1,000,000,000 | |
Remaining borrowing capacity | 55,000,000 | 320,000,000 |
Offset amount | 109,152,000 | 318,654,000 |
Short term borrowing from related party | 400,000,000 | |
Commercial paper program | ||
Long-term Debt and Capital Lease Obligations. | ||
Short-term debt | 944,814,000 | 679,886,000 |
Borrowings under lines of credit | ||
Long-term Debt and Capital Lease Obligations. | ||
Short-term debt | 64,634,000 | 79,313,000 |
Other | ||
Long-term Debt and Capital Lease Obligations. | ||
Short-term debt | € 1,088,000 | € 1,080,000 |
Long-term debt and capital le66
Long-term debt and capital lease obligations - Long-term debt and capital lease obligations (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | € 6,669,533,000 | € 6,678,407,000 |
Less current portion | (872,508,000) | (883,535,000) |
Long-term debt and capital lease obligations, less current portion | 5,797,025,000 | 5,794,872,000 |
Amended 2012 credit agreement | ||
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | 2,079,048,000 | 2,017,952,000 |
Bonds | ||
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | 3,736,039,000 | 3,810,483,000 |
Convertible Bonds | ||
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | 388,546,000 | 386,984,000 |
Accounts Receivable Facility | ||
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | 295,273,000 | 293,673,000 |
Capital lease obligations | ||
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | 36,277,000 | 37,704,000 |
Other | ||
Long-term Debt and Capital Lease Obligations. | ||
Total long-term debt and capital lease obligations | € 134,350,000 | € 131,611,000 |
Long-term debt and capital le67
Long-term debt and capital lease obligations - Amended 2012 credit agreement (Details) - EUR (€) € in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Amended 2012 credit agreement | ||
Long-term Debt and Capital Lease Obligations. | ||
Entered in to credit facility / Maximum amount available | € 3,235,196 | € 3,319,153 |
Balance outstanding | 2,087,351 | 2,027,082 |
Revolving credit facility | ||
Long-term Debt and Capital Lease Obligations. | ||
Letters of credit outstanding | 1,372 | 1,409 |
Revolving credit facility USD | ||
Long-term Debt and Capital Lease Obligations. | ||
Entered in to credit facility / Maximum amount available | 730,460 | 750,438 |
Balance outstanding | 182,615 | 58,367 |
Revolving credit facility EUR | ||
Long-term Debt and Capital Lease Obligations. | ||
Entered in to credit facility / Maximum amount available | 600,000 | 600,000 |
USD term loan 5-year | ||
Long-term Debt and Capital Lease Obligations. | ||
Entered in to credit facility / Maximum amount available | 1,168,736 | 1,225,715 |
Balance outstanding | 1,168,736 | 1,225,715 |
EUR term loan 5-year | ||
Long-term Debt and Capital Lease Obligations. | ||
Entered in to credit facility / Maximum amount available | 336,000 | 343,000 |
Balance outstanding | 336,000 | 343,000 |
EUR term loan 3-year | ||
Long-term Debt and Capital Lease Obligations. | ||
Entered in to credit facility / Maximum amount available | 400,000 | 400,000 |
Balance outstanding | € 400,000 | € 400,000 |
Long-term debt and capital le68
Long-term debt and capital lease obligations - Bonds (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Long-term Debt and Capital Lease Obligations. | ||
Outstanding borrowings | € 6,669,533,000 | € 6,678,407,000 |
Bonds | ||
Long-term Debt and Capital Lease Obligations. | ||
Outstanding borrowings | € 3,736,039,000 | € 3,810,483,000 |
Long-term debt and capital le69
Long-term debt and capital lease obligations - Accounts Receivable Facility, Other and Secured debt (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Long-term Debt and Capital Lease Obligations. | ||
Current Portion of long term borrowings | € 872,508,000 | € 883,535,000 |
Amended 2012 credit agreement | ||
Long-term Debt and Capital Lease Obligations. | ||
Maximum amount available | 3,235,196,000 | 3,319,153,000 |
Balance outstanding | 2,087,351,000 | 2,027,082,000 |
Accounts Receivable Facility | ||
Long-term Debt and Capital Lease Obligations. | ||
Maximum amount available | 649,298,000 | 667,056,000 |
Balance outstanding | 295,836,000 | 294,338,000 |
Letters of credit outstanding | € 57,823,000 | € 59,404,000 |
Non-current provisions and othe
Non-current provisions and other non-current liabilities (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Disclosure of non-current provisions and other provisions [line items] | ||
Noncurrent provisions and other noncurrent liabilities | € 901,082,000 | € 975,645,000 |
Employee benefit plans - Define
Employee benefit plans - Defined benefit pension plans (Details) | 3 Months Ended |
Mar. 31, 2018EUR (€) | |
Defined benefit pension plans | |
Company contribution to plan | € 820,000 |
Expected funding for next fiscal year | € 176,000 |
Employee benefit plans - Funded
Employee benefit plans - Funded status (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Net defined benefit liability and asset | ||
Employer contributions | € 820,000 | |
Non-current portion of pension liability | € 536,825,000 | € 530,559,000 |
Employee benefit plans - Compon
Employee benefit plans - Components of net periodic benefit cost (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of defined benefit plans [line items] | ||
Service cost | € 6,794,000 | € 7,107,000 |
Net interest cost | 3,208,000 | 2,785,000 |
Net periodic benefit costs | € 10,002,000 | € 9,892,000 |
Shareholders' equity - Conditio
Shareholders' equity - Conditional capital (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of classes of share capital [line items] | ||
Increase in capital stock from exercise of stock options | € 486,000 | € 4,096,000 |
Shareholders' equity - Treasury
Shareholders' equity - Treasury stock (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Treasury stock | ||
Cancellation of treasury shares | € 0 | |
Treasury shares | € 108,931,000 | € 108,931,000 |
Shareholders' Equity - Dividend
Shareholders' Equity - Dividends (Details) | 3 Months Ended |
Mar. 31, 2018EUR (€) | |
Dividends | |
Total dividends paid | € 0 |
Supplementary information on 77
Supplementary information on capital management (Details) - EUR (€) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | |
Supplementary information on capital management | ||||
Total equity including noncontrolling interests | € 10,910,948,000 | € 10,828,186,000 | € 11,298,053,000 | € 11,051,132,000 |
Total assets | € 24,157,061,000 | € 24,025,128,000 | € 25,779,672,000 | |
Debt in % of total assets | 31.96% | 30.99% | ||
Total equity in % of total assets | 45.16% | 45.07% |
Share-based Plans - Stock Optio
Share-based Plans - Stock Options Other Disclosure (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Proceeds from exercise of stock options | € 562,000 | € 4,436,000 |
Commitments and contingencies (
Commitments and contingencies (Details) - 3 months ended Mar. 31, 2018 | EUR (€) | USD ($) |
Disclosure Of Contingent Liabilities Line Items | ||
FCPA related charge | € | € 200,000,000 | |
Number of U.S. FDA Pending Warning Letters | 1 | |
Acid Concentrate Products - Personal Injury | ||
Disclosure Of Contingent Liabilities Line Items | ||
Litigation settlement amount | $ | $ 250,000,000 | |
Litigation settlement insurance recovery | $ | 220,000,000 | |
Net litigation settlement expense recorded | € | € 60,000,000 | |
Number of plaintiffs | 50 | |
Subpoena from the United States Attorney for the Northern District of Texas | ||
Disclosure Of Contingent Liabilities Line Items | ||
Litigation settlement by Davita Rx | € | € 63,700,000 | |
Hawaii Medicaid False Claims | ||
Disclosure Of Contingent Liabilities Line Items | ||
Litigation settlement amount | $ | $ 8,000,000 |
Financial instruments - Categor
Financial instruments - Categories (Details) - EUR (€) | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Jan. 01, 2017 |
Category Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | € 846,378,000 | € 978,109,000 | € 978,109,000 | € 670,575,000 | € 708,882,000 |
trade accounts receivable and other receivables | 3,776,566,000 | 3,389,326,000 | |||
accounts receivable related parties | 121,612,000 | 111,643,000 | |||
Derivatives cash flow hedging instruments | 1,830,000 | 561,000 | |||
Derivatives not designated as hedging instruments | 101,459,000 | 113,713,000 | |||
Equity investments | 24,926,000 | 33,806,000 | |||
Debt securities | 147,967,000 | 3,483,000 | |||
Other financial assets | 172,291,000 | 209,332,000 | |||
Financial assets | € 5,193,029,000 | 4,833,507,000 | 4,839,973,000 | ||
Financial Assets At Amortised Cost [Member] | Financial Instruments Not Assigned To Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | 620,145,000 | 620,145,000 | |||
Financial Assets At Amortised Cost [Member] | Loans And Receivables Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
trade accounts receivable and other receivables | 3,326,258,000 | 3,330,990,000 | |||
accounts receivable related parties | 111,643,000 | 111,643,000 | |||
Other financial assets | 129,616,000 | 130,964,000 | |||
Financial Assets At Fair Value Through Profit Or Loss Category [Member] | Financial Instruments Not Assigned To Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | 357,964,000 | 357,964,000 | |||
Equity investments | 7,259,000 | 7,259,000 | |||
Financial Assets At Fair Value Through Profit Or Loss Category [Member] | Financial Assets At Fair Value Through Profit Or Loss Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
Derivatives not designated as hedging instruments | 113,713,000 | 113,713,000 | |||
Assets And Liabilities Not Classified As Held For Sale [Member] | Financial Instruments Not Assigned To Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
trade accounts receivable and other receivables | 58,144,000 | 58,336,000 | |||
Derivatives cash flow hedging instruments | 561,000 | ||||
Derivatives not designated as hedging instruments | 561,000 | ||||
Other financial assets | 78,174,000 | 78,368,000 | |||
Assets And Liabilities Not Classified As Held For Sale [Member] | Financial Assets Availableforsale Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
Debt securities | 833,000 | 833,000 | |||
Financial Assets At Fair Value Through Other Comprehensive Income Category [Member] | Financial Instruments Not Assigned To Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
Equity investments | 10,537,000 | 10,537,000 | |||
Financial Assets At Fair Value Through Other Comprehensive Income Category [Member] | Financial Assets Availableforsale Category [Member] | |||||
Category Disclosure of detailed information about financial instruments [line items] | |||||
Equity investments | 16,010,000 | € 16,010,000 | |||
Debt securities | € 2,650,000 |
Financial instruments - Carryin
Financial instruments - Carrying amount and fair value (Details) - EUR (€) | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Jan. 01, 2017 |
Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | € 846,378,000 | € 978,109,000 | € 978,109,000 | € 670,575,000 | € 708,882,000 |
trade accounts receivable and other receivables | 3,776,566,000 | 3,389,326,000 | |||
accounts receivable related parties | 121,612,000 | 111,643,000 | |||
Derivatives cash flow hedging instruments | 1,830,000 | 561,000 | |||
Derivatives not designated as hedging instruments | 101,459,000 | 113,713,000 | |||
Equity investments | 24,926,000 | 33,806,000 | |||
Debt securities | 147,967,000 | 3,483,000 | |||
Other financial assets | 172,291,000 | 209,332,000 | |||
Other Current and Non Current Financial Assets | 448,473,000 | 360,895,000 | |||
Financial assets | 5,193,029,000 | € 4,833,507,000 | 4,839,973,000 | ||
accounts payable | 508,701,000 | 590,493,000 | |||
Amounts payable, related party transactions | 236,237,000 | 147,349,000 | |||
Current Debt Instruments Issued | 1,051,336,000 | 769,279,000 | |||
Noncurrent Debt Instruments Issued | 6,669,533,000 | 6,678,407,000 | |||
Derivatives cash flow hedging instruments liabilities | 2,050,000 | 3,209,000 | |||
Derivatives not designated as hedging instruments liabilities | 90,501,000 | 111,953,000 | |||
Current variable payments outstanding for acquisitions | 205,097,000 | 205,792,000 | |||
Noncontrolling Interest Subject To Put provisions | 742,289,430.11419 | 830,773,000 | € (15,091,000) | ||
other current financial liabilities | 1,292,051,000 | 1,446,469,000 | |||
other current and noncurrent financial liabilities | 2,331,988,430.11419 | 2,598,196,000 | |||
Financial liabilities | 10,797,795,430.1142 | 10,783,724,000 | |||
Level 1 | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Equity investments | 10,356,000 | 16,010,000 | |||
Debt securities | 145,491,000 | ||||
Level 2 | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | 233,246,000 | 357,964,000 | |||
Derivatives cash flow hedging instruments | 1,830,000 | 561,000 | |||
Derivatives not designated as hedging instruments | 101,459,000 | 113,713,000 | |||
Equity investments | 14,570,000 | 17,796,000 | |||
Debt securities | 2,476,000 | 3,483,000 | |||
Noncurrent Debt Instruments Issued | 6,991,614,000 | 7,084,986,000 | |||
Derivatives cash flow hedging instruments liabilities | 2,050,000 | 3,209,000 | |||
Derivatives not designated as hedging instruments liabilities | 90,501,000 | 111,953,000 | |||
Level 3 | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Current variable payments outstanding for acquisitions | 205,097,000 | 205,792,000 | |||
Noncontrolling Interest Subject To Put provisions | 742,289,430.11419 | 830,773,000 | |||
Financial Assets At Fair Value Through Profit Or Loss Category [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | 233,246,000 | ||||
Derivatives not designated as hedging instruments | 101,459,000 | ||||
Equity investments | 4,104,000 | ||||
Debt securities | 145,491,000 | ||||
Other Current and Non Current Financial Assets | 251,054,000 | ||||
Financial assets | 484,300,000 | ||||
Financial Assets At Fair Value Through Profit Or Loss Category [Member] | Level 1 | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Derivatives not designated as hedging instruments | 113,713,000 | ||||
Other Current and Non Current Financial Assets | 113,713,000 | ||||
Financial assets | 113,713,000 | ||||
Financial Liabilities At Fair Value Through Profit Or Loss Category [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Derivatives not designated as hedging instruments liabilities | 90,501,000 | 111,953,000 | |||
Current variable payments outstanding for acquisitions | 205,097,000 | 205,792,000 | |||
other current and noncurrent financial liabilities | 295,598,000 | 317,745,000 | |||
Financial liabilities | 295,598,000 | 317,745,000 | |||
Financial Assets Availableforsale Category [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Equity investments | 16,010,000 | ||||
Debt securities | 3,483,000 | ||||
Other Current and Non Current Financial Assets | 19,493,000 | ||||
Financial assets | 19,493,000 | ||||
Financial Instruments Not Assigned To Category [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | 978,109,000 | ||||
trade accounts receivable and other receivables | 71,606,000 | 58,336,000 | |||
Derivatives cash flow hedging instruments | 1,830,000 | 561,000 | |||
Equity investments | 17,796,000 | ||||
Other financial assets | 74,193,000 | 78,368,000 | |||
Other Current and Non Current Financial Assets | 76,023,000 | 96,725,000 | |||
Financial assets | 147,629,000 | 1,133,170,000 | |||
Noncurrent Debt Instruments Issued | 36,277,000 | 37,704,000 | |||
Derivatives cash flow hedging instruments liabilities | 2,050,000 | 3,209,000 | |||
Noncontrolling Interest Subject To Put provisions | 742,289,430.11419 | 830,773,000 | |||
other current and noncurrent financial liabilities | 744,339,430.11419 | 833,982,000 | |||
Financial liabilities | 780,616,430.11419 | 871,686,000 | |||
Loans And Receivables Category [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
trade accounts receivable and other receivables | 3,330,990,000 | ||||
accounts receivable related parties | 111,643,000 | ||||
Other financial assets | 130,964,000 | ||||
Other Current and Non Current Financial Assets | 130,964,000 | ||||
Financial assets | 3,573,597,000 | ||||
Financial Assets At Amortised Cost [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Cash and cash equivalents. | 613,132,000 | ||||
trade accounts receivable and other receivables | 3,704,960,000 | ||||
accounts receivable related parties | 121,612,000 | ||||
Other financial assets | 98,098,000 | ||||
Other Current and Non Current Financial Assets | 98,098,000 | ||||
Financial assets | 4,537,802,000 | ||||
Financial Liabilities At Amortised Cost [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
accounts payable | 508,701,000 | 590,493,000 | |||
Amounts payable, related party transactions | 236,237,000 | 147,349,000 | |||
Current Debt Instruments Issued | 1,051,336,000 | 769,279,000 | |||
Noncurrent Debt Instruments Issued | 6,633,256,000 | 6,640,703,000 | |||
other current financial liabilities | 1,292,051,000 | 1,446,469,000 | |||
other current and noncurrent financial liabilities | 1,292,051,000 | 1,446,469,000 | |||
Financial liabilities | 9,721,581,000 | € 9,594,293,000 | |||
Financial Assets At Fair Value Through Other Comprehensive Income Category [Member] | |||||
Disclosure of detailed information about financial instruments [line items] | |||||
Equity investments | 20,822,000 | ||||
Debt securities | 2,476,000 | ||||
Other Current and Non Current Financial Assets | 23,298,000 | ||||
Financial assets | € 23,298,000 |
Financial instruments - Noncont
Financial instruments - Noncontrolling interests subject to put provisions (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Reconciliation of changes in fair value measurement, liabilities [abstract] | ||
Beginning balance | € 13,196,942,000 | |
Dividends paid to non-controlling interests, classified as financing activities | 50,951,000 | € 80,119,000 |
Net income | 51,154,000 | € 68,808,000 |
Ending balance | € 13,246,113,000 |
Financial instruments - Effect
Financial instruments - Effect of derivatives on consolidated financial statements (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of detailed information about financial instruments [line items] | ||
Interest income recorded as an effect of financial instruments | € 24,155,000 | € 28,686,000 |
Interest expense recorded as an effect of financial instruments | € 104,131,000 | € 121,414,000 |
Supplementary cash flow infor84
Supplementary cash flow information (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Supplementary cash flow information | ||
Assets acquired | € (36,062,000) | € (155,397,000) |
Liabilities assumed | 2,608,000 | 6,137,000 |
Noncontrolling interest subject to put provisions | 0 | 5,700,000 |
Noncontrolling interests | 0 | 563,000 |
Non-cash consideration | 2,864,000 | (9,917,000) |
Cash paid | 30,590,000 | 152,914,000 |
Less cash acquired | (252,000) | (383,000) |
Net cash paid for acquisitions | 30,338,000 | 152,531,000 |
Cash paid for investments | 146,867,000 | 3,693,000 |
Cash paid for intangible assets | 4,198,000 | 3,987,000 |
Total cash paid for acquisitions and investments, net of cash acquired and purchases of intangible assets | (181,403,000) | (160,211,000) |
Details for divestitures | ||
Cash received from sale of subsidiaries or other businesses, less cash disposed | 0 | (173,000) |
Cash received from divestitures of available for sale financial assets | (82,000) | (117,000) |
Cash received from repayment of loans | (76,000) | (9,000) |
Proceeds from divestitures | € 158,000 | € 299,000 |
Segment and corporate informa85
Segment and corporate information- Segment Activities (Details) - EUR (€) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | € 3,904,635,000 | ||
other revenue | 70,994,000 | ||
Revenue external customers | 3,975,629,000 | € 4,548,120,000 | |
Revenue | 3,975,629,000 | 4,548,120,000 | |
Interest | 79,976,000 | 92,728,000 | |
Income before income taxes | 416,900,000 | 558,551,000 | |
Depreciation and amortization | 174,994,000 | 189,908,000 | |
Income (loss) from equity method investees | 17,904,000 | 14,885,000 | |
Total assets | 24,157,061,000 | 25,779,672,000 | € 24,025,128,000 |
thereof investments in equity method investees | 619,730,000 | 613,239,000 | € 647,009,000 |
Additions of property, plant and equipment and intangible assets | 231,170,000 | 212,598,000 | |
North America Segment | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | 2,719,627,000 | ||
other revenue | 54,835,000 | ||
Revenue external customers | 2,774,462,000 | 3,374,842,000 | |
Inter - segment revenue | 400,000 | 674,000 | |
Revenue | 2,774,862,000 | 3,375,516,000 | |
Segment operating income | 362,208,000 | 525,815,000 | |
Interest | 105,007,000 | ||
Income before income taxes | 14,808,000 | ||
Depreciation and amortization | 90,655,000 | (17,434,931,000) | |
Income (loss) from equity method investees | 18,801,000 | 304,409,000 | |
Total assets | 15,408,120,000 | 17,434,931,000 | |
thereof investments in equity method investees | 316,916,000 | 304,409,000 | |
Additions of property, plant and equipment and intangible assets | 141,821,000 | 124,701,000 | |
EMEA Segment | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | 631,224,000 | ||
other revenue | 4,584,000 | ||
Revenue external customers | 635,808,000 | 613,687,000 | |
Inter - segment revenue | 303,000 | 0 | |
Revenue | 636,111,000 | 613,687,000 | |
Segment operating income | 108,934,000 | 114,479,000 | |
Interest | 30,453,000 | ||
Income before income taxes | (846,000) | ||
Depreciation and amortization | 28,861,000 | (3,656,704,000) | |
Income (loss) from equity method investees | (1,334,000) | 187,658,000 | |
Total assets | 3,640,775,000 | 3,656,704,000 | |
thereof investments in equity method investees | 181,938,000 | 187,658,000 | |
Additions of property, plant and equipment and intangible assets | 30,405,000 | 30,228,000 | |
Asia-Pacific Segment | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | 380,801,000 | ||
other revenue | 10,661,000 | ||
Revenue external customers | 391,462,000 | 377,545,000 | |
Inter - segment revenue | 187,000 | 19,000 | |
Revenue | 391,649,000 | 377,564,000 | |
Segment operating income | 74,220,000 | 81,835,000 | |
Interest | 11,655,000 | ||
Income before income taxes | 804,000 | ||
Depreciation and amortization | 11,159,000 | (1,829,306,000) | |
Income (loss) from equity method investees | 335,000 | 97,321,000 | |
Total assets | 2,081,140,000 | 1,829,306,000 | |
thereof investments in equity method investees | 96,961,000 | 97,321,000 | |
Additions of property, plant and equipment and intangible assets | 10,034,000 | 9,416,000 | |
Latin America Segment | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | 169,340,000 | ||
other revenue | 914,000 | ||
Revenue external customers | 170,254,000 | 177,409,000 | |
Inter - segment revenue | 39,000 | 57,000 | |
Revenue | 170,293,000 | 177,466,000 | |
Segment operating income | 14,114,000 | 14,405,000 | |
Interest | 4,508,000 | ||
Income before income taxes | 119,000 | ||
Depreciation and amortization | 4,580,000 | (704,626,000) | |
Income (loss) from equity method investees | 102,000 | 23,851,000 | |
Total assets | 694,375,000 | 704,626,000 | |
thereof investments in equity method investees | 23,915,000 | 23,851,000 | |
Additions of property, plant and equipment and intangible assets | 3,796,000 | 7,360,000 | |
Operating Segments | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | 3,900,992,000 | ||
other revenue | 70,994,000 | ||
Revenue external customers | 3,971,986,000 | ||
Inter - segment revenue | 929,000 | ||
Revenue | 3,972,915,000 | ||
Segment operating income | 559,476,000 | ||
Depreciation and amortization | 135,255,000 | ||
Income (loss) from equity method investees | 17,904,000 | ||
Total assets | 21,824,410,000 | 23,625,567,000 | |
thereof investments in equity method investees | 619,730,000 | 613,239,000 | |
Additions of property, plant and equipment and intangible assets | 186,056,000 | 171,705,000 | |
Reconciling items | |||
Disclosure of operating segments [line items] | |||
Revenue external customers | 4,543,483,000 | ||
Inter - segment revenue | 750,000 | ||
Revenue | 4,544,233,000 | ||
Segment operating income | 736,534,000 | ||
Interest | 151,623,000 | ||
Income before income taxes | 14,885,000 | ||
Depreciation and amortization | (23,625,567,000) | ||
Income (loss) from equity method investees | 613,239,000 | ||
Corporate | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with external customers | 3,643,000 | ||
Revenue external customers | 3,643,000 | 4,637,000 | |
Inter - segment revenue | (929,000) | (750,000) | |
Revenue | 2,714,000 | 3,887,000 | |
Segment operating income | (62,600,000) | (85,255,000) | |
Interest | 38,285,000 | ||
Income before income taxes | 0 | ||
Depreciation and amortization | 39,739,000 | (2,154,105,000) | |
Income (loss) from equity method investees | 0 | 0 | |
Total assets | 2,332,651,000 | 2,154,105,000 | |
thereof investments in equity method investees | 0 | 0 | |
Additions of property, plant and equipment and intangible assets | € 45,114,000 | € 40,893,000 |
Segment and corporate informa86
Segment and corporate information - Geographic Information (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of geographical areas [line items] | ||
Revenue external customers | € 3,975,629,000 | € 4,548,120,000 |
Proposal for the distribution o
Proposal for the distribution of earnings (Details) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
Disclosure of classes of share capital [line items] | ||
Capital | € 308,121,000 | € 308,111,000 |
Employee Benefit Plans - Fund88
Employee Benefit Plans - Funded Status (Details) (Calc 2) - EUR (€) | Mar. 31, 2018 | Dec. 31, 2017 |
SurplusDeficitInPlanAbstract | ||
Non-current provisions for employee benefits | € 536,825,000 | € 530,559,000 |
Segment and Corporate Informa89
Segment and Corporate Information - Segment Activities Calc2 (Details) - EUR (€) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue Table | ||
Revenue | € 3,975,629,000 | € 4,548,120,000 |
Revenue external customers | € 3,975,629,000 | € 4,548,120,000 |
Subsequent Events (Details)
Subsequent Events (Details) | 3 Months Ended |
Mar. 31, 2018EUR (€) | |
Subsequent events | |
Procees from the sale of an investment | € 1,760,000,000 |
Expected Pre Tax Gain On Sale of Investment | € 800,000,000 |