Full Year 2025 Fresenius SE & Co KGaA Earnings Call

Since our full year, and Q4 2025 earnings call and webcast presentation with email to our distribution list earlier today and is available almost with any of the dot com on slide two the presence we will find the usual safe Harbor statement unless stated otherwise will comment on our performance using constant exchange rates or CER did I am please.

Nick: Hello, everyone. Good morning, good afternoon, where you are. Welcome to our Full Year and Q4 2025 Earnings Call and Webcast. Presentation was emailed to our distribution list earlier today and is available on fresenius.com. On slide 2 of the presentation, you'll find the usual safe harbor statement. Unless stated otherwise, we'll comment on our performance using constant exchange rate or CER. Today, I'm pleased to welcome Michael and Sarah, who will present another competitive performance, followed by an overview of the full year 2026 guidance and the underlying components. As usual, the call will last approximately 1 hour, with the presentation taking between 35 to 40 minutes and remaining time for your questions. To give everyone a chance to participate, please limit your questions to 1 or 2 in the first instance, and we can always come back for a second round as needed.

Nick Stone: Hello, everyone. Good morning, good afternoon, where you are. Welcome to our Full Year and Q4 2025 Earnings Call and Webcast. Presentation was emailed to our distribution list earlier today and is available on fresenius.com. On slide 2 of the presentation, you'll find the usual safe harbor statement. Unless stated otherwise, we'll comment on our performance using constant exchange rate or CER. Today, I'm pleased to welcome Michael and Sarah, who will present another competitive performance, followed by an overview of the full year 2026 guidance and the underlying components. As usual, the call will last approximately 1 hour, with the presentation taking between 35 to 40 minutes and remaining time for your questions. To give everyone a chance to participate, please limit your questions to 1 or 2 in the first instance, and we can always come back for a second round as needed.

Speaker #1: As the year continues, we look forward to keeping you updated on our progress. And with that, I hand it back to Michael.

To welcome Michael <unk>, Zara, who presents another capacity performance followed by an overview of the full year 2006 guidance and the underlying components as usual the call will last approximately one hour with the presentation, taking between 35 to 40 minutes and remaining time for your questions to give everyone a chance to participate please limit your questions to one assuming the best since then.

Speaker #1: Good afternoon, and welcome to the conference call of Fresenius Investor Relations, which is now starting. May I hand you over to Nick Stone, Head of Investor Relations?

Speaker #2: Yeah, thank you, Sarah. Now let's take a step back and look at healthcare systems and the dynamics of healthcare systems more structurally. Globally, healthcare systems are under increasing pressure.

Operator: Good afternoon, and welcome to the conference call of Fresenius investor relations, which is now starting. May I hand you over to Markus Stotz, Head of Investor Relations.

Operator: Good afternoon, and welcome to the Conference Call of Fresenius Investor Relations, which is now starting. May I hand you over to Nick Stone, Head of Investor Relations.

Speaker #2: Thank you, Valentina. Hello everyone—good morning, good afternoon, wherever you are. Welcome to our full-year and Q4 2025 earnings call and webcast. The presentation was emailed to our distribution list earlier today and is available on Fresenius.com.

Markus Stotz: Thank you, Valentina. Hello, everyone. Good morning, good afternoon, wherever you are. Welcome to our Full Year and Q4 2025 Earnings Call and Webcast. Presentation was emailed to our distribution list earlier today and is available on fresenius.com. On slide 2 of the presentation, you will find the usual safe harbor statement. Unless stated otherwise, we'll comment on our performance using constant exchange rate or CER. Today, I'm pleased to welcome Michael and Sarah, who will present another competitive performance, followed by an overview of the full year 2026 guidance and the underlying components. As usual, the call will last approximately one hour, with the presentation taking between 35 to 40 minutes and remaining time for your questions.

Nick Stone: Thank you, Valentina. Hello, everyone. Good morning, good afternoon, wherever you are. Welcome to our Full Year and Q4 2025 Earnings Call and Webcast. Presentation was emailed to our distribution list earlier today and is available on fresenius.com. On slide 2 of the presentation, you will find the usual safe harbor statement. Unless stated otherwise, we'll comment on our performance using constant exchange rate or CER. Today, I'm pleased to welcome Michael and Sarah, who will present another competitive performance, followed by an overview of the full year 2026 guidance and the underlying components. As usual, the call will last approximately one hour, with the presentation taking between 35 to 40 minutes and remaining time for your questions.

And we can always come back for a second round as needed and with that I will now hand, the call over to Michael to kick things off.

Speaker #2: They're built for a bygone era. The structures that worked well in the 20th century can no longer fully address the challenges of the 21st.

Yes, very well, thank you Nick and welcome to everybody joining us today, Sarah and I will review, our 2025 operational and financial highlights. He will also go into more detail on our individual businesses within <unk> and Helios.

Nick: With that, I will now hand the call over to Michael to kick things off.

Nick Stone: With that, I will now hand the call over to Michael to kick things off.

Speaker #2: On slide 2 of the presentation, you’ll find the usual safe harbor statement, unless stated otherwise. We’ll comment on our performance using constant exchange rates, or CER.

Speaker #2: From demographic shifts and rising chronic disease to workforce shortages, and a more fragile supply chain environment. In this environment, healthcare is increasingly recognized as critical infrastructure.

Michael: Yes, very well. Thank you, Nick, welcome to everybody joining us today. Sarah and I will review our 2025 operational and financial highlights. We will also go into more detail on our individual businesses within Kabi and Helios. 2025 was a great year for Fresenius, a year in which we delivered an excellent operating performance despite significant macroeconomic headwinds. 2026 will be all about accelerating performance and ultimately creating sustainable value. 2025 has been a pivotal year. We launched the next phase of our Future Fresenius strategy, Rejuvenate, it kicked off with really great momentum. We have sharpened our strategic paradigm, upgrade our core, scale our platforms, elevate performance. Over the past three years, we have fundamentally reshaped Fresenius, becoming a stronger, simpler, and more resilient company.

Michael Sen: Yes, very well. Thank you, Nick, welcome to everybody joining us today. Sarah and I will review our 2025 operational and financial highlights. We will also go into more detail on our individual businesses within Kabi and Helios. 2025 was a great year for Fresenius, a year in which we delivered an excellent operating performance despite significant macroeconomic headwinds. 2026 will be all about accelerating performance and ultimately creating sustainable value. 2025 has been a pivotal year. We launched the next phase of our Future Fresenius strategy, Rejuvenate, it kicked off with really great momentum. We have sharpened our strategic paradigm, upgrade our core, scale our platforms, elevate performance. Over the past three years, we have fundamentally reshaped Fresenius, becoming a stronger, simpler, and more resilient company.

Speaker #2: Today, I'm pleased to welcome Michael and Sara, who will present another competitive performance, followed by an overview of the full-year 2026 guidance and the underlying components.

2025 was a great year for presenting.

Speaker #2: Reliability, security of supply, and resilience are becoming just as important as efficiency and cost. A shift that strongly supports Fresenius's positioning and we need to continue to invest for future success.

A year in which we delivered an excellent operating performance despite significant macroeconomic headwinds two.

Speaker #2: As usual, the call will last approximately one hour, with the presentation taking between 35 to 40 minutes, and the remaining time for your questions.

2026 will be all about accelerating performance and ultimately creating sustainable value.

Speaker #2: To give everyone the chance to participate, please limit your questions to one or two in the first instance, and we can always come back for a second round as needed.

Markus Stotz: To give everyone a chance to participate, please limit your questions to one to two in the first instance, and we can always come back for a second round as needed. With that, I will now hand the call over to Michael to kick things off.

Nick Stone: To give everyone a chance to participate, please limit your questions to one to two in the first instance, and we can always come back for a second round as needed. With that, I will now hand the call over to Michael to kick things off.

2025 has been a pivotal year.

Speaker #2: We play a system-critical role through essential medicines, generics and biosimilars, and healthcare infrastructure that expands access to high-quality affordable care and supports healthcare systems sustainably.

Speaker #2: And with that, I will now hand the call over to Michael to kick things off.

We launched the next phase of our future presenting our strategy rejuvenate.

Speaker #3: Yes, very well. Thank you, Nick, and welcome to everybody joining us today. Sara and I will review our 2025 operational and financial highlights. We will also go into more detail on our individual businesses within Carby and Helios.

[Company Representative] (Fresenius SE & Co. KGaA): Yes, very well. Thank you, Nick, welcome to everybody joining us today. Sarah and I will review our 2025 operational and financial highlights. We will also go into more detail on our individual businesses within Kabi and Helios. 2025 was a great year for Fresenius, a year in which we delivered an excellent operating performance despite significant macroeconomic headwinds. 2026 will be all about accelerating performance and ultimately creating sustainable value. 2025 has been a pivotal year. We launched the next phase of our #FutureFresenius strategy, Rejuvenate, it kicked off with really great momentum. We have sharpened our strategic paradigm, upgrade our core, scale our platforms, elevate performance. Over the past 3 years, we have fundamentally reshaped Fresenius, becoming a stronger, simpler, and more resilient company.

Michael Sen: Yes, very well. Thank you, Nick, welcome to everybody joining us today. Sarah and I will review our 2025 operational and financial highlights. We will also go into more detail on our individual businesses within Kabi and Helios. 2025 was a great year for Fresenius, a year in which we delivered an excellent operating performance despite significant macroeconomic headwinds. 2026 will be all about accelerating performance and ultimately creating sustainable value. 2025 has been a pivotal year. We launched the next phase of our #FutureFresenius strategy, Rejuvenate, it kicked off with really great momentum. We have sharpened our strategic paradigm, upgrade our core, scale our platforms, elevate performance. Over the past 3 years, we have fundamentally reshaped Fresenius, becoming a stronger, simpler, and more resilient company.

And it kicked off with really great momentum.

We have sharpened our strategic paradigm.

Great our core scale our platforms.

Elevate performance over the past three years, we have fundamentally reshaped present here.

Speaker #2: Our diversified portfolio and local-for-local operating model provide meaningful resilience and flexibility. Our global footprint and production network help limit exposure and strengthen healthcare security, particularly in key markets like the US.

Speaker #3: 2025 was a great year for Fresenius—a year in which we delivered an excellent operating performance despite significant macroeconomic headwinds. 2026 will be all about accelerating performance and ultimately creating sustainable value.

Becoming a stronger simpler and more resilient company.

We've taken meaningful steps to enhance our position as a relevant player in the health care ecosystem of the future. This.

Michael: We've taken meaningful steps to enhance our position as a relevant player in the healthcare ecosystem of the future. This is now paying back in a highly volatile macroeconomic and geopolitical environment. Fresenius is in great shape, and we will continue to take the right steps to have the company in its best form to seize future opportunities. In 2025, we delivered another year of strong and consistent execution. Our businesses contributed strong organic growth. Core EPS grew double digits for the second consecutive year, clearly outpacing top-line growth, demonstrating nice operating leverage. Our balance sheet is now significantly stronger, with net debt to EBITDA at 2.7x. We're now well within our self-imposed and improved rich corridor, more than 100 basis points better than 2022. This gives us enhanced strategic flexibility in a challenging macro environment.

Michael Sen: We've taken meaningful steps to enhance our position as a relevant player in the healthcare ecosystem of the future. This is now paying back in a highly volatile macroeconomic and geopolitical environment. Fresenius is in great shape, and we will continue to take the right steps to have the company in its best form to seize future opportunities. In 2025, we delivered another year of strong and consistent execution. Our businesses contributed strong organic growth. Core EPS grew double digits for the second consecutive year, clearly outpacing top-line growth, demonstrating nice operating leverage. Our balance sheet is now significantly stronger, with net debt to EBITDA at 2.7x. We're now well within our self-imposed and improved rich corridor, more than 100 basis points better than 2022. This gives us enhanced strategic flexibility in a challenging macro environment.

Speaker #2: At the same time, innovation is key. Building a digitally enabled operating system is essential to improving both efficiency and outcomes. We're investing in digitalization, AI, and next-generation capabilities to enhance clinical decision-making, streamline workflows, and give time back to care teams.

This is now paying back.

Speaker #3: 2025 has been a pivotal next phase of our future Fresenius strategy, Rejuit, and it kicked off with really great momentum. We have sharpened our strategic paradigm.

Highly volatile macroeconomic and geopolitical environment.

Presenting is in great shape, and we will continue to take the right steps to have the company in its best form to seize future opportunities in.

Speaker #3: Upgrade our core, scale our platforms, elevate performance. Over the past three years, we have fundamentally reshaped Fresenius. Becoming a stronger, simpler, and more resilient company, we've taken meaningful steps to enhance our position as a relevant player in the healthcare ecosystem of the future.

In 2025, we delivered another year of strong and consistent execution, our businesses contributed to strong organic growth.

Speaker #2: Enabling systems to do more without proportionally increasing costs. We also believe in a pragmatic approach to innovation. Rooted in an ecosystem, trying new models, scaling that works, and embedded successful solutions into everyday care.

Core EPS.

Through double digit for the second consecutive year, clearly outpacing topline growth demonstrating nice operating leverage.

[Company Representative] (Fresenius SE & Co. KGaA): We've taken meaningful steps to enhance our position as a relevant player in the healthcare ecosystem of the future. This is now paying back in a highly volatile macroeconomic and geopolitical environment. Fresenius is in great shape, and we will continue to take the right steps to have the company in its best form to seize future opportunities. In 2025, we delivered another year of strong and consistent execution. Our businesses contributed strong organic growth. Core EPS grew double digits for the second consecutive year, clearly outpacing top-line growth, demonstrating nice operating leverage. Our balance sheet is now significantly stronger, with net debt to EBITDA at 2.7. We are now well within our self-imposed and improved rich corridor, more than 100 basis points better than 2022. This gives us enhanced strategic flexibility in a challenging macro environment.

Michael Sen: We've taken meaningful steps to enhance our position as a relevant player in the healthcare ecosystem of the future. This is now paying back in a highly volatile macroeconomic and geopolitical environment. Fresenius is in great shape, and we will continue to take the right steps to have the company in its best form to seize future opportunities. In 2025, we delivered another year of strong and consistent execution. Our businesses contributed strong organic growth. Core EPS grew double digits for the second consecutive year, clearly outpacing top-line growth, demonstrating nice operating leverage. Our balance sheet is now significantly stronger, with net debt to EBITDA at 2.7. We are now well within our self-imposed and improved rich corridor, more than 100 basis points better than 2022. This gives us enhanced strategic flexibility in a challenging macro environment.

Our balance sheet is now significantly stronger with net debt to EBITDA at two seven we are now well within our self imposed and improve.

Speaker #3: This is now paying back in a highly volatile macroeconomic and geopolitical environment. Fresenius is in great shape, and we will continue to take the right steps to have the company in its best form to seize future opportunities.

Speaker #2: This mindset allows us to modernize the operating model while staying focused on quality reliability and disciplined execution. As we look to 2026 and beyond, our focus is on building a resilient healthcare franchise for the future.

Rich corridor more than a 100 basis points better than 2022.

This gives us enhanced strategic flexibility in a challenging macro environment.

Speaker #3: In 2025, we delivered another year of strong and consistent execution. Our businesses contributed strong organic growth. Core EPS grew double digit for the second consecutive year, clearly outpacing top-line growth, demonstrating nice operating leverage.

All in all 2025 reflect sustained progress quarter after quarter year.

Speaker #2: Leveraging scale, innovation, and resilience, to deliver sustainable, profitable growth, and long-term value for patients, partners, and shareholders. And with that, we're happy to take your questions.

Michael: All in all, 2025 reflects sustained progress quarter after quarter, year after year. We closed the year on a really strong note, achieving our upgraded guidance with 7% organic revenue growth and 6% EBIT growth at constant currency. Our #FutureFresenius transformation continues to deliver meaningful value for all stakeholders. We've made the organization faster, leaner, and more resilient. Return improvement and deleveraging remains central to value creation. Importantly, the transformation is energizing our teams across the company. Engagement is rising, and our shared sense of purpose is stronger than ever. I'm pleased to announce that we are proposing a 5% increase of our dividend to EUR 1.05 per share for 2025, a clear token for our improving financial strength and commitment to delivering long-term value to our devoted shareholders.

Michael Sen: All in all, 2025 reflects sustained progress quarter after quarter, year after year. We closed the year on a really strong note, achieving our upgraded guidance with 7% organic revenue growth and 6% EBIT growth at constant currency. Our #FutureFresenius transformation continues to deliver meaningful value for all stakeholders. We've made the organization faster, leaner, and more resilient. Return improvement and deleveraging remains central to value creation. Importantly, the transformation is energizing our teams across the company. Engagement is rising, and our shared sense of purpose is stronger than ever. I'm pleased to announce that we are proposing a 5% increase of our dividend to EUR 1.05 per share for 2025, a clear token for our improving financial strength and commitment to delivering long-term value to our devoted shareholders.

After a year.

We closed the year on a really strong note achieving our upgraded guidance with 7% organic revenue growth and 6% EBIT growth at constant currency.

Speaker #3: Our balance sheet is now significantly stronger. With net debt to EBITDA at 2.7, we're now well within our self-imposed and improved leverage corridor—more than 100 basis points better than 2022.

Speaker #1: We are now starting the question-and-answer session. If you'd like to ask a question, please press star followed by 1 on your touchstone telephone. The operator will announce your name when it's your turn to ask a question.

Future presenting this transformation continues to deliver meaningful value for all stakeholders.

We've made it.

Faster leaner and more resilient.

Return improvement and deleveraging remain central to value creation.

Speaker #1: In case you wish to cancel your question, please press star followed by 2. The first question is from Hassan Al-Bakil from Barclays. Please go ahead.

Speaker #3: This gives us enhanced strategic flexibility in a challenging macro environment. All in all, 2025 reflects sustained progress, quarter after quarter, year after year. We closed the year on a really strong note, achieving our upgraded guidance with 7% organic revenue growth and 6% EBIT growth at constant currency.

Accordingly, the transformation is energizing our teams across the company engagement is rising and our shared sense of purpose is strong.

Speaker #3: Thank you. Good afternoon. And I have a couple of questions, please. So firstly, on Helios, your guidance assumes around 100 to 150 million of incremental EBIT at the midpoint of the range in 2026.

[Company Representative] (Fresenius SE & Co. KGaA): All in all, 2025 reflects sustained progress quarter after quarter, year after year. We closed the year on a really strong note, achieving our upgraded guidance with 7% organic revenue growth and 6% EBIT growth at constant currency. Our #FutureFresenius transformation continues to deliver meaningful value for all stakeholders. We've made the organization faster, leaner, and more resilient. Return improvement and deleveraging remain central to value creation. Importantly, the transformation is energizing our teams across the company. Engagement is rising, and our shared sense of purpose is stronger than ever. I'm pleased to announce that we are proposing a 5% increase of our dividend to EUR 1.05 per share for 2025. A clear token for our improving financial strength and commitment to delivering long-term value to our devoted shareholders.

Michael Sen: All in all, 2025 reflects sustained progress quarter after quarter, year after year. We closed the year on a really strong note, achieving our upgraded guidance with 7% organic revenue growth and 6% EBIT growth at constant currency. Our #FutureFresenius transformation continues to deliver meaningful value for all stakeholders. We've made the organization faster, leaner, and more resilient. Return improvement and deleveraging remain central to value creation. Importantly, the transformation is energizing our teams across the company. Engagement is rising, and our shared sense of purpose is stronger than ever. I'm pleased to announce that we are proposing a 5% increase of our dividend to EUR 1.05 per share for 2025. A clear token for our improving financial strength and commitment to delivering long-term value to our devoted shareholders.

Never.

I am pleased to announce that we are proposing a 5% increase of our dividend to $1 five per share for 2025 are clear token for our improving financial strength and commitment to delivering long term value to our devoted shareholders.

Speaker #3: And on our maps, this is less than the incremental benefit from the surcharge. So can you help us understand the offsets associated costs as well as how you think about the margin trajectory excluding the surcharge in 2026?

Speaker #3: Our future Fresenius transformation continues to deliver meaningful value for all stakeholders. We've made the operation faster and leaner, and more resilient. Return improvement and de-leveraging remain central to value creation.

Our focused assets are delivering tangible results and position us well for 2026.

Michael: Our focused assets are delivering tangible results and position us well for 2026. Across Kabi, we're advancing a strong wave of new product launches and innovations, leveraging our globally leading market position. At Pharma, pipeline remains a priority, supported by the ramp-up of our Wilson, North Carolina site, further strengthening our IV fluid supply and US operational footprint. In a rapidly changing world order, we double down on our More in America campaign, exemplified by our new partnership with Phlow Corp to establish a fully domestic end-to-end supply chain for essential medicine. We're fully focused on getting the business right. The trend towards a, let's call it, certain deglobalization, means that we're also looking at our global value chains, and we'll set up our supply chains for the future.

Michael Sen: Our focused assets are delivering tangible results and position us well for 2026. Across Kabi, we're advancing a strong wave of new product launches and innovations, leveraging our globally leading market position. At Pharma, pipeline remains a priority, supported by the ramp-up of our Wilson, North Carolina site, further strengthening our IV fluid supply and US operational footprint. In a rapidly changing world order, we double down on our More in America campaign, exemplified by our new partnership with Phlow Corp to establish a fully domestic end-to-end supply chain for essential medicine. We're fully focused on getting the business right. The trend towards a, let's call it, certain deglobalization, means that we're also looking at our global value chains, and we'll set up our supply chains for the future.

Speaker #3: But then also in 2027, as this rolls off. And then secondly, for the group, your flat margin guidance sees much of the expansion at Helios and Kabi eroded by a corporate cost line, which is increasing quite significantly again at the midpoint.

The cross Kabi, we're advancing a strong wave of new product launches and innovation, leveraging our globally leading market positions at.

Speaker #3: Importantly, the transformation is energizing our teams across the company. Engagement is rising, and our shared sense of purpose is stronger than ever. I'm pleased to announce that we are proposing a 5% increase of our dividend to €1.05 per share for 2025.

At pharma pipeline.

Means a priority supported by the ramp up of our Nielsen Wilson, North Carolina site further strengthening our IV fluids supply and U S operational footprint.

Speaker #3: Can you talk through some of the projects that you have planned here and the duration of some of these projects and where you see the corporate cost line approaching over the next two to three years?

Speaker #3: A clear token of our improving financial strength and commitment to delivering long-term value to our devoted shareholders. Our focused assets are delivering tangible results and position us well for 2026.

In a rapidly changing world order, we double down on our more in America campaign.

Speaker #3: Thank you.

Speaker #2: Yeah, thank you, Hassan. I'll start with your second question and then we'll lead to the third one, and Sara can give you the details then on Helios as such.

Simplified by our new partnership with slow Corp to establish a fully domestic end to end supply chain for essential medicines.

[Company Representative] (Fresenius SE & Co. KGaA): Our focused assets are delivering tangible results and position us well for 2026. Across Kabi, we're advancing a strong wave of new product launches and innovation, leveraging our globally leading market position. At Pharma, pipeline remains a priority, supported by the ramp-up of our Wilson, North Carolina site, further strengthening our IV fluid supply and US operational footprint. In a rapidly changing world order, we double down on our More in America campaign, exemplified by our new partnership with Phlow Corp. to establish a fully domestic end-to-end supply chain for essential medicine. We're fully focused on getting the business right. The trend towards a, let's call it, certain de-globalization, means that we're also looking at our global value chains, and we'll set up our supply chains for the future.

Michael Sen: Our focused assets are delivering tangible results and position us well for 2026. Across Kabi, we're advancing a strong wave of new product launches and innovation, leveraging our globally leading market position. At Pharma, pipeline remains a priority, supported by the ramp-up of our Wilson, North Carolina site, further strengthening our IV fluid supply and US operational footprint. In a rapidly changing world order, we double down on our More in America campaign, exemplified by our new partnership with Phlow Corp. to establish a fully domestic end-to-end supply chain for essential medicine. We're fully focused on getting the business right. The trend towards a, let's call it, certain de-globalization, means that we're also looking at our global value chains, and we'll set up our supply chains for the future.

Speaker #3: Across Carby, we're advancing a strong wave of new product launches and innovations, leveraging our globally leading market positions. At Pharma, pipeline remains a priority, supported by the ramp-up of our Nielsen Wilson, North Carolina site, further strengthening our IV fluid supply and US operational footprint.

Speaker #2: But this will be an embedded part of an overall answer, because I guess your, especially second answer, is on many people's minds. Let me, first of all, start with really the big picture.

We are fully focused on getting the business right.

<unk> trend towards a let's call it certain D. Globalization means that we're also looking at our global value chains. It will set up our supply chain for the future.

Speaker #2: We had a very strong Finnish in Q4 and we are very confident going into 2026 and beyond with everything we have in place. And I'll go into detail on that one, but that one is the base case.

Our nutrition business earns attractive highly accretive margin.

Michael: Our nutrition business earns attractive, highly accretive margins, supported by innovation and targeted investments into attractive growth opportunities outside the VBP tender business in China. In MedTech, we're looking for sustained momentum from several contributions, one of them being Ivenix rollout, the most innovative pump in the market, which we expect to be a meaningful driver of incremental growth in 2026. Biopharma remains a powerful growth vector, where we expect to remain on a double-digit growth trajectory, building on a strong finish in 2025. Our focus will be on commercial execution, with continued rollout of our recently launched products, in particular tocilizumab, ustekinumab, and denosumab. At Helios Germany, we benefit from our solid progress on our cluster strategy. Supported by volume growth and positive pricing effects, we're focusing on further efficiency improvements and optimization to sustain profitable growth. Helios Germany needs to step up in this regard.

Michael Sen: Our nutrition business earns attractive, highly accretive margins, supported by innovation and targeted investments into attractive growth opportunities outside the VBP tender business in China. In MedTech, we're looking for sustained momentum from several contributions, one of them being Ivenix rollout, the most innovative pump in the market, which we expect to be a meaningful driver of incremental growth in 2026. Biopharma remains a powerful growth vector, where we expect to remain on a double-digit growth trajectory, building on a strong finish in 2025. Our focus will be on commercial execution, with continued rollout of our recently launched products, in particular tocilizumab, ustekinumab, and denosumab. At Helios Germany, we benefit from our solid progress on our cluster strategy. Supported by volume growth and positive pricing effects, we're focusing on further efficiency improvements and optimization to sustain profitable growth. Helios Germany needs to step up in this regard.

Courted by innovation and targeted investments into attractive growth opportunities outside the <unk> tender business in China.

Speaker #3: In a rapidly changing world order, we doubled down on our More in America campaign, exemplified by our new partnership with Flow Corp to establish a fully domestic, end-to-end supply chain for essential medicine.

Speaker #2: Then we are operating in an environment which is facing unprecedented change. We had the Supreme Court ruling last week we see other regulatory topics in the US, PBM reforms, don't forget when there is a, let's say, a new geopolitical world order, other geographies are also taking measures.

In Med Tech, where looking for sustained momentum from several contribution one of them being avonex rollout. The most innovative pump in the market, which we expect to be a meaningful driver of incremental growth in 2026.

Speaker #3: We're fully focused on getting the business right. The trend towards a—let's call it—certain deglobalization means that we're also looking at our global value chains and will set up our supply chains for the future.

Biopharma remains a powerful.

Powerful growth vector, where we expect to remain on a double digit growth trajectory building on a strong finish in 2025, our focus will be on commercial execution with.

Speaker #3: Our Nutrition business earns attractive, highly accretive margins, supported by innovation and targeted investments into attractive growth opportunities outside the VP tender business in China.

Speaker #2: So there's a lot of uncertainties out there. But still, we feel very well positioned but this uncertainty obviously needs to be also somehow encountered, not in terms of money or a number, but as the sentiment going with our very strong business into 2026 and 2027.

[Company Representative] (Fresenius SE & Co. KGaA): Our nutrition business earns attractive, highly accretive margins, supported by innovation and targeted investments into attractive growth opportunities outside the VBP tender business in China. In MedTech, we're looking for sustained momentum from several contributions, one of them being Ivenix rollout, the most innovative pump in the market, which we expect to be a meaningful driver of incremental growth in 2026. Biopharma remains a powerful growth vector, where we expect to remain on a double-digit growth trajectory, building on a strong finish in 2025. Our focus will be on commercial execution with continued rollout of our recently launched products, in particular, tocilizumab, ustekinumab, and venetoclax. At Helios Germany, we benefit from our solid progress on our cluster strategy. Supported by volume growth and positive pricing effects, we're focusing on further efficiency improvements and optimization to sustain profitable growth. Helios Germany needs to step up in this regard.

Michael Sen: Our nutrition business earns attractive, highly accretive margins, supported by innovation and targeted investments into attractive growth opportunities outside the VBP tender business in China. In MedTech, we're looking for sustained momentum from several contributions, one of them being Ivenix rollout, the most innovative pump in the market, which we expect to be a meaningful driver of incremental growth in 2026. Biopharma remains a powerful growth vector, where we expect to remain on a double-digit growth trajectory, building on a strong finish in 2025. Our focus will be on commercial execution with continued rollout of our recently launched products, in particular, tocilizumab, ustekinumab, and venetoclax. At Helios Germany, we benefit from our solid progress on our cluster strategy. Supported by volume growth and positive pricing effects, we're focusing on further efficiency improvements and optimization to sustain profitable growth. Helios Germany needs to step up in this regard.

With continued rollout of our recently launched products in particular thoughtfully come up with <unk> and the new Soma.

Speaker #3: In MedTech, we're looking at several contributions, one of them being the Ibanex rollout—the most innovative pump in the market—which we expect to be a meaningful driver of incremental growth in 2026.

At Helios, Germany, we benefit from our solid progress on our cluster strategy supported by volume growth and positive pricing effects were focusing on further efficiency improvements and optimization to sustained profitable growth.

Speaker #2: Now, when I look at 2026—and I get your math on Kabi is there, Helios is there—what is on the corporate cost line? I think this is way too much a technical view.

Speaker #3: Biopharma remains a powerful growth vector, where we expect to remain on a double-digit growth trajectory, building on a strong finish in 2025. Our focus will be on commercial execution, with continued rollout of our recently launched products, in particular Tocilizumab, Ustekinumab, and Denosumab.

It is Germany needs to step up in this regard.

In Spain growth is driven by occupational health and positive volume and pricing effects backed by our ongoing digitization efforts.

Speaker #2: We need to come by the business, and then we'll see how that translates into a technical model. When I start with Kabi—we, and by the way, we didn't guide, these are indications or these are numbers from our financial framework, which is a performance management tool.

Michael: In Spain, growth is driven by occupational health and positive volume and pricing effects, backed by our ongoing digitization efforts. We enter 2026 with real momentum, strong drivers across the portfolio, and a clear path to continued growth and value creation. However, macro volatility persists, highlighted by last week's US Supreme Court ruling. Tariffs remain fluid, but Fresenius is well-positioned with, you know, 90% of group revenues unaffected by US tariffs and 70% of our US medicine produced domestically. We saw a structural organic revenue growth acceleration over the last 3 years, driven exactly by what we labeled growth vectors at Kabi and our rigorous strategy execution. Looking at 2026, we anticipate continued dynamic organic growth, and we expect continued operating leverage, with EPS growing significantly faster than the top line. Rejuvenate is about innovating our portfolio, about keeping our portfolio young and relevant.

Michael Sen: In Spain, growth is driven by occupational health and positive volume and pricing effects, backed by our ongoing digitization efforts. We enter 2026 with real momentum, strong drivers across the portfolio, and a clear path to continued growth and value creation. However, macro volatility persists, highlighted by last week's US Supreme Court ruling. Tariffs remain fluid, but Fresenius is well-positioned with, you know, 90% of group revenues unaffected by US tariffs and 70% of our US medicine produced domestically. We saw a structural organic revenue growth acceleration over the last 3 years, driven exactly by what we labeled growth vectors at Kabi and our rigorous strategy execution. Looking at 2026, we anticipate continued dynamic organic growth, and we expect continued operating leverage, with EPS growing significantly faster than the top line. Rejuvenate is about innovating our portfolio, about keeping our portfolio young and relevant.

We enter 2026 with real momentum.

Strong drivers across the portfolio and a clear path to continued growth and value creation. However, macro volatility persists highlighted by last week's U S. Supreme Court ruling tariffs remain fluid, but <unk> is well positioned with.

Speaker #2: The outlook is on the group. So when we say 4% to 6%, and 16.5% to 17%, if they were to achieve that—and they have plans, and measures, and actions behind that ambition—you need to consider we are now in an innovation-led phase.

Speaker #3: At Helios Germany, we benefit from our solid progress on our cluster strategy. Supported by volume growth and positive pricing effects, we're focusing on further efficiency improvements and optimization to sustain profitable growth.

90% of group revenue is unaffected by U S tariffs and 70% of our U S medicine produce domestic.

Speaker #3: Helios Germany needs to step up in this regard. In Spain, growth is driven by occupational health and positive volume and pricing effects, backed by our ongoing digitization efforts.

We saw a structural organic revenue growth acceleration over the last three years, driven exactly <unk>, but what we labeled growth vectors at hobby and our rigorous strategy execution.

Speaker #2: So a lot is dependent on the top-line development. Not like a couple of years ago, the IV generics and solution business only. We have parallel shifted the growth trajectory 200, 300 basis points to 6–7% in the last couple of years.

[Company Representative] (Fresenius SE & Co. KGaA): In Spain, growth is driven by occupational health and positive volume and pricing effects, backed by our ongoing digitization efforts. We enter 2026 with real momentum, strong drivers across the portfolio, and a clear path to continued growth and value creation. However, macro volatility persists, highlighted by last week's Supreme Court of the United States ruling. Tariffs remain fluid, but Fresenius is well positioned with, you know, 90% of group revenues unaffected by US tariffs and 70% of our US medicine produced domestically. We saw a structural organic revenue growth acceleration over the last 3 years, driven exactly by what we labeled growth vectors at Kabi and our rigorous strategy execution. Looking at 2026, we anticipate continued dynamic organic growth, and we expect continued operating leverage, with EPS growing significantly faster than the top line. Rejuvenate is about innovating our portfolio, about keeping our portfolio young and relevant.

Michael Sen: In Spain, growth is driven by occupational health and positive volume and pricing effects, backed by our ongoing digitization efforts. We enter 2026 with real momentum, strong drivers across the portfolio, and a clear path to continued growth and value creation. However, macro volatility persists, highlighted by last week's Supreme Court of the United States ruling. Tariffs remain fluid, but Fresenius is well positioned with, you know, 90% of group revenues unaffected by US tariffs and 70% of our US medicine produced domestically. We saw a structural organic revenue growth acceleration over the last 3 years, driven exactly by what we labeled growth vectors at Kabi and our rigorous strategy execution. Looking at 2026, we anticipate continued dynamic organic growth, and we expect continued operating leverage, with EPS growing significantly faster than the top line. Rejuvenate is about innovating our portfolio, about keeping our portfolio young and relevant.

Speaker #3: We enter 2026 with real momentum. Strong drivers across the portfolio and a clear path to continued growth and value creation. However, macro volatility persists, highlighted by last week's U.S. Supreme Court ruling.

Looking at 2026, we anticipate continued dynamic organic growth.

And we expect continued operating leverage with EPS growing significantly faster than the top line.

Speaker #2: So that means innovation needs to come and the sales needs to be done. Volume needs to come. The volume, which will then turn into operating leverage.

Rejuvenate is about innovating our portfolio about keeping our portfolio young and relevant the progress of our coffee portfolio demonstrates this impressive fleet.

Speaker #3: Tariffs remain fluid, but Fresenius is well positioned, with 90% of group revenues unaffected by US tariffs and 70% of our US medicine produced domestically. We saw a structural organic revenue growth acceleration over the last three years, driven exactly by what we labeled growth vectors at Carby, and our rigorous strategy execution.

Michael: The progress of our Kabi portfolio demonstrates this impressively. More than half a billion of fiscal 2025 revenue already comes from new products. If you look back some years, you'll clearly see how far we've come in reinvigorating an innovation mindset in Fresenius. I'm convinced that innovation is paying back, and the new products are impressively demonstrating that by being accretive to Kabi's structural margin back. Let's turn to Biopharma, a core engine of our Rejuvenate agenda and a key catalyst of our performance acceleration. We continue to see excellent momentum in our of in-market molecules across all regions, despite some anticipated competitive pressure, closing the year on a very strong note. Tyenne, our first-to-market tocilizumab biosimilar, is charging ahead as the fastest-growing product in its class. Uptake continues to accelerate month after month, proving the strength of our first-mover advantage and the durability of demand.

Michael Sen: The progress of our Kabi portfolio demonstrates this impressively. More than half a billion of fiscal 2025 revenue already comes from new products. If you look back some years, you'll clearly see how far we've come in reinvigorating an innovation mindset in Fresenius. I'm convinced that innovation is paying back, and the new products are impressively demonstrating that by being accretive to Kabi's structural margin back. Let's turn to Biopharma, a core engine of our Rejuvenate agenda and a key catalyst of our performance acceleration. We continue to see excellent momentum in our of in-market molecules across all regions, despite some anticipated competitive pressure, closing the year on a very strong note. Tyenne, our first-to-market tocilizumab biosimilar, is charging ahead as the fastest-growing product in its class. Uptake continues to accelerate month after month, proving the strength of our first-mover advantage and the durability of demand.

More than half a billion dollars of fiscal 2025 revenue already comes from new products. If you look back some years you clearly see how far we've come in reinvigorating, an innovation mindset and presented.

Speaker #2: And the volume comes through launches. The volume comes through working and converting where we have frame contracts into pull-through. The volume comes by implementing the supply chain which then can cater the contracts.

Speaker #3: Looking at 2026, we anticipate continued dynamic organic growth, and we expect continued operating leverage, with EPS growing significantly faster than the top line. Rejuvenate is about innovating our portfolio.

I am convinced that innovation is paying back and the loop.

Products are impressively demonstrating that by being accretive with carb is structural margin back.

Speaker #2: So a lot of things need to happen. We'll probably go business by business later on. Biopharma, nutrition is coming with 12 launches. During the course of the year.

Let's turn to Biopharma core engine of our rejuvenate agenda and a key catalyst of our performance acceleration.

Speaker #3: About keeping our portfolio young and relevant. The progress of our Carby portfolio demonstrates this impressively. More than half a billion of fiscal 2025 revenue already comes from new products.

Speaker #2: We have increased our capacity in generics and in nutrition. Now, that capacity is ready to cater to the markets, but it still needs to hit, let's say, the accounting books until we need to journalize revenue.

We continue to see excellent momentum in our <unk>.

[Company Representative] (Fresenius SE & Co. KGaA): The progress of our Kabi portfolio demonstrates this impressively. More than EUR half a billion of fiscal 2025 revenue already comes from new products. If you look back some years, you'll clearly see how far we've come in reinvigorating an innovation mindset in Fresenius. I'm convinced that innovation is paying back, and the new products are impressively demonstrating that by being accretive to Kabi's structural margin base. Let's turn to Biopharma, a core engine of our Rejuvenate agenda and a key catalyst of our performance acceleration. We continue to see excellent momentum in our of in-market molecules across all regions, despite some anticipated competitive pressure, closing the year on a very strong note. Tyenne, our first-to-market tocilizumab biosimilar, is charging ahead as the fastest-growing product in its class, continues to accelerate month after month, proving the strength of our first-mover advantage and the durability of demand.

Michael Sen: The progress of our Kabi portfolio demonstrates this impressively. More than EUR half a billion of fiscal 2025 revenue already comes from new products. If you look back some years, you'll clearly see how far we've come in reinvigorating an innovation mindset in Fresenius. I'm convinced that innovation is paying back, and the new products are impressively demonstrating that by being accretive to Kabi's structural margin base. Let's turn to Biopharma, a core engine of our Rejuvenate agenda and a key catalyst of our performance acceleration. We continue to see excellent momentum in our of in-market molecules across all regions, despite some anticipated competitive pressure, closing the year on a very strong note. Tyenne, our first-to-market tocilizumab biosimilar, is charging ahead as the fastest-growing product in its class, continues to accelerate month after month, proving the strength of our first-mover advantage and the durability of demand.

In market molecules across all regions. Despite some anticipated competitive pressure closing the year on a very strong note.

Speaker #3: If you look back some years, you clearly see how far we've come in reinvigorating an innovation mindset in Fresenius. I'm convinced that innovation is paying back, and the new products are impressively demonstrating that by being accretive to Carby's structural margin bed.

Speaker #2: So when it then does hit the revenue, then you will see operating leverage. Now, let's assume, which is not our base case, the revenue is only moving up slowly.

Diane our first to market took the lead from a biosimilar is.

Charging ahead as the fastest growing product in its class.

Up.

Continues to accelerate months after months proving the strength of our first mover advantage and the durability of demand.

Speaker #2: Then this management team is ready to take cost management items. And go into the cost. That would be not the desired outcome, but we are ready to do that.

Speaker #3: Let's turn to Biopharma, a core engine of our Rejuvenate agenda and a key catalyst of our performance acceleration. We continue to see excellent momentum in our in-market molecules across all regions, despite some anticipated competitive pressure, closing the year on a very strong note.

We continue to see nice market share growth of 37% market share in EU for plug for U K and 17% in the U S, which is supported by multiple Pbms and health plan contracts many of them exclusive.

Michael: We continue to see nice market share growth, with 37% market share in EU4, plus the UK, and 17% in the US, which is supported by multiple PBM and health plan contracts, many of them exclusive. Our ustekinumab biosimilar, Otulži, delivered incremental uptake in Q4, supported by the launch of our 45 mg single-dose vial, which provides dosing flexibility for pediatric patients. Adoption continues to build, strengthened by our exclusive US distribution agreement for our unbranded ustekinumab with CivicaScript, under which we completed first deliveries in December. In addition, we just recently received a positive EMA opinion for our auto-injector presentation. This is all in all, excellent news. Our denosumab biosimilar is progressing as planned. In the US, we have signed more than 100 contracts since launch, with all major hospital and clinic GPOs contracts now executed.

Michael Sen: We continue to see nice market share growth, with 37% market share in EU4, plus the UK, and 17% in the US, which is supported by multiple PBM and health plan contracts, many of them exclusive. Our ustekinumab biosimilar, Otulži, delivered incremental uptake in Q4, supported by the launch of our 45 mg single-dose vial, which provides dosing flexibility for pediatric patients. Adoption continues to build, strengthened by our exclusive US distribution agreement for our unbranded ustekinumab with CivicaScript, under which we completed first deliveries in December. In addition, we just recently received a positive EMA opinion for our auto-injector presentation. This is all in all, excellent news. Our denosumab biosimilar is progressing as planned. In the US, we have signed more than 100 contracts since launch, with all major hospital and clinic GPOs contracts now executed.

Speaker #2: And depending on that one, we will see where Kabi lands and we could do the same story on Helios. And then you get to a corporate cost line, which either is also reflecting let's say the challenge which they have and back on the operational business and then we'll take it from there.

The keto a biosimilar of toll fee delivered incremental uptick in Q4 supported by the launch of our 45 milligram single dose vial, which provides dosing flexibility for pediatric patients.

Speaker #3: Cayenne, our first-to-market Tocilizumab biosimilar, is charging ahead as the fastest-growing product in its class. It continues to accelerate month after month, proving the strength of our first-mover advantage and the durability of demand.

Speaker #2: On the Helios, maybe?

Speaker #3: Yeah. And on the Helios, let me try and also give you a little bit of a more comprehensive answer on this one. And maybe ground you in where our jumping off point for 2025 was, right?

Adoption continues to build strengthened by our exclusive U S distribution agreement for unbranded sticking above with silica script under which we completed first deliveries in December.

Speaker #3: We continue to see nice market share growth, with 37% market share in EU4 plus the UK and 17% in the US, which is supported by multiple PBM and health plan contracts, many of them exclusive.

[Company Representative] (Fresenius SE & Co. KGaA): We continue to see nice market share growth, with 37% market share in EU4, plus the UK, and 17% in the US, which is supported by multiple PBM and health plan contracts, many of them exclusive. Our ustekinumab biosimilar, Otulfi, delivered incremental uptake in Q4, supported by the launch of our 45 mg single-dose vial, which provides dosing flexibility for pediatric patients. Adoption continues to build, strengthened by our exclusive US distribution agreement for our unbranded ustekinumab with CivicaScript, under which we completed first deliveries in December. In addition, we just recently received a positive EMA opinion for our auto-injector presentation. This is, all in all, excellent news. Our Denosumab biosimilar is progressing as planned. In the US, we have signed more than 100 contracts since launch, with all major hospital and clinic GPOs contracts now executed.

Michael Sen: We continue to see nice market share growth, with 37% market share in EU4, plus the UK, and 17% in the US, which is supported by multiple PBM and health plan contracts, many of them exclusive. Our ustekinumab biosimilar, Otulfi, delivered incremental uptake in Q4, supported by the launch of our 45 mg single-dose vial, which provides dosing flexibility for pediatric patients. Adoption continues to build, strengthened by our exclusive US distribution agreement for our unbranded ustekinumab with CivicaScript, under which we completed first deliveries in December. In addition, we just recently received a positive EMA opinion for our auto-injector presentation. This is, all in all, excellent news. Our Denosumab biosimilar is progressing as planned. In the US, we have signed more than 100 contracts since launch, with all major hospital and clinic GPOs contracts now executed.

Speaker #3: If you look at the DOG and pricing-related jump-off point for 2025, that was roughly 5.9%. Now, going into 2026, that DOG inflator is set at 2.98%.

In addition, we just recently received a positive <unk> opinion for our.

Well order injector presentation. This is all in all excellent.

Are the new Soma Biosimilar is progressing as planned and the U S. We have signed more than 100 contracts since launch with all major hospital and clinic GPO contracts now executed in.

Speaker #3: Our ustekinumab biosimilar, Otufi, delivered incremental uptake in Q4, supported by the launch of our 45-milligram single-dose vial, which provides dosing flexibility for pediatric patients.

Speaker #3: From 5.9% to 2.98%. However, then comes the third charge for 10 months of 3.25%. So if you calculate that roughly, we're landing at around the same level in terms of price tag compared to 2025 with one exception, and that's more technical effect, that part of that price increase will sit under other income, i.e., just below the revenue line.

In Europe, we closed the year with solid commercial progress, including the launch of our Duluth from a portfolio, where we continue to differentiate with our unique prebuilt oncology syringe, a key competitive advantage validated by exactly the contracting momentum Austin mentioned looking.

Speaker #3: Adoption continues to build, strengthened by our exclusive U.S. distribution agreement for our unbranded Ustekinumab with Civica Script, under which we completed first deliveries in December.

Michael: In Europe, we closed the year with solid commercial progress, including the launch of our denosumab portfolio, where we continue to differentiate with our unique prefilled oncology syringe, a key competitive advantage validated by exactly the contracting momentum as mentioned. Looking ahead, we expect this momentum into 2026 and beyond, as existing contracts increasingly convert into prescriptions and the broader tailwinds behind biosimilar adoption continue to strengthen. The performance of our recent launches gives us confidence in exactly that story. As highlighted in our Biopharma Meet the Management event, our marketed portfolio and pipeline put us on a clear path to double revenue by 2030, while progressing towards an EBIT margin of around 20%. This will be driven by further launches, deeper penetration, and continued cost efficiencies across the portfolio.

Michael Sen: In Europe, we closed the year with solid commercial progress, including the launch of our denosumab portfolio, where we continue to differentiate with our unique prefilled oncology syringe, a key competitive advantage validated by exactly the contracting momentum as mentioned. Looking ahead, we expect this momentum into 2026 and beyond, as existing contracts increasingly convert into prescriptions and the broader tailwinds behind biosimilar adoption continue to strengthen. The performance of our recent launches gives us confidence in exactly that story. As highlighted in our Biopharma Meet the Management event, our marketed portfolio and pipeline put us on a clear path to double revenue by 2030, while progressing towards an EBIT margin of around 20%. This will be driven by further launches, deeper penetration, and continued cost efficiencies across the portfolio.

Speaker #3: In addition, we just recently received a positive email opinion for our order injector presentation; this is, all in all, excellent news. Our Denosumab biosimilar is progressing as planned.

Ahead, we expect this moment.

So into 2026 and beyond as existing contracts increasingly converge into prescription and the broader tailwind behind biosimilar adoption continue to strengthen.

Speaker #3: Then if you look into 2026, you assume the price tag roughly the same, and then you look obviously our cost base is going to increase as well.

Speaker #3: In the US, we have signed more than 100 contracts since launch. With all major hospital and clinic GPOs' contracts now executed, in Europe, we closed the year with solid commercial progress, including the launch of our Denosumab portfolio, where we continue to differentiate with our unique pre-filled oncology syringe—a key competitive advantage validated by exactly the contracting momentum I've been mentioning.

Speaker #3: There's nothing out of the ordinary, and nothing out of the kind of exaggerated. Still, what you will see is some wage increase. We will also need to cater for the increase in activity by increasing some of the staff levels in pockets here and there.

The performance of our recent launches gives us confidence in exactly that.

[Company Representative] (Fresenius SE & Co. KGaA): In Europe, we closed the year with solid commercial progress, including the launch of our Denosumab portfolio, where we continue to differentiate with our unique prefilled oncology syringe, a key competitive advantage validated by exactly the contracting momentum, as mentioned. Looking ahead, we expect this momentum into 2026 and beyond, as existing contracts increasingly convert into prescription and the broader tailwinds behind biosimilar adoption continue to strengthen. The performance of our recent launches gives us confidence in exactly that story. As highlighted in our Biopharma Meet the Management event, our marketed portfolio and pipeline put us on a clear path to double revenue by 2030, while progressing towards an EBIT margin of around 20%. This will be driven by further launches, deeper penetration, and continued cost efficiencies across the portfolio.

Michael Sen: In Europe, we closed the year with solid commercial progress, including the launch of our Denosumab portfolio, where we continue to differentiate with our unique prefilled oncology syringe, a key competitive advantage validated by exactly the contracting momentum, as mentioned. Looking ahead, we expect this momentum into 2026 and beyond, as existing contracts increasingly convert into prescription and the broader tailwinds behind biosimilar adoption continue to strengthen. The performance of our recent launches gives us confidence in exactly that story. As highlighted in our Biopharma Meet the Management event, our marketed portfolio and pipeline put us on a clear path to double revenue by 2030, while progressing towards an EBIT margin of around 20%. This will be driven by further launches, deeper penetration, and continued cost efficiencies across the portfolio.

<unk>.

As highlighted in our Biopharma meet the management event.

<unk> portfolio and pipeline put us on a clear path to double revenue by 2030, while progressing towards an EBIT margin of around 20%.

Speaker #3: And you will also see on the other side, on the complement to that, that the company program obviously is also yielding some benefits. That there is a company program 2026 where we continue to seek structural productivity also on the Helios Germany side.

This will be driven by further launches deeper penetration and continued cost efficiencies across the portfolio.

Speaker #3: Looking ahead, we expect this momentum to continue into 2026 and beyond, as existing contracts increasingly converge into prescription, and the broader tailwinds behind biosimilar adoption continue to strengthen.

And beyond this ambition, we see meaningful additional upsides supported by our early stage pipeline and our ability to bring new molecules to market with speed quality and global scale.

Michael: Beyond this ambition, we see meaningful additional upside, supported by our early-stage pipeline and our ability to bring new molecules to market with speed, quality, and global scale. Let's care provision business, Fresenius Helios, where we are elevating patient care with next-level digital tools and AI. Investing in digital and connected solutions are central to our strategy, driving better outcomes, higher efficiency, and staff satisfaction, and ultimately, an improved patient experience. With the two largest private care networks in Germany and Spain, we are uniquely positioned to shape data-driven, patient-centric, and cost-efficient healthcare. During Rejuvenate, we are steadily expanding digital technologies across our hospitals, leveraging our distinctive strength, direct patient access, rich clinical data, and deep medical expertise.

Michael Sen: Beyond this ambition, we see meaningful additional upside, supported by our early-stage pipeline and our ability to bring new molecules to market with speed, quality, and global scale. Let's care provision business, Fresenius Helios, where we are elevating patient care with next-level digital tools and AI. Investing in digital and connected solutions are central to our strategy, driving better outcomes, higher efficiency, and staff satisfaction, and ultimately, an improved patient experience. With the two largest private care networks in Germany and Spain, we are uniquely positioned to shape data-driven, patient-centric, and cost-efficient healthcare. During Rejuvenate, we are steadily expanding digital technologies across our hospitals, leveraging our distinctive strength, direct patient access, rich clinical data, and deep medical expertise.

Speaker #3: So overall, that for me is a very balanced perspective going into 2026. There is one other topic which if you look at it, there is hybrid DOGs.

Speaker #3: The performance of our recent launches gives us confidence in exactly that victory. As highlighted in our Biopharma Meet the Management event, our marketed portfolio and pipeline put us on a clear path to double revenue by 2030 while progressing toward an EBIT margin of around 20%.

Let's hear.

<unk> provision business for us and you'll see us where we are elevating patient care with next level digital tools and AI.

Speaker #3: They were introduced in 2024. It's fair to say there is another lag of rollout in 2026 that will be shifted between the traditional or classic DOG into that hybrid DOG.

Investing in digital and connected solutions are central to our strategy driving better outcomes higher efficiency and staff satisfaction and ultimately an improved patient experience.

Speaker #3: But overall, we remain very confident that with the indications we have given you in terms of margin improvement for Helios overall, we will hit this.

Speaker #3: This will be driven by further launches, deeper penetrations, and continued cost efficiencies across the portfolio. And beyond this ambition, we see meaningful additional upside, supported by our early-stage pipeline and our ability to bring new molecules to market with speed, quality, and global scale.

With the two largest private care networks in Germany, and Spain, we are uniquely positioned to shape data driven patient centric and cost efficient healthcare.

Speaker #3: Now, obviously, you would also want to know 2027 and how that will all unfold. So we're starting off with that DOG of around 3%.

[Company Representative] (Fresenius SE & Co. KGaA): Beyond this ambition, we see meaningful additional upside, supported by our early-stage pipeline and our ability to bring new molecules to market with speed, quality, and global scale. Let's care provision business, Fresenius Helios, where we are elevating patient care with next-level digital tools and AI. Investing in digital and connected solutions are central to our strategy, driving better outcomes, higher efficiency and staff satisfaction, and ultimately, an improved patient experience. With the two largest private care networks in Germany and Spain, we are uniquely positioned to shape data-driven, patient-centric, and cost-efficient healthcare. During Rejuvenate, we are steadily expanding digital technologies across our hospitals, leveraging our distinctive strength, direct patient access, rich clinical data, and deep medical expertise.

Michael Sen: Beyond this ambition, we see meaningful additional upside, supported by our early-stage pipeline and our ability to bring new molecules to market with speed, quality, and global scale. Let's care provision business, Fresenius Helios, where we are elevating patient care with next-level digital tools and AI. Investing in digital and connected solutions are central to our strategy, driving better outcomes, higher efficiency and staff satisfaction, and ultimately, an improved patient experience. With the two largest private care networks in Germany and Spain, we are uniquely positioned to shape data-driven, patient-centric, and cost-efficient healthcare. During Rejuvenate, we are steadily expanding digital technologies across our hospitals, leveraging our distinctive strength, direct patient access, rich clinical data, and deep medical expertise.

Rejuvenate we are steadily expanding digital technologies across our hospitals, leveraging our distinctive strengths.

Speaker #3: And we know that the 3% for this year, that was a very specific situation. Normally, you have that most favored nation clause, which is always saying it's the DOG is set as the higher off.

Speaker #3: Let's share provision business Fresenius Helios, where we are elevating patient care with next-level digital tools and AI. Investing in digital and connected solutions is central to our strategy, driving better outcomes, higher efficiency, and staff satisfaction, and ultimately an improved patient experience.

Direct patient access rich clinical data and deep medical expertise.

Speaker #3: Either the increase in cost in the hospital or what you see in terms of increase in the rates of the public health authority insurance plans.

A prime example is customer pay our digital health ecosystem in Spain, now, serving roughly 90 million active users and capturing nearly all medical activities to create.

Michael: A prime example is Casiopea, our digital health ecosystem in Spain, now serving roughly 9 million active users and capturing nearly all medical activities to create what we would call a seamless and connected patient journey, leading to positive results for patients in terms of medical outcomes and experience. Beyond this, we are rolling out AI-supported diagnostics, including rapid stroke and colon cancer detection. These initiatives make care smarter and more patient-centric, improving outcomes and reducing treatment time. Our systems consistently deliver medical quality above market benchmarks. In Germany, for example, we improved yet again, with now 92% of cases in 2025 exceeding market average quality performance. Combined with best-in-class clinical teams and state-of-the-art hospitals, Fresenius Helios continues to be the top choice for patients seeking exceptional care.

Michael Sen: A prime example is Casiopea, our digital health ecosystem in Spain, now serving roughly 9 million active users and capturing nearly all medical activities to create what we would call a seamless and connected patient journey, leading to positive results for patients in terms of medical outcomes and experience. Beyond this, we are rolling out AI-supported diagnostics, including rapid stroke and colon cancer detection. These initiatives make care smarter and more patient-centric, improving outcomes and reducing treatment time. Our systems consistently deliver medical quality above market benchmarks. In Germany, for example, we improved yet again, with now 92% of cases in 2025 exceeding market average quality performance. Combined with best-in-class clinical teams and state-of-the-art hospitals, Fresenius Helios continues to be the top choice for patients seeking exceptional care.

What we would call a seamless and connected patient journey, leading to positive results for patients in terms of medical outcomes and experience.

Speaker #3: With the two largest private care networks in Germany and Spain, we are uniquely positioned to shape data-driven, patient-centric, and cost-efficient healthcare. During Rejuvenate, we are steadily expanding digital technologies across our hospitals, leveraging our distinctive strength: direct patient access, rich clinical data, and deep medical expertise.

Speaker #3: And for 2027, we expect that most favored nation clause to be reinstalled. Outside of that, there has already been the confirmation that the state-based case value will be reimplemented, and that's 1.14%.

Beyond this we are rolling out AI supported diagnostics, including rapid stroke in colon cancer detection. This initiatives make care smarter and more patient centric improving outcomes and reducing treatment times.

Speaker #3: And if you want, that is a little bit half of the delta between the most favored nation price point for 2025, which was the 3%, or precisely the 2.98%, and the 5.17%.

Our systems consistently deliver medical quality above market benchmark.

Speaker #3: A prime example is Cassiopeia, our digital health ecosystem in Spain, now serving roughly 9 million active users and capturing nearly all medical activities to create what we would call a seamless and connected patient journey, leading to positive results for patients in terms of medical outcomes and experience.

[Company Representative] (Fresenius SE & Co. KGaA): A prime example is Kassiopia, our digital health ecosystem in Spain, now serving roughly 9 million active users and capturing nearly all medical activities to create what we would call a seamless and connected patient journey, leading to positive results for patients in terms of medical outcomes and experience. Beyond this, we are rolling out AI-supported diagnostics, including rapid stroke and colon cancer detection. These initiatives make care smarter and more patient-centric, improving outcomes and reducing treatment time. Our systems consistently deliver medical quality above market benchmarks. In Germany, for example, we improved yet again, with now 92% of cases in 2025 exceeding market average quality performance. Combined with best-in-class clinical teams and state-of-the-art hospitals, Fresenius Helios continues to be the top choice for patients seeking exceptional care.

Michael Sen: A prime example is Kassiopia, our digital health ecosystem in Spain, now serving roughly 9 million active users and capturing nearly all medical activities to create what we would call a seamless and connected patient journey, leading to positive results for patients in terms of medical outcomes and experience. Beyond this, we are rolling out AI-supported diagnostics, including rapid stroke and colon cancer detection. These initiatives make care smarter and more patient-centric, improving outcomes and reducing treatment time. Our systems consistently deliver medical quality above market benchmarks. In Germany, for example, we improved yet again, with now 92% of cases in 2025 exceeding market average quality performance. Combined with best-in-class clinical teams and state-of-the-art hospitals, Fresenius Helios continues to be the top choice for patients seeking exceptional care.

In Germany for example, we improved yet again with now 92% of cases in 2025% exceeding market average quality performance.

Speaker #3: So again, 2027, I don't expect that there is a lot of disruption in the system itself. Bottom line, while there may be movement in the buckets of remuneration, we expect to see there is price increases in the system.

Combined with best in class clinical teams and state of the art hospitals resilience Helios continues to be the top choice for patients seeking exceptional care.

Speaker #3: Beyond this, we're rolling out AI-supported diagnostics, including rapid stroke and colon cancer detection. This initiative makes care smarter and more patient-centric, improving outcomes and reducing treatment times.

Speaker #3: There will also be some cost increases in the system. We continue to focus onto our company program. And for 2026, I think we have given you a really nice margin expansion perspective on Helios.

Our strategy of upgrading the core and scaling our platforms is moving for venues into higher growth higher value segments, unlocking new profit pools, fostering innovation led growth, while lowering exposure to price pressures.

Michael: Our strategy of upgrading the core and scaling our platforms is moving Fresenius into higher growth, higher value segments, unlocking new profit pools, fostering innovation-led growth while lowering exposure to price pressures. For Fresenius Kabi, this is exactly what Vision 2026 set in motion. Over the past 3 years, Kabi has delivered meaningful top-line expansion and substantial margin improvement, enabling us to raise our EBIT margin ambition to 17% to 19%. This progress has been fueled by a stable and resilient pharma business and the increasing contribution of our 3 growth vectors: Biopharma, nutrition, and MedTech. Biopharma continues to scale rapidly. Nutrition is contributing accretive growth with targeted new product launches, while MedTech is benefiting from continuously improving margins and strong demand for our products. Together, these businesses are expanding our mix towards more specialized, higher-value segments with structurally strong underlying economics.

Michael Sen: Our strategy of upgrading the core and scaling our platforms is moving Fresenius into higher growth, higher value segments, unlocking new profit pools, fostering innovation-led growth while lowering exposure to price pressures. For Fresenius Kabi, this is exactly what Vision 2026 set in motion. Over the past 3 years, Kabi has delivered meaningful top-line expansion and substantial margin improvement, enabling us to raise our EBIT margin ambition to 17% to 19%. This progress has been fueled by a stable and resilient pharma business and the increasing contribution of our 3 growth vectors: Biopharma, nutrition, and MedTech. Biopharma continues to scale rapidly. Nutrition is contributing accretive growth with targeted new product launches, while MedTech is benefiting from continuously improving margins and strong demand for our products. Together, these businesses are expanding our mix towards more specialized, higher-value segments with structurally strong underlying economics.

Speaker #3: Our systems consistently deliver medical quality above market benchmarks. In Germany, for example, we improved yet again, with now 92% of cases in 2025 exceeding market average quality performance.

Speaker #2: Next question.

Speaker #1: Very comprehensive. Thank you.

Speaker #4: The next question comes from Oliver Metzger from Auto BHF. Please go ahead.

<unk> this is exactly with vision 2026.

Speaker #1: Yes. Good afternoon. Thanks a lot for taking my questions. The first one is very quick one. So does the exceptional strong growth of the 97% by a farmer consist of any one of effects or pull forward effects which could mean that Q1 might be softer from an absolute perspective?

Emotion over the past three years <unk> has delivered meaningful top line expansion and substantial margin improvement, enabling us raise our EBIT margin ambition to 17% to 19%. This progress has been fueled by a stable and resilient pharma business and the increasing <unk>.

Speaker #3: Combined with best-in-class clinical teams and state-of-the-art hospitals, Fresenius Helios continues to be the top choice for patients seeking exceptional care. Our strategy of upgrading the core and scaling our platforms is moving Fresenius into higher-growth, higher-value segments, unlocking new profit pools, fostering innovation-led growth, while lowering exposure to price pressures.

Speaker #1: Second question is about the growth composition in Helios Germany. So you reported an increase of 4% for the inpatient treatments, which is a great confirmation that you gain market share.

[Company Representative] (Fresenius SE & Co. KGaA): Our strategy of upgrading the core and scaling our platforms is moving Fresenius into higher growth, higher value segments, unlocking new profit pools, fostering innovation-led growth while lowering exposure to price pressures. For Fresenius Kabi, this is exactly what Vision 2026 set in motion. Over the past three years, Kabi has delivered meaningful top-line expansion and substantial margin improvement, enabling us to raise our EBIT margin ambition to 17% to 19%. This progress has been fueled by a stable and resilient pharma business and the increasing contribution of our three growth vectors: Biopharma, nutrition, and MedTech. Biopharma continues to scale rapidly. Nutrition is contributing accretive growth with targeted new product launches, while MedTech is benefiting from continuously improving margins and strong demand for our products. Together, these businesses are expanding our mix towards more specialized, higher-value segments with structurally strong underlying economics.

Michael Sen: Our strategy of upgrading the core and scaling our platforms is moving Fresenius into higher growth, higher value segments, unlocking new profit pools, fostering innovation-led growth while lowering exposure to price pressures. For Fresenius Kabi, this is exactly what Vision 2026 set in motion. Over the past three years, Kabi has delivered meaningful top-line expansion and substantial margin improvement, enabling us to raise our EBIT margin ambition to 17% to 19%. This progress has been fueled by a stable and resilient pharma business and the increasing contribution of our three growth vectors: Biopharma, nutrition, and MedTech. Biopharma continues to scale rapidly. Nutrition is contributing accretive growth with targeted new product launches, while MedTech is benefiting from continuously improving margins and strong demand for our products. Together, these businesses are expanding our mix towards more specialized, higher-value segments with structurally strong underlying economics.

Contribution of our three growth vectors, Biopharma nutrition and Med Tech.

Biopharma continues to scale rapidly nutrition is contributing accretive growth with targeted new product launches, while med tech is benefiting from continuously improving margins and strong demand for our <unk>.

Speaker #1: But simultaneously, I see that the ambulatory treatments grew just by 1%, which appears to a certain extent counterintuitive to the overall trend to treat more patients outside the clinics.

Speaker #3: For Fresenius Carebis, this is exactly what Vision 2026 sets in motion. Over the past three years, Carebis has delivered meaningful top-line expansion and substantial margin improvement, enabling us to raise our EBIT margin ambition to 17 to 19 percent.

Together these businesses are expanding our mix towards more specialized higher value segments with structurally strong underlying economics.

Speaker #1: So it would be great to hear your thoughts about this. And also, how you think about the ambulatory trajectory for next year also in the context of the digitalization and efficiency activities you're doing and also the lower-described invasiveness.

At the same time, our care delivery platform presented cereals provides predictable stable cash flows that strengthen our balance sheet and support disciplined investment in our growth areas.

Speaker #3: This progress has been fueled by a stable and resilient pharma business and the increasing contribution of our three growth vectors: biopharma, nutrition, and medtech.

Michael: At the same time, our care delivery platform, Fresenius Helios, provides predictable, stable cash flows that strengthen our balance sheet and support disciplined investment in our growth areas. That being said, Helios needs to step up even further to set up the organization for sustainable, long-term operational excellence and success. While Kabi is leading with structural enhancement and margin expansion, Helios is not yet delivering in line with our expectations. Closing this gap is a clear management priority for 2026 and beyond. Rejuvenate is now fully on the way, and when you look at where we began our Future Fresenius journey just over three years ago, it's clear how far we've come. We continue upgrading our core, modernizing our operating model, streamlining our footprint, and lifting execution across all businesses. It's the principle of keep doing what we are doing, but doing it even better.

Michael Sen: At the same time, our care delivery platform, Fresenius Helios, provides predictable, stable cash flows that strengthen our balance sheet and support disciplined investment in our growth areas. That being said, Helios needs to step up even further to set up the organization for sustainable, long-term operational excellence and success. While Kabi is leading with structural enhancement and margin expansion, Helios is not yet delivering in line with our expectations. Closing this gap is a clear management priority for 2026 and beyond. Rejuvenate is now fully on the way, and when you look at where we began our Future Fresenius journey just over three years ago, it's clear how far we've come. We continue upgrading our core, modernizing our operating model, streamlining our footprint, and lifting execution across all businesses. It's the principle of keep doing what we are doing, but doing it even better.

Speaker #1: Thank you.

That being said genius needs to step up even further to set up the organization for sustainable long term operational excellence and success.

Speaker #3: Biopharma continues to scale rapidly. Nutrition is contributing creative growth with targeted new product launches, while MedTech is benefiting from continuously improving margins and strong demand for our innovative products.

Speaker #2: Yeah. Oliver, hi. I'll start with your carby question. On bio well, they had a very, very strong Q4. Particularly by the US, I was very pleased to see that under the special distribution agreement with Civica Script, we did see the first revenue postings.

<unk> is leading with structural enhancement and margin expansion healing is helios is not yet delivering in line with our expectation closing. This gap is a clear management priority for 2026 and beyond.

Speaker #3: Together, these businesses are expanding our mix towards more specialized, higher-value segments with structurally strong underlying economics. At the same time, our care delivery platform, Fresenius Helios, provides predictable, stable cash flows that strengthen our balance sheet and support disciplined investment in our growth areas.

Speaker #2: That was very high. So if you have a higher jump-off point, you already are a little bit, how should I say, more uphill when it comes to Q1.

Rejuvenate is now fully underway and when you look at where we began our future craziness journey just over three years ago, It's clear how far we've come we continue upgrading our core modernizing our operating model streamlining our footprint and lifting execution.

[Company Representative] (Fresenius SE & Co. KGaA): At the same time, our care delivery platform, Fresenius Helios, provides predictable, stable cash flows that strengthen our balance sheet and support disciplined investment in our growth areas. That being said, Helios needs to step up even further to set up the organization for sustainable long-term operational excellence and success. While Kabi is leading with structural enhancement and margin expansion, Helios is not yet delivering in line with our expectations. Closing this gap is a clear management priority for 2026 and beyond. Rejuvenate is now fully on the way, and when you look at where we began our #FutureFresenius journey just over three years ago, it's clear how far we've come. We continue upgrading our core, modernizing our operating model, streamlining our footprint, and lifting execution across all businesses. It's the principle of keep doing what we are doing, but doing it even better.

Michael Sen: At the same time, our care delivery platform, Fresenius Helios, provides predictable, stable cash flows that strengthen our balance sheet and support disciplined investment in our growth areas. That being said, Helios needs to step up even further to set up the organization for sustainable long-term operational excellence and success. While Kabi is leading with structural enhancement and margin expansion, Helios is not yet delivering in line with our expectations. Closing this gap is a clear management priority for 2026 and beyond. Rejuvenate is now fully on the way, and when you look at where we began our #FutureFresenius journey just over three years ago, it's clear how far we've come. We continue upgrading our core, modernizing our operating model, streamlining our footprint, and lifting execution across all businesses. It's the principle of keep doing what we are doing, but doing it even better.

Speaker #2: In Q1, there may be in the neighborhood of, I don't know, 6 million milestone payment year over year, which will be lacking from map science.

Speaker #3: That being said, Helios needs to step up even further to set up the organization for sustainable, long-term operational excellence and success. While Carbi is leading with structural enhancement and margin expansion, Helios is not yet delivering in line with our expectations.

All businesses.

Speaker #2: But that is only a Q4/Q1 kind of topic. Overall, the biosimilars business is expected to grow again meaningfully in '26. Obviously, there had been a high growth rate in '25, which was 50%.

The principle of keep doing what we are doing with doing it even better.

But equally important is how we can scale our platforms. This is where juvenile rejuvenate truly will unlock value.

Michael: Equally important is how we can scale our platforms. This is where Rejuvenate truly will unlock value. Across our Biopharma, MedTech, and care provision platforms, we see opportunities to step into new value pools that build directly on our strength in critical and chronic care. Our anchor remains the patient, often the patient in the ICU, the OR, the ER, or in other high-acuity settings. We are exploring selected adjacencies. That means expanding to what lies left and right of the core, broadening our impact along the care continuum. This includes strengthening and renewing our portfolio, pursuing selective in-licensing, expanding geographically, such as the US rollout of our parenteral nutrition, and exploring high-value adjacencies in specialized injectables, next-wave biosimilars, nutrition innovation, and connected MedTech solutions.

Michael Sen: Equally important is how we can scale our platforms. This is where Rejuvenate truly will unlock value. Across our Biopharma, MedTech, and care provision platforms, we see opportunities to step into new value pools that build directly on our strength in critical and chronic care. Our anchor remains the patient, often the patient in the ICU, the OR, the ER, or in other high-acuity settings. We are exploring selected adjacencies. That means expanding to what lies left and right of the core, broadening our impact along the care continuum. This includes strengthening and renewing our portfolio, pursuing selective in-licensing, expanding geographically, such as the US rollout of our parenteral nutrition, and exploring high-value adjacencies in specialized injectables, next-wave biosimilars, nutrition innovation, and connected MedTech solutions.

Speaker #3: Closing this gap is a clear management priority for 2026 and beyond. Rejuvenate is now fully underway, and when you look at where we began our future Fresenius journey just over three years ago, it's clear how far we've come.

Across our Biopharma metric and care provision platform, we see opportunities to step into new value pools that build directly on our strength in critical and chronic care.

Speaker #2: You can't get to 50% anymore. This incremental high growth, I wouldn't call it flat now, but it has a different incremental number. And there are lots of molecules.

Speaker #3: We continue upgrading our core, modernizing our operating model, streamlining our footprint, and lifting execution across all businesses. It's the principle of keep doing what we are doing, but doing it even better.

Our anchor remains the patients often the patient in the ICU or the ER.

Speaker #2: We have Deno. We have Uste. We have Tajan. And many others. And as I said, the pull-through and everything has to come. Yet don't forget, and this goes a little bit again to Hassan's question, for example, on Tajan, other competitors are also now coming to market.

Or in other high acuity settings, and we are exploring selected adjacencies that means expanding to what life left and right of the core broadening our impact along the care continuum. This includes strengthening and renewing our portfolio pursuing selective.

Speaker #3: But equally important is how we can scale our platforms. This is where Juvenate Rejuvenate truly will unlock value. Across our biopharma, medtech, and care provision platforms, we see opportunities to step into new value pools that build directly on our strengths in critical and chronic care.

[Company Representative] (Fresenius SE & Co. KGaA): Equally important is how we can scale our platforms. This is where Rejuvenate truly will unlock value. Across our Biopharma, MedTech, and care provision platforms, we see opportunities to step into new value pools that build directly on our strength in critical and chronic care. Our anchor remains the patient, often the patient in the ICU, the OR, the ER, and other ICUs.

Michael Sen: Equally important is how we can scale our platforms. This is where Rejuvenate truly will unlock value. Across our Biopharma, MedTech, and care provision platforms, we see opportunities to step into new value pools that build directly on our strength in critical and chronic care. Our anchor remains the patient, often the patient in the ICU, the OR, the ER, and other ICUs.

Speaker #2: Actually, two. One of them, I think, the TPP is inferior. I would say the other one has a strong TPP. So, while we have enjoyed exclusivity, now it's more defensivity.

In licensing expanding geographically such as the U S rollout of our parenteral nutrition and exploring high value Adjacencies in specialized Injectables next wave Biosimilars nutrition innovation and connected Med Tech solutions.

Speaker #2: And that all has to work. So that one on the biosim. The Helios?

Speaker #3: Yep. Happy to take the Helios. So I think for us, if you look at the business and where the revenue comes from, the vast majority of that is still impatient and so the number I focus on is really the impatience and there the 4%, as you said, is a really nice growth trajectory.

These measures are elevating our performance and position.

<unk> four being stronger more innovative and more relevant.

Michael: These measures are elevating our performance and position Fresenius for being stronger, more innovative, and more relevant, also in terms of growth and value creation in the years ahead. With that, I'll hand it over to Sarah.

Michael Sen: These measures are elevating our performance and position Fresenius for being stronger, more innovative, and more relevant, also in terms of growth and value creation in the years ahead. With that, I'll hand it over to Sarah.

Also in terms of growth and value creation in the years ahead with that I'll hand, it over to Sarah.

Speaker #3: You can see that Q4 accelerated in terms of activity in the hospital. And for now, and also going into 2026, while we expect hybrid DRG to take a higher share, we expect that the traditional DRG still remains the lion's share in terms of contribution to our revenue.

Thank you Mike.

A warm welcome to everyone joining today's call.

Sarah: Thank you, Michael. A warm welcome to everyone joining today's call. We closed 2025 with an outstanding Q4. Our performance accelerated across all relevant KPIs. Q4 delivered an excellent top line with 9% organic growth, driven by both operating companies. EBIT grew by 13% at constant currency, fueled by Kabi's continued powerful operating performance and the expected strong acceleration of Helios. Our bottom line momentum further accelerated with 16% growth in Core EPS. This reflects the combined effect of consistent operating strength and substantially lower interest expense. Q4 saw a sequential increase in tax rate due to provisions in income tax liabilities. For the full year, the tax rate was well in line with our expectations. My highlight of the quarter is our operating cash flow, which exceeded 1.3 billion EUR.

Sara Hennicken: Thank you, Michael. A warm welcome to everyone joining today's call. We closed 2025 with an outstanding Q4. Our performance accelerated across all relevant KPIs. Q4 delivered an excellent top line with 9% organic growth, driven by both operating companies. EBIT grew by 13% at constant currency, fueled by Kabi's continued powerful operating performance and the expected strong acceleration of Helios. Our bottom line momentum further accelerated with 16% growth in Core EPS. This reflects the combined effect of consistent operating strength and substantially lower interest expense. Q4 saw a sequential increase in tax rate due to provisions in income tax liabilities. For the full year, the tax rate was well in line with our expectations. My highlight of the quarter is our operating cash flow, which exceeded 1.3 billion EUR.

We closed 2025 with an outstanding fourth quarter.

Outperformance accelerated across all relevant kpis.

Speaker #3: Now, how the hybrid DRG will fold out in terms of how many cases will be moving, I think that we will see as the year unfolds a little bit.

Q4 delivered excellent top line with 9% organic growth driven by both operating companies.

It grew by 13% at constant currency fueled by cabin continued powerful operating performance and the expected strong excellent.

Speaker #3: There have been let's say hernia repair or urology, which have been on the menu already in 2025. There got some broadening in terms of existing indications, then there were some new like cardiovascular interventions.

Here.

Our bottom line momentum further accelerated with 16% growth in core EPS.

This reflects the combined effect of consistent operating strength and substantially lower interest expense.

Speaker #3: But I think for 2026, what you will see the main part is coming from the inpatient hospital setting.

Q4 saw a sequentially.

The increase in tax rate due to provision and income tax liabilities for the full year the tax rate was well in line with our expectations.

Speaker #1: Okay. Thank you.

Speaker #4: The next question comes from Veronica Dubayova from Citi. Please go ahead.

My highlight of the quarter is our operating cash flow, which exceeded one 3 billion euro.

Speaker #5: Hey, guys. Good afternoon. Hope you can hear me okay. And thanks for taking my question. I have two, please, and apologies if I've missed this a little bit.

Our strong cash conversion supported.

Speaker #5: But just want to go back to your comments around what happened in Germany and sort of maybe the slower progress that you're making on the structural works there.

The deleveraging, bringing us well within our self imposed target range of 25 to three times net debt EBITDA.

Sarah: Our strong cash conversion supports the deleveraging, bringing us well within our self-imposed target range of 2.5x to 3x net debt to EBITDA. Overall, we are looking at a very successful financial year, 2025. We have delivered an excellent operating and financial performance in of rising geopolitical uncertainty and despite meaningful macro effects. Our results and phasing also played out just as we set out at the beginning of the year. I am very proud of the entire team Fresenius for this achievement. Kabi delivered their strongest quarter in terms of absolute revenue in history, achieving 10% organic growth. Growth vectors were up 16% in Q4. With 97% growth, Biopharma continues to be the main driver here, fueled by further ramp-up of Taiyin and the uptake of Otulfi. Nutrition grew 5% organically.

Sara Hennicken: Our strong cash conversion supports the deleveraging, bringing us well within our self-imposed target range of 2.5x to 3x net debt to EBITDA. Overall, we are looking at a very successful financial year, 2025. We have delivered an excellent operating and financial performance in of rising geopolitical uncertainty and despite meaningful macro effects. Our results and phasing also played out just as we set out at the beginning of the year. I am very proud of the entire team Fresenius for this achievement. Kabi delivered their strongest quarter in terms of absolute revenue in history, achieving 10% organic growth. Growth vectors were up 16% in Q4. With 97% growth, Biopharma continues to be the main driver here, fueled by further ramp-up of Taiyin and the uptake of Otulfi. Nutrition grew 5% organically.

Overall, we are looking at a very successful financial year 2025.

Speaker #5: If you can maybe talk through what is it that's not going to plan and what you need to do to improve that. And then just a quick question, if I can ask, around the carby margin corridor.

We have delivered an excellent operating and financial performance.

With rising geopolitical uncertainty and despite meaningful Mexico.

Speaker #5: If I look at the 17 to 19, 80 to 85 percent of the business is already or given the guidance you've given, I should be operating at 20%.

I always ask this phasing also played out just as we set out at the beginning of the year.

Speaker #5: So how should we be thinking about the progression in medical devices? Thanks so much.

I am very proud of the entire team for this achievement.

Speaker #2: Yeah. Maybe just to put the statement into perspective, I think that fits very well in what Sara outlined on the overall '25, '26 Helios kind of buckets they are moving.

<unk> delivered the strongest quarter in terms of absolute revenue in history, achieving 10% organic growth.

Growth vectors that are up 16% in Q4.

Speaker #2: I absolutely get it. And these are really a lot of moving buckets. On the regulatory front, we will do our utmost to ensure that you understand everything—where it moves from A to B.

With 97% growth Biopharma continues to be the main driver here.

By further behalf of Titan and the uptake Aqua Trophy.

Nutrition grew 5% organically strong underlying growth in European and international markets more than offset the impact from catch all volume based procurement in China.

Speaker #2: What we were emphasizing in the speech on Germany is that the efficiency program—which, by the way, did not only have cost benefits; it was an EBIT program—the €100 million.

Sarah: Strong underlying growth in European and international markets more than offset the impact from K2 volume-based procurement in China. Medtech delivered 5% organic growth, showing a consistent performance across all regions and segments. In Pharma, organic growth of 2% was driven by Europe, with good volume and price mix. In the US, volume growth more than compensated for pricing pressures. Argentina hyperinflation, the resulting price effect benefited the top line in Q4, but significantly less amount than in the previous year. Kabi's EBIT margin for Q4 reflected planned investment and year-end effects as expected. Against these effects, and despite the K2 impacting China, Q4 margin remained on prior year level, demonstrating the underlying strength of the business. This was driven by ongoing growth factor margin expansion, reaching 15.4% in Q4, as well as by a meaningful improvement in operating leverage and productivity gain.

Sara Hennicken: Strong underlying growth in European and international markets more than offset the impact from K2 volume-based procurement in China. Medtech delivered 5% organic growth, showing a consistent performance across all regions and segments. In Pharma, organic growth of 2% was driven by Europe, with good volume and price mix. In the US, volume growth more than compensated for pricing pressures. Argentina hyperinflation, the resulting price effect benefited the top line in Q4, but significantly less amount than in the previous year. Kabi's EBIT margin for Q4 reflected planned investment and year-end effects as expected. Against these effects, and despite the K2 impacting China, Q4 margin remained on prior year level, demonstrating the underlying strength of the business. This was driven by ongoing growth factor margin expansion, reaching 15.4% in Q4, as well as by a meaningful improvement in operating leverage and productivity gain.

Net tech delivered 5% organic growth showing a consistent performance across all regions and segments.

Speaker #2: Actually, executed we would say to plan. Yeah. They brought home what they have been saying. Now, having done a few of these programs myself in the past, I looked at it.

And pharma organic growth of 2% was driven by Europe with good volume and price mix.

In the U S volume growth more than compensated for pricing pressure.

Speaker #2: I started the first one in 2001. Usually, you also sometimes actually have a buffer—operationally, internally. Now, what has happened is with the DRG inflator, what Sara said, there was a change. That's why I call it a wash in San Francisco.

Argentina hyperinflation.

So is that if prices benefited the top line in Q4, but significantly less pronounced than in the previous year.

<unk> EBIT margin for the fourth quarter reflects planned investments and year end effect as expected.

Speaker #2: They took the lower end, and then they have to surcharge. So at the end of the day, it would have been the same if they had taken the higher end, but it was a more complicated way of doing things.

Against these effects.

The key transacting.

China Q4 margin remained unclear 11, demonstrating the underlying strength of the business.

Speaker #2: But that being said, we want the business to be resilient enough to counter these effects. And therefore, we want to double down on their efforts to structurally improve the whole cluster strategy, for example, to further build on consolidating the administration things.

This was driven by ongoing growth vector margin expansion, reaching 15, 4% in Q4 as well as by a meaningful improvement in operating leverage and productivity gains.

Q4 was an outstanding quarter for Helios in.

In line with the phasing we had laid out.

Sarah: Q4 was an outstanding quarter for Helios, in line with the phasing we had laid out. Organic growth was very strong at 8%, significantly exceeding the structural growth band. EBIT margin stood at an excellent 11.7% at the top end of the structural margin band. Also here, as expected in our phasing. Helios Germany grew 6% organically, driven by good admission growth and positive pricing. EBIT growth significantly accelerated both on a sequential and year-over-year basis. This was due to several well-flagged effects. The significant ramp-up of the performance program during Q4, the 3.25% surcharge for publicly insured patients in November and December, and a softer prior year base, as Q4 represented the first quarter in 2024 without energy relief contributions to EBIT.

Sara Hennicken: Q4 was an outstanding quarter for Helios, in line with the phasing we had laid out. Organic growth was very strong at 8%, significantly exceeding the structural growth band. EBIT margin stood at an excellent 11.7% at the top end of the structural margin band. Also here, as expected in our phasing. Helios Germany grew 6% organically, driven by good admission growth and positive pricing. EBIT growth significantly accelerated both on a sequential and year-over-year basis. This was due to several well-flagged effects. The significant ramp-up of the performance program during Q4, the 3.25% surcharge for publicly insured patients in November and December, and a softer prior year base, as Q4 represented the first quarter in 2024 without energy relief contributions to EBIT.

Growth was very strong at 8%.

Speaker #2: And then, obviously, to manage the patient flow in order to manage the case mix. Because we have not talked about the case mix—or Sara did talk about BVR—that case mix is also one element which contributes to the margin.

Inefficiently exceeding the structural growth.

EBIT margin stood at an excellent 11, 7%.

The top end of the structure margin band.

Speaker #2: And carby, yeah, well, it's nice. The math you did was a 20%. I don't know how you get there because you got the growth vectors, and you got the pharma business.

Also here as expected and our phasing.

Germany grew 6% organically driven by good admission growth and positive pricing.

EBIT significantly accelerated both on a sequential and year over year basis.

Speaker #2: I got to say, looking at last year, very satisfied that we saw improvement from all the businesses. So if you were hinting at there's a culprit with MedTech, which did not MedTech over the last three years meaningfully improved their margin by a couple of hundred base points.

This was due to several well flagged effects.

The significant ramp up of the performance program during Q4.

The 3.25% surcharge publicly insured patients in November and December.

Speaker #2: Where you may be maybe too aggressive on the optimistic side, maybe on the biosimilars business, because don't forget, this is also a highly competitive business.

And a softer prior year base F Q4 represented the first quarter and 2024 without any relief contribution to EBIT.

Okay.

Speaker #2: Where once it's not a generics, but it's similar to generics. Once you hit the market, it's going to be very competitive. And the prices are contested by competitors.

India, Spain reported excellent organic growth of 11% driven by increased activity levels and here and Payor settlements.

Sarah: Helios Spain reported excellent organic growth of 11%, driven by increased activity levels and year-end payer settlements. The EBIT margin of 15% reflects some year-end effects as well as the good top line development. Our excellent operating cash flow stand out as a highlight for me for the quarter, but also for the full year. Both operating companies maintained strong cash conversion during Q4, with Kabi continuing their disciplined approach to CapEx and networking capital, and Helios very successfully driving receivables collection. As a result, our cash conversion rate for the full year stood at 1.1 for the second year in a row, a direct outcome of our stringent cash focus. Helios cash conversion rate of 1.2 in financial year 2025 underscores its characteristic as a reliable cash generator for the group.

Sara Hennicken: Helios Spain reported excellent organic growth of 11%, driven by increased activity levels and year-end payer settlements. The EBIT margin of 15% reflects some year-end effects as well as the good top line development. Our excellent operating cash flow stand out as a highlight for me for the quarter, but also for the full year. Both operating companies maintained strong cash conversion during Q4, with Kabi continuing their disciplined approach to CapEx and networking capital, and Helios very successfully driving receivables collection. As a result, our cash conversion rate for the full year stood at 1.1 for the second year in a row, a direct outcome of our stringent cash focus. Helios cash conversion rate of 1.2 in financial year 2025 underscores its characteristic as a reliable cash generator for the group.

The EBIT margin of 15% reflects some yen effect as well as the good top line development.

Speaker #2: That's why the strategy with being fully vertically integrated. Okay?

Our excellent operating cash flow.

And as a highlight for me for the quarter, but also for the full year.

Speaker #1: Next question, please.

Speaker #4: The next question comes from Hugo Solveig from BNP Paribas. Please go ahead.

Both operating companies maintained strong cash conversion during Q4 with.

Speaker #1: Hi. Thank you for taking my questions and congrats, Michael, on continuing the journey until 2031. That's great news. First question on biosimilars. I'm curious to hear what's the feedback from your latest discussion in Washington on biosimilar development timelines and adoption initiatives.

With kabi, continuing that disciplined approach to Capex and net working capital and here very successfully driving receivables collection.

As a result, our cash conversion rate for the full year stood at one one for the second year in a row.

Speaker #1: I have seen discussions accelerate as we approach the midterm elections. And what are your thoughts on the risk that significantly lower costs could lead to more competition or lower the barriers to entry?

The direct outcome of our change in cash focus.

Our cash conversion rate of one two in financial year 2025, underscoring its characteristic as a reliable cash generation for the group.

Speaker #1: And second, maybe more for Sara, but on pharma, is there any idle capacity cost that we should think about for the Wilson ramp-up in 2026?

Savi at 1.0 was also perfectly in line with our cash conversion ambition.

Speaker #1: And on price pressure in pharma, has it been deteriorating a bit more or stable? In recent months, thank you.

Sarah: Kabi, at 1.0, was also perfectly in line with our cash conversion ambition. Last 12-month free cash flow includes proceeds from the FMC divestment in Q1 2025, as well as from the pro rata sale alongside the FMC share buyback. In total, these proceeds amounted to around EUR 560 million over the last 12 months. We enter 2026 with strong foundations and remain focused on our priorities. This is what we have on our financial agenda for the year. As in the past, we continuously review our ambitions, building a stronger, more agile, and innovative Fresenius. A more mature organization allows us to leverage financial flexibility from our sustainably strengthened balance sheet. We will do all of that while maintaining a strict focus on returns and bottom line.

Sara Hennicken: Kabi, at 1.0, was also perfectly in line with our cash conversion ambition. Last 12-month free cash flow includes proceeds from the FMC divestment in Q1 2025, as well as from the pro rata sale alongside the FMC share buyback. In total, these proceeds amounted to around EUR 560 million over the last 12 months. We enter 2026 with strong foundations and remain focused on our priorities. This is what we have on our financial agenda for the year. As in the past, we continuously review our ambitions, building a stronger, more agile, and innovative Fresenius. A more mature organization allows us to leverage financial flexibility from our sustainably strengthened balance sheet. We will do all of that while maintaining a strict focus on returns and bottom line.

Last 12 months free cash flow includes proceeds from the FMC divestments in Q1, 2025 as well as from the pro rata sale alongside the FMC share buyback.

Speaker #2: Yeah. Thank you, Hugo, also for your kind words. Look, on biosim, that's why I was mentioning it. I think all we see particularly in the US is headed in the right direction.

In total these proceeds amounted to around 560 million euro over the last 12 months.

Speaker #2: You had the FTC enforcement, and you had you have the PBM reforms. At the end of the day, this is the whole intent to have a more transparent fairer market-driven approach.

We entered 2026 with strong foundations and remained focused on our priorities.

This is what we have on our financial agenda for the year.

As in the past, we continuously review our ambitions spanning a stronger more agile and innovative.

Speaker #2: Actually, to increase competition so that end customers, end consumers get the lower price. That does not necessarily mean when I say get the lower price, that immediately there's incremental price pressure.

Yes.

Our more mature organization allows us to leverage financial flexibility from our sustainably strengthened balance sheet.

We will do all of that while maintaining a strict focus on returns and bottom line.

Speaker #2: Today, the whole system via PBMs is based on high list prices and rebates. And the copay of the individual patient in the US is also based on that list price.

Dania financial framework as a living frameworks that evolve with our business and that provides a yard stick to measure our performance against our ambitions.

Sarah: The Fresenius Financial Framework is a living framework that evolves with our business, and that provides a yardstick to measure our performance against our ambitions. 12 months ago, we raised and narrowed Kabi's structural EBIT margin bands. Today, we are further raising the bar to 17% to 19%. Consistent margin expansion over the past years, the rigorous execution on structural productivity, and the overall increased level of maturity gives us the confidence to do so. Looking ahead for 2026 and beyond, we expect continued progress, driven by several key factors. First, further margin improvement in our growth vectors as our strategy unfolds. In 2025, they expanded their margin by another 130 basis points. Second, Kabi's ability to innovate and successfully launch new products across all business units will provide the basis to drive the next leg of profitability.

Sara Hennicken: The Fresenius Financial Framework is a living framework that evolves with our business, and that provides a yardstick to measure our performance against our ambitions. 12 months ago, we raised and narrowed Kabi's structural EBIT margin bands. Today, we are further raising the bar to 17% to 19%. Consistent margin expansion over the past years, the rigorous execution on structural productivity, and the overall increased level of maturity gives us the confidence to do so. Looking ahead for 2026 and beyond, we expect continued progress, driven by several key factors. First, further margin improvement in our growth vectors as our strategy unfolds. In 2025, they expanded their margin by another 130 basis points. Second, Kabi's ability to innovate and successfully launch new products across all business units will provide the basis to drive the next leg of profitability.

Speaker #2: And the incentive is the higher the rebate on I'm talking about part D. The higher the rebate, the more business there is for the middleman.

12 months ago, we raised and narrowed our carbon capture EBIT margin bands.

We are further raising the bar.

17% to 19%.

Speaker #2: If you change that system to the net effective cost or the net pricing, then this will change. And this has been experienced already in contracts where we had this direct channel, direct health plans, special distribution deals, unbranded ones, and so on and so forth.

Consistent margin expansion of the past years, the rigorous execution on structure productivity and the overall increased level of maturity gives us the confidence to do so.

Looking ahead for 2026 and beyond we expect continued progress driven by several key factors.

Speaker #2: So we feel that is headed into the right direction. Also, this whole topic about interchangeability, and also getting rid of phase three clinical trials.

First further margin improvement in our growth vectors as our strategy unfolds.

In 2025, they expanded their margins by another 130 basis points.

Speaker #2: That being said, I'm not—and this is the whole, I would say, deregulation effort of the administration—that being said, I'm not worried that this will now attract a lot of competitors into the market.

Second having the ability to innovate and successfully launch new products across all our business unit, where it provides a basis to drive the next leg of profitability.

Speaker #2: Because at the end of the day, as I always say, you will only survive if you have a fully integrated value chain. And if you have a good pipeline, if you are great in developing molecules, great in manufacturing at the most competitive cost, and great in distribution channels.

Third we remain focused on enhancing our operating leverage and are targeting further.

Sarah: Third, we remain focused on enhancing our operating leverage and are targeting further productivity gains across the business. The pharma segment will continue to provide a resilient foundation, and we expect it to maintain a margin of around 20%. For 2026, we expect an EBIT margin of 16.5% to 17%, based on our strong operating momentum. Fresenius has made remarkable progress in strengthening the balance sheet. In 2 years, we've reduced net debt by around EUR 3 billion, representing around one quarter of our net debt. This has been achieved primarily on an organic basis, driven by a stringent focus on cash and a strong earnings performance. Having regained financial flexibility, we now have strategic optionality as we advance our Rejuvenate agenda. What does that mean in terms of capital allocation?

Sara Hennicken: Third, we remain focused on enhancing our operating leverage and are targeting further productivity gains across the business. The pharma segment will continue to provide a resilient foundation, and we expect it to maintain a margin of around 20%. For 2026, we expect an EBIT margin of 16.5% to 17%, based on our strong operating momentum. Fresenius has made remarkable progress in strengthening the balance sheet. In 2 years, we've reduced net debt by around EUR 3 billion, representing around one quarter of our net debt. This has been achieved primarily on an organic basis, driven by a stringent focus on cash and a strong earnings performance. Having regained financial flexibility, we now have strategic optionality as we advance our Rejuvenate agenda. What does that mean in terms of capital allocation?

Productivity gains across the business.

The pharma segment will continue to provide the resilient foundation and we expect it to maintain a margin of around 20%.

Speaker #2: So you need to be able to orchestrate all of that one. So if somebody wants and tries to play in that market, you still have some entry costs on patent litigation.

Our 2026, we expect an EBIT margin of 16.5% to 17%.

On our strong operating momentum.

Speaker #2: On average, people say it's depending on the molecule, 30 million or something like that. So you need to invest already into that one. So I think it's headed into the right direction.

But Daniel has made remarkable progress in strengthening the balance sheet in two years, we've reduced net debt by around 3 billion euro representing around one quarter of our net debt.

Speaker #2: And maybe because before I hand it over to Sarah, maybe on Veronica's question on the margin for carby, what I would also emphasize is that we are investing also in innovation.

This has been achieved primarily on an organic basis, driven by our stringent focus on cash and our strong earnings performance.

Speaker #2: And that is what you need to do. I was actually surprised when an investor in San Francisco asked me, what is the leakage in the business?

Having regain financial flexibility, we now have strategic Optionality as we advance our rejuvenate agenda.

Speaker #2: And when I asked, what is the leakage? She said, R&D. R&D is not the leakage. R&D is securing your future. If you don't have R&D and molecules in the next three, four, five, six, seven, eight, nine, 10 years, you're going to be out of business.

What does that mean in terms of capital allocation.

Firstly, we remain committed to investing for long term profitable growth upgrading our core and scaling platforms.

Sarah: Firstly, we remain committed to investing for long-term profitable growth, upgrading our core, and scaling platforms. This includes, for example, enhancing production capabilities, strengthening our digital infrastructure, fostering R&D and innovation, while also investing strategically in our pipeline, and portfolio. This is guided by strict return and disciplined capital allocation requirements. Our CapEx outlook reflects that with around 5.5% of revenues for 2026, up from 4.4% last year. Second, we remain committed to delivering attractive shareholder returns and propose a dividend of EUR 1.05 for full year 2025.

Sara Hennicken: Firstly, we remain committed to investing for long-term profitable growth, upgrading our core, and scaling platforms. This includes, for example, enhancing production capabilities, strengthening our digital infrastructure, fostering R&D and innovation, while also investing strategically in our pipeline, and portfolio. This is guided by strict return and disciplined capital allocation requirements. Our CapEx outlook reflects that with around 5.5% of revenues for 2026, up from 4.4% last year. Second, we remain committed to delivering attractive shareholder returns and propose a dividend of EUR 1.05 for full year 2025.

Speaker #2: So you also see investments going into OPEX.

This includes for example, enhancing production capabilities strengthening our digital infrastructure.

Speaker #3: Yeah. And now happy to take the question on US pharma. You heard Michael saying it's a volume game, right? And it's fair to say in 2025, we have seen price pressure.

During R&D and innovation.

Also investing strategically in our <unk>.

The decline in portfolio. This is guided by strict return and disciplined capital allocation requirements.

Speaker #3: And 2025 was a volume game. So let me qualify that a little bit. You also know that we have taken on stream the extensions in various parts and Wilson.

Our capex outlook reflects that with around five 5% of revenues for 2026 up from four 4% last year.

Speaker #3: And if you look at Wilson and solutions, for example, we have seen quite a nice ramp-up in 2026. And we will continue to see a nice ramp-up into 20 we have seen a 2025, and we will continue to see a nice ramp-up in 2026.

Second we remain committed to delivering attractive shareholder returns and propose a dividend of one euro antisense for full year 2025.

This represents a 5% increase year on year with distribution at 37% of core net income towards the upper range of our.

Speaker #3: Adding to that volume ramp-up and that volume topic, which we will continue seeing from '25 into '26. Now, if you talk about price pressure per se, Q4 was probably a little bit more pronounced than the rest of the year '25.

Sarah: This represents a 5% increase year-over-year, with distribution at 37% of Core net income towards the upper range of our. Last, but certainly not least, our priority is maintaining a strong balance sheet, keeping our leverage well within the target range of 2.5x to 3x, and staying fully committed to our investment grade rating. This means strong discipline on capital allocation and cash conversion. Rejuvenate sets us on a clear path for future profitable growth to generate value to our stakeholders. Two KPIs, which nicely complement each other to measure this, are EPS growth and return on invested capital. On EPS, we continue to see strong momentum, delivering another year of double-digit bottom line growth, with Core EPS increasing 12% for the full year. Three things are driving this.

Sara Hennicken: This represents a 5% increase year-over-year, with distribution at 37% of Core net income towards the upper range of our. Last, but certainly not least, our priority is maintaining a strong balance sheet, keeping our leverage well within the target range of 2.5x to 3x, and staying fully committed to our investment grade rating. This means strong discipline on capital allocation and cash conversion. Rejuvenate sets us on a clear path for future profitable growth to generate value to our stakeholders. Two KPIs, which nicely complement each other to measure this, are EPS growth and return on invested capital. On EPS, we continue to see strong momentum, delivering another year of double-digit bottom line growth, with Core EPS increasing 12% for the full year. Three things are driving this.

Last but certainly not least our priority is maintaining a strong balance sheet.

Keeping our leverage well within the target range of two five to three times and staying fully committed to our investment grade rating.

Speaker #3: If you look at Q1, however, we see that price pressure kind of lifting a little bit. And being less tense than it was in Q4.

This means strong discipline on capital allocation and cash conversion.

Speaker #3: Overall, however, we don't expect that to go away. And we believe that it is a whatever single-digit middle single-digit price pressure point. We will be seeing for 2026 as well.

We juvenile sets us on a clear path for future profitable growth to generate value to our stakeholders.

Two kpis, which nicely complement each other to measure this our EPS growth and return on invested capital.

Speaker #3: So how can you then be successful? Like Michael said, it's portfolio and pipeline and in 2025, we have been quite successful with our 15 launches.

On EPS, we continue to see strong momentum delivering another year of double digit bottom line growth with core EPS, increasing 12% for the full year.

Speaker #3: And building on that one. But it's also the reliability of supply. And I think there we also struck really nice wins and winning awards from our customers.

Three things are driving that.

First during a revitalized via both our muscle of operational excellence and efficiency, which will continue to exercise.

Speaker #3: So in the end, it's the volume, which needs to come, and the customers, which need to be happy with your supply and your reliability and your portfolio.

Sarah: First, during Revitalize, we have built our muscle of operational excellence and efficiency, which we continue to exercise. In 2025, the organization again delivered substantial EBIT savings. At Kabi, productivity gains have become part of the DNA. Helios also delivered on its performance program in 2025, which was initiated just 12 months ago. Second, with Rejuvenate, we are further building our muscle to identify and leverage growth opportunities. This also explains our resilience in 2025 against the tough macroeconomic backdrop. Third, our focus on cash and deleveraging reduced our net interest expense by more than EUR 100 million last year. Regarding return on invested capital, this is deeply embedded in our Financial Framework, financial steering, and beyond. It introduces a long-term perspective, given its slower moving nature.

Sara Hennicken: First, during Revitalize, we have built our muscle of operational excellence and efficiency, which we continue to exercise. In 2025, the organization again delivered substantial EBIT savings. At Kabi, productivity gains have become part of the DNA. Helios also delivered on its performance program in 2025, which was initiated just 12 months ago. Second, with Rejuvenate, we are further building our muscle to identify and leverage growth opportunities. This also explains our resilience in 2025 against the tough macroeconomic backdrop. Third, our focus on cash and deleveraging reduced our net interest expense by more than EUR 100 million last year. Regarding return on invested capital, this is deeply embedded in our Financial Framework, financial steering, and beyond. It introduces a long-term perspective, given its slower moving nature.

In 2025, the organization again delivered substantially EBIT savings at.

Speaker #3: And that's how you manage the price pressure.

Speaker #2: And by the way, why are we confident on that one? There is market share to be gained. And we have seen market share gains on solutions because we're talking about Wilson and solutions.

At Cabot productivity gains have become part of the DNA.

<unk> also delivered on its performance program in 2025, which was initiated just 12 months ago.

Speaker #2: And we want to pick up more. But again, that then needs to work. If that works, then it gets volume. But the market is there to be picked up because, as you probably know much better, many customers may want to diversify their supplier base.

Second.

Juvenile we're further building our method to identify and leverage growth opportunities.

This also explains our resilience in 2025 against the tough macroeconomic backdrop.

And third our focus on cash and deleveraging we've used our net interest expense by more than 100 million last year.

Speaker #3: Next question, please.

Speaker #4: The next question comes from Philippe Omno from JPMorgan. Please go ahead.

Regarding return on invested capital. This is deeply embedded in our financial framework financial steering and beyond.

Speaker #2: All right. Thanks. Take my question. Just a quick one on Helios Spain. You guys mentioned seeing some benefit from payer settlements. So just wondering, are you able to share a bit more color on that?

It introduces a long term perspective, given a slower moving nature.

In the last two years, we've seen a 140 basis points improvement.

Speaker #2: And perhaps give us an idea of the year-on-year impact that you saw on revenue and margins? Thanks.

Sarah: In the last two years, we've seen 140 basis points improvement, demonstrating that we have transformed Fresenius into a return-focused organization. This focus will not change. Despite increased financial flexibility, we will carefully evaluate all investment opportunities with the same rigor, ultimately, with a view to delivering long-term value creation. Now, turning to the guidance for 2026. We expect 4% to 7% organic revenue growth for the group. Core EPS growth at constant currency is expected to be within the range of 5% to 10%. Core EPS is defined as earnings per share before special items and excluding any contribution from our stake in FMC. Here, we have structurally strengthened Fresenius' earnings base and have become a more mature organization. We believe the time is right to move from EBIT to a Core EPS growth guidance.

Sara Hennicken: In the last two years, we've seen 140 basis points improvement, demonstrating that we have transformed Fresenius into a return-focused organization. This focus will not change. Despite increased financial flexibility, we will carefully evaluate all investment opportunities with the same rigor, ultimately, with a view to delivering long-term value creation. Now, turning to the guidance for 2026. We expect 4% to 7% organic revenue growth for the group. Core EPS growth at constant currency is expected to be within the range of 5% to 10%. Core EPS is defined as earnings per share before special items and excluding any contribution from our stake in FMC. Here, we have structurally strengthened Fresenius' earnings base and have become a more mature organization. We believe the time is right to move from EBIT to a Core EPS growth guidance.

Demonstrating that we have transformed <unk> into a returns focused organization.

Speaker #3: Yeah, happy to do so. And maybe, again, there, let me take a quick step back because if you look at Q1 in particular, I think it's always worth looking at the full year, rather than to go quarter by quarter.

This focus will not change.

Despite increased financial flexibility, we look carefully evaluate all investment opportunities with the same rigor ultimately with a view to delivering long term value creation.

Speaker #3: Because what you will see is you have a relatively seasonally weak Q4. There is a Q3, sorry. There is a holiday period. People patients tend to be not around, but also other people tend to be not around.

Now turning to the guidance for 2026.

We expect her to 7% organic revenue growth for the group.

Speaker #3: And that is being picked up with high activity levels in Q4. So Q4 tends to be the strongest quarter. And if you look at the margin in Q4 for Q4 '24, there was high.

For EPS growth at constant currency is expected to be within the range of 5% to 10%.

Core EPS is defined as earnings per share before special items and excluding any contribution from our stake in FMT.

Speaker #3: And there was a really significant growth year over year from '23 to '24. And now, if you look at '25, again, you see that Q4 is a really strong quarter with a really attractive margin.

Given we are structurally strength with Fresenius earnings space and have become a more mature organization.

We believe the time is right to move from EBIT to a core EPS growth guidance.

Speaker #3: And also on top line, and part of that also. '24, but also in '25 is payer settlements is final negotiations on topics. So if you so wish, prior to year-end, clean up in many ways.

This change demonstrates our commitment to shareholder value creation by in aligning with how the market values the company.

Sarah: This change demonstrates our commitment to shareholder value creation, while aligning with how the market values the company. Before I finish, and as an additional help, building block of our outlook and indications for the segment. Kabi will continue to build on its strong operating momentum in 2026. We are expecting a ramp-up over the course of the year as rollouts and launches are being executed. The key to effect in China will annualize from Q2 onwards. The 3.25% surcharge for publicly insured patients will benefit Helios until end of October 2026. Throughout 2026, we will continue to make targeted investments aligned with our Rejuvenate agenda. We are operating in a rapidly changing geopolitical and macroeconomic environment that is giving rise to a new world order. This shift is driving greater complexity in global regulation, supply chain, and trade frameworks.

Sara Hennicken: This change demonstrates our commitment to shareholder value creation, while aligning with how the market values the company. Before I finish, and as an additional help, building block of our outlook and indications for the segment. Kabi will continue to build on its strong operating momentum in 2026. We are expecting a ramp-up over the course of the year as rollouts and launches are being executed. The key to effect in China will annualize from Q2 onwards. The 3.25% surcharge for publicly insured patients will benefit Helios until end of October 2026. Throughout 2026, we will continue to make targeted investments aligned with our Rejuvenate agenda. We are operating in a rapidly changing geopolitical and macroeconomic environment that is giving rise to a new world order. This shift is driving greater complexity in global regulation, supply chain, and trade frameworks.

Before I finish and as an additional help let me.

Speaker #3: And so you will have in Q4 a little bit more year-end effect on the Q1 side. This is nothing new. I think you can see that has been a consistent theme.

So I think lots of our outlook and indications for the segment.

Kathy will continue to build on our strong operating momentum in 2026.

Speaker #3: And so it's not for me if you so wish a one-off is something which you see on a more regularly evolving base.

We're expecting a ramp up over the course of the year as Rollouts and launches are being executed.

The teacher effect in China with annualized trunk.

Speaker #2: Thanks.

Q2 onwards, the 3% to 5% surcharge for publicly insured patients will benefit here.

Speaker #4: The last question comes from Falco Friedrich from Deutsche Bank. Please go ahead.

Speaker #2: Thank you. Two questions, please. Firstly, with your leverage ratio now at 2.7 times, so comfortably inside your target corridor, and your clear dividend policy, what are your capital allocation priorities for this year?

And October 26.

Throughout 2006, we will continue to make targeted investments aligned with our rejuvenate agenda.

We are operating in a rapidly changing geopolitical and macroeconomic environment that is giving rise to a new world order. This shift is driving greater complexity in global regulation supply chain and trade frameworks.

Speaker #2: And could bolt-on M&A already be an option for you in 2026? And second question, could you briefly remind us how you were exposed to tariffs last year?

Speaker #2: More in general. And completely irrespective of whether they're going to increase or decrease now after the Supreme Court ruling. Thank you. I'll start with the second one, and then Sarah, which I think she already outlined nicely in her speech.

We are closely evaluating the potential implications of the recent Supreme Court ruling on tariffs.

Sarah: We are closely evaluating the potential implications of the recent U.S. Supreme Court ruling on tariffs. Since the situation is still developing, this cannot be fully reflected in the current guidance. Our focus is proactively preparing for the future while managing short-term uncertainty. Thus, for Kabi, we expect mid to high single-digit organic growth and an EBIT margin between 16.5% and 17%. For Helios, we expect mid-single-digit organic revenue growth and an EBIT margin between 10% and 10.5%. As a result, EBIT margin for the group is expected to be around 11.5%. Based on a much stronger balance sheet and with some refinancing needs in mind, we expect that interest expenses remain in line with the previous year. Our tax rate is expected within the range of 24% to 25%.

Sara Hennicken: We are closely evaluating the potential implications of the recent U.S. Supreme Court ruling on tariffs. Since the situation is still developing, this cannot be fully reflected in the current guidance. Our focus is proactively preparing for the future while managing short-term uncertainty. Thus, for Kabi, we expect mid to high single-digit organic growth and an EBIT margin between 16.5% and 17%. For Helios, we expect mid-single-digit organic revenue growth and an EBIT margin between 10% and 10.5%. As a result, EBIT margin for the group is expected to be around 11.5%. Based on a much stronger balance sheet and with some refinancing needs in mind, we expect that interest expenses remain in line with the previous year. Our tax rate is expected within the range of 24% to 25%.

Since the situation is still developing this cannot be fully reflected in the current guidance.

Speaker #2: But Falco will repeat it again. Not so sure on the M&A rule. We'll answer that one. But the general principle. On the tariffs, first of all, I'm grateful that you mentioned it because yes, we also had tariffs last year.

Our focus is proactively preparing for the future while managing short term uncertainty.

Bob Hauck Harvey, we expect mid to high single digit organic growth and an EBIT margin between 16, and a half and 17%.

Speaker #2: We were not completely immune particularly on the, let's say, MedTech arena. And the biopharma parts of nutrition were exempted. But that was also a process of being in a very constructive dialogue with policy decision-makers.

For <unk>, we expect mid single digit organic revenue growth and an EBIT margin between 10 and 10, 5%.

As a result EBIT margin for the group is expected to be around 11, 5%.

Based on a much stronger balance sheet and with some refinancing needs in mind, we expect that interest expenses remain in line with the previous year.

Speaker #2: And therefore, if even if you take a like-for-like, then you would have a full year annualized tariff impact going into '26. Now, how that then changes with the new ruling we will have to see.

Our tax rate is expected within the range of 24% to 25%.

Is it F X.

Effects will have an impact on our 2026 results.

Sarah: As FX effects will have an impact on our 2026 results, assuming spot rates as of 31 December remain unchanged, this would have a negative effect of around 1% on reported revenue, EBIT, and Core EPS. As the year continues, we look forward to keeping you updated on our progress. With that, I hand it back to Michael.

Sara Hennicken: As FX effects will have an impact on our 2026 results, assuming spot rates as of 31 December remain unchanged, this would have a negative effect of around 1% on reported revenue, EBIT, and Core EPS. As the year continues, we look forward to keeping you updated on our progress. With that, I hand it back to Michael.

Assuming spot rates as of December 31 remained unchanged. This would have a negative effect of around 1% on reported revenue EBIT and core EPS.

Speaker #3: Yeah. And if you look at capital allocation priorities, you already mentioned yourself the dividend and shareholder return, as well as the strength of the balance sheet.

As the year continues we look forward to keep you updated on our progress Andrew.

Speaker #3: And it's fair to say over the last years, we have gained that financial flexibility that with rejuvenate, we can now also step up in terms of investing into our own growth.

And with that I'll hand, it back to Mike.

Yes. Thank you Sara now, let's take a step back and look at health care systems.

Michael: Yeah. Thank you, Sarah. Let's take a step back and look at healthcare systems and the dynamics of healthcare systems more structurally. Globally, healthcare systems are under increasing pressure. They were built for a bygone era. The structures that worked well in the twentieth century can no longer fully address the challenges of the twenty-first, from demographic shifts and rising chronic disease to workforce shortages and a more fragile supply chain environment. In this environment, healthcare is increasingly recognized as critical infrastructure. Reliability, security of supply, and resilience are becoming just as important as efficiency and cost, a shift that strongly supports Fresenius' positioning, and we need to continue to invest for future success. We play a system-critical role through essential medicines, generics, and biosimilars, and healthcare infrastructure that expands access to high quality, affordable care, and supports healthcare systems sustainably.

Michael Sen: Yeah. Thank you, Sarah. Let's take a step back and look at healthcare systems and the dynamics of healthcare systems more structurally. Globally, healthcare systems are under increasing pressure. They were built for a bygone era. The structures that worked well in the twentieth century can no longer fully address the challenges of the twenty-first, from demographic shifts and rising chronic disease to workforce shortages and a more fragile supply chain environment. In this environment, healthcare is increasingly recognized as critical infrastructure. Reliability, security of supply, and resilience are becoming just as important as efficiency and cost, a shift that strongly supports Fresenius' positioning, and we need to continue to invest for future success. We play a system-critical role through essential medicines, generics, and biosimilars, and healthcare infrastructure that expands access to high quality, affordable care, and supports healthcare systems sustainably.

Speaker #3: We have more opportunities than we probably have funding for. But I think the important thing is with rejuvenate, it's the growing our platform and upgrading our core.

And the dynamics of healthcare systems more structurally.

Globally healthcare systems are under increasing pressure.

For build for a bygone of Europe, the structures that worked well in the 20th century can no longer fully address the challenges of the 21 from demographic shifts and rising chronic disease to workforce shortages and a more fragile supply chain environment.

Speaker #3: And that really means investing into R&D, investing into innovation, investing into our digital backbone, but also investing into portfolio and pipeline. And the line between organic and small inorganic, for me, is a little bit blurry, because if you think about pipeline, you can develop yourself the molecules, and then you spend money on R&D.

In this environment in health care is increasingly recognized as critical infrastructure reliability security of supply and resilience are becoming just as important as efficiency and cost.

Speaker #3: But you can also in-license, and then you spend money outside. But I think for me, the more important point is that we spend the money in order to safeguard future profitable growth and in order to safeguard returns for the long term.

A ship that strongly supports resilience this positioning and we need to continue to invest for future success.

We play a system critical role through essential medicines, generics and Biosimilars and healthcare infrastructure that expands access to high quality affordable care and supports healthcare systems sustainably.

Speaker #3: And then we will decide project by project, with a view on those two, whether it makes sense to invest more into our funding, our own innovation, or whether we go to the outside and insource certain things.

Speaker #3: But overall, with Rejuvenate, we have kicked off the next leg, if you so wish, of fostering that investment. It's also reflected in a higher CapEx of 5.5% of revenue.

Our diversified portfolio and local for local operating model provides meaningful resilience and flexibility.

Michael: Our diversified portfolio and local-for-local operating model provide meaningful resilience and flexibility. Our global footprint and production network help limit exposure and strengthen healthcare security, particularly in key markets like the US. Innovation is key. Building a digitally enabled operating system is essential to improving both efficiency and outcomes. We're investing in digitalization, AI, and next-generation capabilities to enhance clinical decision-making, streamline workflows, and give time back to care teams, enabling systems to do more without proportionally increasing cost. We also believe in a pragmatic approach to innovation, rooted in an ecosystem, trying new models, scaling that works, and embedded successful solutions into everyday care. This mindset allows us to modernize the operating model while staying focused on quality, reliability, and disciplined execution.

Michael Sen: Our diversified portfolio and local-for-local operating model provide meaningful resilience and flexibility. Our global footprint and production network help limit exposure and strengthen healthcare security, particularly in key markets like the US. Innovation is key. Building a digitally enabled operating system is essential to improving both efficiency and outcomes. We're investing in digitalization, AI, and next-generation capabilities to enhance clinical decision-making, streamline workflows, and give time back to care teams, enabling systems to do more without proportionally increasing cost. We also believe in a pragmatic approach to innovation, rooted in an ecosystem, trying new models, scaling that works, and embedded successful solutions into everyday care. This mindset allows us to modernize the operating model while staying focused on quality, reliability, and disciplined execution.

Our global footprint and production network help limit exposure and strengthen health care security.

Speaker #3: However, just to be clear, it's not only CapEx where we will need to spend and invest a lot of it is also OPEX going into R&D or going straight into the cost line as well.

Took you lately in key markets like the U S. At.

At the.

Innovation is key building a digitally enabled operating system is essential to improving both efficiency and outcomes. We are investing in digitization AI and next generation capabilities to enhance clinical decision making.

Speaker #5: I'm saying, can we take one last question as Anna at Bank of America in at the very depth? So we can go to Anna, please.

Speaker #4: Sure. Anna, your line is open. Please go ahead.

Speaker #6: Hi. Thank you so much for squeezing me in. This is maybe a bit of a topic change, but I was curious a little bit about MedTech.

Streamline workflows and gets tied back to care teams, enabling systems to do more without proportionally increasing coke.

Speaker #6: I appreciate the commentary that IvanX is driving. A decent amount of the MedTech growth in 2026, but I wanted to see how much share gain is embedded into that estimate and how do you see IvanX growing compared to other areas that have been strong like the nomogram and cell and gene therapy?

We also believe in the pragmatic approach to innovation rooted in an ecosystem trying new models scaling that works and embedded successful solutions into everyday care. This mindset allows us to modernize the operating model, while staying focused on quality.

Speaker #6: Just any color on those moving pieces would be great. And thanks again for taking the question.

Speaker #2: Yeah. Yeah. First of all, the, let's say, the market and the customer feedback is phenomenal on IvanX. And it is ramping up. Where I always keep the horses a little slow is this is not for the overall company or even for overall Kabi the, let's say, financial catalyst driving the top line.

Reliability and disciplined execution.

As we look to 2026 and beyond our focus is on building a resilient healthcare franchise for the future leveraging scale innovation and resilience to deliver sustainable profitable growth and long term value for patients partners and shareholders and with that.

Michael: As we look to 2026 and beyond, our focus is on building a resilient healthcare franchise for the future, leveraging scale, innovation, and resilience to deliver sustainable, profitable growth and long-term value for patients, partners, and shareholders. With that, we're happy to take your questions.

Michael Sen: As we look to 2026 and beyond, our focus is on building a resilient healthcare franchise for the future, leveraging scale, innovation, and resilience to deliver sustainable, profitable growth and long-term value for patients, partners, and shareholders. With that, we're happy to take your questions.

We're happy to take your questions.

Speaker #2: But when I look at, first of all, the contracts we won—the quality of contracts we won—this is just amazing. Also, the customer feedback we received.

We are now starting the question and answer session.

Like to ask a question. Please press star followed by one on your Touchtone telephone the operator will announce your name when it's your turn to ask a question in case you wish to cancel your question. Please press star followed by two.

Operator: We are now starting the question and answer session. If you'd like to ask a question, please press star followed by one on your touchtone telephone. The operator will announce your name when it's your turn to ask a question. In case you wish to cancel your question, please press star followed by two. The first question is from Hassan Al-Wakeel from Barclays. Please go ahead.

Operator: We are now starting the question and answer session. If you'd like to ask a question, please press star followed by one on your touchtone telephone. The operator will announce your name when it's your turn to ask a question. In case you wish to cancel your question, please press star followed by two. The first question is from Hassan Al-Wakeel from Barclays. Please go ahead.

Speaker #2: Then the installations, which are ramping up. And then, obviously, concurrently, the cost per pump, which is being insourced, if you so wish. This is all going well.

The first question is from Hassan Al <unk> from Barclays. Please go ahead.

Speaker #2: So this is a huge market, and there's a lot of share to be grabbed. But we don't want to be in brackets too greedy at early innings to grab too much share.

Thank you good afternoon.

And I have a couple of questions. Please so firstly on Helios your guidance assumes around 100 $100 million to $150 million of incremental EBIT at the midpoint of the range in 2026 and on a mass this is less than the incremental benefit from the surcharge. So can you help us understand the offsets associated.

Hassan Al-Wakeel: Thank you. Good afternoon, I have a couple of questions, please. Firstly, on Helios, your guidance assumes around EUR 100 to EUR 150 million of incremental EBIT at the midpoint of the range in 2026. On our maths, this is less than the incremental benefit from the surcharge. Can you help us understand the offsets, associated costs, as well as how you think about the margin trajectory, excluding the surcharge in 2026, also in 2027, as this rolls off? Secondly, for the group, your flat margin guidance sees much of the expansion at Helios and Kabi eroded by a corporate cost line, which is increasing quite significantly, again, at the midpoint.

Hassan Al-Wakeel: Thank you. Good afternoon, I have a couple of questions, please. Firstly, on Helios, your guidance assumes around EUR 100 to EUR 150 million of incremental EBIT at the midpoint of the range in 2026. On our maths, this is less than the incremental benefit from the surcharge. Can you help us understand the offsets, associated costs, as well as how you think about the margin trajectory, excluding the surcharge in 2026, also in 2027, as this rolls off? Secondly, for the group, your flat margin guidance sees much of the expansion at Helios and Kabi eroded by a corporate cost line, which is increasing quite significantly, again, at the midpoint.

Speaker #2: Whilst we need to still stabilize the rollout. We have very, which is good, luminaries, but by the same token, demanding customers. For example, Mayo Clinics, which means there is a lot of connectivity work into the system, primarily Epic.

<unk> costs as well as how you think about the margin trajectory excluding the surcharge in 2026, but then also in 2027 as this rolls off.

Speaker #2: In their system as well. The second thing is that depending on which hospital you have and what kind of procedures they have, for example, if they have transplants, then you need other or more sophisticated sets.

And then secondly for the group your flat margin guidance. He is much of the expansion of Helios and kabi eroded by a corporate cost line, which is increasing.

Significantly again at the midpoint.

Speaker #2: So the portfolio of sets needs to also follow the installation of the pumps, which is good because that's recurring revenue, by the way. And this is all that's why I'm giving you the quality of answer working well.

Can you talk through some of the projects that you have planned here.

Duration of some of these projects.

Hassan Al-Wakeel: Can you talk through some of the projects that you have planned here, and the duration of some of these projects, and where you see the corporate cost line approaching, over the next two to three years? Thank you.

Hassan Al-Wakeel: Can you talk through some of the projects that you have planned here, and the duration of some of these projects, and where you see the corporate cost line approaching, over the next two to three years? Thank you.

Where you see the corporate cost line approaching over the next two to three years. Thank you.

Speaker #2: The nomogram was great. It started Q3, Q4, and we expect this is one of the drivers for them for '26, I would say, even the bigger driver, given that we're talking about once exactly as Sara said, the R&D was spent now, if we sell that, the larger bigger gross margin comes in.

Yeah. Thanks, Jonathan I'll start with your second question and that will lead to the second one and then Sarah can give you. The details then on the behaviors as such.

Michael: Yeah. Thank you, Hassan. I'll start with your second question, we'll lead to the second one, and Sarah can give you the details then on the Helios as such, but this will be an embedded part of an overall answer, because I guess your, especially second answer, is on many people's mind. Let me first of all, start by really the big picture. We had a very strong finish in Q4, we are very confident going into 2026 and beyond with everything we have in place. I'll go into detail on that one, but that one is the base case. We are operating in an environment which is facing unprecedented change. You know, we had the U.S. Supreme Court ruling last week, we see other regulatory topics in the US, PBM reforms.

Michael Sen: Yeah. Thank you, Hassan. I'll start with your second question, we'll lead to the second one, and Sarah can give you the details then on the Helios as such, but this will be an embedded part of an overall answer, because I guess your, especially second answer, is on many people's mind. Let me first of all, start by really the big picture. We had a very strong finish in Q4, we are very confident going into 2026 and beyond with everything we have in place. I'll go into detail on that one, but that one is the base case. We are operating in an environment which is facing unprecedented change. You know, we had the U.S. Supreme Court ruling last week, we see other regulatory topics in the US, PBM reforms.

It will be an embedded part of an overall answer because I guess.

Yours, especially second answer is on many People's minds.

Speaker #2: And we hope to enjoy the nomogram on an annualized basis.

First of all start by really the big picture.

We had a very strong finish in Q4, and we are very confident going into 'twenty.

Speaker #4: Great. Ladies and gentlemen, that was the last question. The cover to Michael for any closing remarks.

And beyond with everything we have in place.

Speaker #2: Yeah. Well, thank you. Thank you for your questions. We thought this very fair questions and a very good conversation in these really unprecedented times.

And I'll go into detail on that one but that one is the base case.

Then we are operating in an environment, which is facing unprecedented change.

Speaker #2: Again, what it means that we go into innovation, into adjacencies, is that what you have seen in the last three years. We have shown you how much the growth vectors which was the innovation of the former years, if you so wish, have contributed in terms of share of EBIT and even on the top line, 500 million.

We had the Supreme Court ruling last week, we see.

Other regulatory topics in the U S PVM reforms.

Don't forget when there is.

Let's say a new geopolitical world order other geographies are also taking measures. So there is a lot of uncertainties out there but.

Michael: Don't forget, when there is a, let's say, a new geopolitical world order, other geographies are also taking measures. There's a lot of uncertainties out there, but still we feel very well positioned. This uncertainty obviously needs to be also somehow encountered, not in terms of money or a number, but as the sentiment, going with our very strong business into 2026 and 2027. When I look at 2026, and I get your math on Kabi is there, Helios is there, what is on the corporate cost line? I think this is way too much a technical view. We need to come by the business, and then we'll see how that translates into a technical model.

Michael Sen: Don't forget, when there is a, let's say, a new geopolitical world order, other geographies are also taking measures. There's a lot of uncertainties out there, but still we feel very well positioned. This uncertainty obviously needs to be also somehow encountered, not in terms of money or a number, but as the sentiment, going with our very strong business into 2026 and 2027. When I look at 2026, and I get your math on Kabi is there, Helios is there, what is on the corporate cost line? I think this is way too much a technical view. We need to come by the business, and then we'll see how that translates into a technical model.

Speaker #2: It's half a billion with a 20% margin. So, in a way, we're trying to move, and that is what 'scale platform' means—getting into these new value pools, which then cater exactly to this incremental revenue and margin, and margin expansion.

But still we feel very well positioned but this uncertainty obviously needs to be also somehow encountered not in terms of money or not.

Number but as the sentiments.

With our very strong business into <unk> and 'twenty.

Speaker #2: And therefore, you need innovation and investments in every shape and form, whether it is in-licensing, whether it is partnerships, whether it is R&D, whether it is both on acquisition.

Now when I look at 2006, and I get your math on copies. There. He loses their what is on the corporate cost line. I think this is way too much of technical view, we need to come by the business and then we'll see how that translates into a technical model.

Speaker #2: And that is what we're playing because we need to be sustainable in the long term. The second thing is, I think—or I hope—we explained a little bit the moving parts on the guidance.

When I start with <unk>.

Speaker #2: If you have innovation-led growth and you have increased your capacity, the load and the volume on the capacity for operating leverage need to come.

And by the way we didn't guide. This is these are indications or these are numbers from our financial framework, which is a performance management to the outlook is on the group.

Michael: When I start with Kabi, and by the way, we didn't guide, these are indications or these are numbers from our Fresenius Financial Framework, which is a performance management tool. The outlook is on the group. When we say 4% to 6% and 16.5% to 17%, if they were to achieve that, and they have plans and measures and actions behind that ambition, you need to consider we are now in an innovation-led phase. Not like a couple of years ago, you know, the IV generics and solution business only. We have parallel shifted the growth trajectory, 200, 300 basis points to 6%, 7% in the last couple of years. That means innovation needs to come and the sales needs to be done.

Michael Sen: When I start with Kabi, and by the way, we didn't guide, these are indications or these are numbers from our Fresenius Financial Framework, which is a performance management tool. The outlook is on the group. When we say 4% to 6% and 16.5% to 17%, if they were to achieve that, and they have plans and measures and actions behind that ambition, you need to consider we are now in an innovation-led phase. Not like a couple of years ago, you know, the IV generics and solution business only. We have parallel shifted the growth trajectory, 200, 300 basis points to 6%, 7% in the last couple of years. That means innovation needs to come and the sales needs to be done.

So when we say, 4% to 6% and 62, 5% to 17%.

If they were to achieve that.

And they have plans.

And measures and actions behind.

That ambition.

You need to consider we are now in an innovation led phase. So a lot is dependent on the top line development.

Not like couple of years.

Our goal.

The IV generics and solution business only.

Parallel shifts that the growth trajectory 200, 300 basis points to six 7% in the last couple of years, so that means innovation needs to come.

And the sales needs to be done in Kabi I would say.

I would choose ahead or this is a volume game.

Michael: In Kabi, I would say if I would choose a header, this is a volume game. The volume needs to come, the volume which will then turn into operating leverage. The volume comes through launches. The volume comes through working and converting, where we have frame contracts into pull-through. The volume comes by implementing the supply chain, which then can cater the contracts. A lot of things need to happen. We'll probably go business by business later on. Biopharma, nutrition is coming with 12 launches during the course of the year. We have increased our capacity in generics and in nutrition. Now, that capacity is ready to cater the markets, but it still needs to hit, let's say, the accounting books until we need to journalize revenue. When it then does hit the revenue, then you will see operating leverage.

Michael Sen: In Kabi, I would say if I would choose a header, this is a volume game. The volume needs to come, the volume which will then turn into operating leverage. The volume comes through launches. The volume comes through working and converting, where we have frame contracts into pull-through. The volume comes by implementing the supply chain, which then can cater the contracts. A lot of things need to happen. We'll probably go business by business later on. Biopharma, nutrition is coming with 12 launches during the course of the year. We have increased our capacity in generics and in nutrition. Now, that capacity is ready to cater the markets, but it still needs to hit, let's say, the accounting books until we need to journalize revenue. When it then does hit the revenue, then you will see operating leverage.

The volume needs to come.

The volume, which will then turn into operating leverage and the volume comes through launches. The volume comes through working in converting where we have frame contracts into pull through the volume comes by implementing the supply chain, which then can cater the con.

Correct.

A lot of things need to happen, we would probably go business by business later on Biopharma nutrition is coming with 12 launches.

During the course of the year.

We have increased our capacity in generics and in nutrition now that capacity is ready to cater to the markets, but it still needs to hit let's say the accounting books until we need to drill analyzed revenue. So when it's been done.

When you then you will see operating leverage now lets assume which is not our base case.

The revenue is only moving up slowly.

Michael: Now, let's assume, which is not our base case, the revenue is only moving up slowly. This management team is ready to take cost managers, management items and go into the cost. That could be not the desired outcome, but we are ready to do that. Depending on that one, you know, we will see where Kabi lands, and you could do the same story on Helios. You get to a corporate cost line, which, you know, either is also reflecting, let's say, the challenge which they have and back on the operational business, and then we'll take it from there. On the Helios maybe?

Michael Sen: Now, let's assume, which is not our base case, the revenue is only moving up slowly. This management team is ready to take cost managers, management items and go into the cost. That could be not the desired outcome, but we are ready to do that. Depending on that one, you know, we will see where Kabi lands, and you could do the same story on Helios. You get to a corporate cost line, which, you know, either is also reflecting, let's say, the challenge which they have and back on the operational business, and then we'll take it from there. On the Helios maybe?

Then this management team is ready to pay cost miniature management items and go into the cost.

It could be not the desired outcome, but we are ready to do that and depending on that one.

So we will see where kabi lens and you could do the same story on <unk> and then you'll get to a corporate cost line, which you know either is also reflecting let's say the challenge.

Which they have in fact.

Yeah.

On the operational business and then we'll take it from there on the Helios me, yeah and on the year.

Let me try and I'll also give you a little bit of a more comprehensive answer on this one and maybe ground you in where our jumping off point for 2025 was right. If you look at the DRG and pricing related jump off point for 2025 that was a roughly.

Sarah: Yeah, on the Helios, let me try and also give you a little bit of a more comprehensive answer on this one, and maybe ground you in where our jumping off point for 2025 was, right? If you look at the DRG and pricing related jump off point for 2025, that was a roughly 5.9%. Going into 2026, that DRG inflator is set at 2.98. From 5.9 to 2.98. However, comes the surcharge for 10 months of 3.25.

Sara Hennicken: Yeah, on the Helios, let me try and also give you a little bit of a more comprehensive answer on this one, and maybe ground you in where our jumping off point for 2025 was, right? If you look at the DRG and pricing related jump off point for 2025, that was a roughly 5.9%. Going into 2026, that DRG inflator is set at 2.98. From 5.9 to 2.98. However, comes the surcharge for 10 months of 3.25.

Hi, <unk>, 9%.

Now going into 2026 that year Gm's later is set at $2 98.

From $5 nine.

2298. However, then comes to the surcharge for 10 months or three to five so if you calculate that roughly we're lending at around the same level in terms of price tag compared to 2025 with one exception and that's more technical effect that's hard.

Sarah: If you calculate that roughly, we're landing at around the same level in terms of price tag compared to 2025, with one exception, and that's more a technical effect, that part of that price increase will sit under other income, i.e., just below the revenue line. If you look into 2026, you assume the price tag roughly the same, and then you look, obviously, our cost base is going to increase as well. There's nothing out of the ordinary and nothing out of the, kind of, exaggerated. Still, what you will see is some, you know, wage increase. We will also need to cater for the increase in activity by increasing some of the staff levels in pockets here and there.

Sara Hennicken: If you calculate that roughly, we're landing at around the same level in terms of price tag compared to 2025, with one exception, and that's more a technical effect, that part of that price increase will sit under other income, i.e., just below the revenue line. If you look into 2026, you assume the price tag roughly the same, and then you look, obviously, our cost base is going to increase as well. There's nothing out of the ordinary and nothing out of the, kind of, exaggerated. Still, what you will see is some, you know, wage increase. We will also need to cater for the increase in activity by increasing some of the staff levels in pockets here and there.

That price increase will sit on the other income I E. Just below the revenue line.

Then if you look into 2026, you assumed the price take roughly roughly the same and then you look obviously our cost basis is going to increase as the well there's nothing out of the ordinary and nothing out of it.

Kind of.

Exaggerated so what you will see is some you know wage.

Wage increase we will also need to cater for the increase in activity by increasing some of the staff levels in pockets here and there.

And you will also see on the other side on the on the on the complement to that that's the company program. Obviously is also yielding some benefits that there is a company program 2026, well we continue to seek structural productivity also on the heels, Germany site.

Sarah: You will also see on the other side, on the complement to that the company program obviously is also yielding some benefits. There is a company program, 2026, where we continue to seek structural productivity also on the Helios Germany side. Overall, that for me is a very balanced perspective going into 2026. There's one other topic, which, you know, if you look at it, there is hybrid DRGs that were introduced in 2024. It's fair to say there is another leg of rollout in 2026. There will be shifts between the traditional or classic DRG into that hybrid DRG. Overall, we remain very confident that with the indications we have given you in terms of margin improvement for Helios overall, we will hit this.

Sara Hennicken: You will also see on the other side, on the complement to that the company program obviously is also yielding some benefits. There is a company program, 2026, where we continue to seek structural productivity also on the Helios Germany side. Overall, that for me is a very balanced perspective going into 2026. There's one other topic, which, you know, if you look at it, there is hybrid DRGs that were introduced in 2024. It's fair to say there is another leg of rollout in 2026. There will be shifts between the traditional or classic DRG into that hybrid DRG. Overall, we remain very confident that with the indications we have given you in terms of margin improvement for Helios overall, we will hit this.

So overall that for me is a very balanced perspective going into 2026, there was one other topic, which you know if you look at it as hybrid Eog's. They were introduced in 2024, it's fair to say there is another lag of rollout in 2026 that will be shifts between the traditional classic Gill.

<unk> in Tibet hybrid EOG.

But overall.

Oh, we remain very confident that with the indications we have given you in terms of margin improvement for us over all we will hit the now obviously you would also want to know 2027, and how that will all unfold.

Sarah: Now, obviously, you would also want to know 2027, and how that will all unfold. We're starting off with that DRG of around 3%. We know that the 3% for this year, that was a very specific situation. Normally, you have that Most Favored Nation clause, which is always saying it's the DRG is set as the higher of either the increase in cost in the hospital or what you see in terms of increase in the rates of the public health authority insurance plan. For 2027, we expect that Most Favored Nation clause to be reinstalled. Outside of that, there has already been the confirmation that the state-based case value will be reimplemented, and that's 1.14%.

Sara Hennicken: Now, obviously, you would also want to know 2027, and how that will all unfold. We're starting off with that DRG of around 3%. We know that the 3% for this year, that was a very specific situation. Normally, you have that Most Favored Nation clause, which is always saying it's the DRG is set as the higher of either the increase in cost in the hospital or what you see in terms of increase in the rates of the public health authority insurance plan. For 2027, we expect that Most Favored Nation clause to be reinstalled. Outside of that, there has already been the confirmation that the state-based case value will be reimplemented, and that's 1.14%.

We're starting off with the Doj upfront 3%.

And we know that the 3% for this year that was a very specific situation. Normally you have that are most favored nation clause, which is always thing.

DRG is set as the higher off.

The increase in cost.

Costs in the hospital.

Or what you see in terms of increase in the rates of the public Health Authority insurance plans.

And for 2027, we expect that most favorite nation close to be re installed.

Outside of that there has already been the confirmation that the state based cases value will be re implemented and that's $1 one 4% and if you want that is a little bit.

Half of the Delta between.

Sarah: If you want, that is a little bit half of the delta between the Most Favored Nation price point for 2025, which was the 3%, or precisely the 2.98%, and the 5.17%. Again, 2027, I don't expect that there is a lot of disruption in the system itself. Bottom line, while there may be movements in the buckets of remuneration, we expect to see there is price increases in the system. There will also be some cost increases in the system. We continue to focus onto our company program, and for 2026, I think we have given you a really nice margin expansion perspective on Helios.

Sara Hennicken: If you want, that is a little bit half of the delta between the Most Favored Nation price point for 2025, which was the 3%, or precisely the 2.98%, and the 5.17%. Again, 2027, I don't expect that there is a lot of disruption in the system itself. Bottom line, while there may be movements in the buckets of remuneration, we expect to see there is price increases in the system. There will also be some cost increases in the system. We continue to focus onto our company program, and for 2026, I think we have given you a really nice margin expansion perspective on Helios.

The most favorite nation price points for 2025, which was the 3% are precisely the 298% and the pipe.

One 7%. So again 2000 22027, I don't expect that there was a lot of disruption in the system itself.

Bottom line, while there may be movement in the buckets of lean immigration, we expect to see.

There is price increases in the system. There will also be some cost increases in the system. We continue to focus onto our company program and for 2026 I think we have given you a really nice margin expansion perspective.

A question very comprehensive thank you.

Okay.

The next question comes from Oliver Metzger from <unk> BHF. Please go ahead.

Michael: Very comprehensive. Thank you.

Hassan Al-Wakeel: Very comprehensive. Thank you.

Operator: The next question comes from Oliver Metzger, from ODDO BHF. Please go ahead.

Operator: The next question comes from Oliver Metzger, from ODDO BHF. Please go ahead.

Yes. Good afternoon. Thanks for taking my questions. The first one is very quick one.

Oliver Metzger: Yes, good afternoon. Thanks a lot for taking my questions. The first one is a very quick one. Does the exceptional strong growth of the 97% in Biopharma consist of any one-off effects or pull forward effects, which could mean that Q1 might be softer from an absolute perspective? Second question is about the growth composition in Helios Germany. You reported an increase of 4% for the inpatient treatments, which is a great confirmation that you gain market share. Simultaneously, I see that the ambulatory treatments grew just by 1%, which appears to a certain extent, counterintuitive to the overall trend to treat more patients outside the clinics.

Oliver Metzger: Yes, good afternoon. Thanks a lot for taking my questions. The first one is a very quick one. Does the exceptional strong growth of the 97% in Biopharma consist of any one-off effects or pull forward effects, which could mean that Q1 might be softer from an absolute perspective? Second question is about the growth composition in Helios Germany. You reported an increase of 4% for the inpatient treatments, which is a great confirmation that you gain market share. Simultaneously, I see that the ambulatory treatments grew just by 1%, which appears to a certain extent, counterintuitive to the overall trend to treat more patients outside the clinics.

So duffy exceptional strong growth of 19, 7% Biopharma consists of any one off effects or pull forward effects, which could mean that Q1 might be softer from our perspective second question is about the growth composition and Helios, Germany. So youre.

<unk> is an increase of 4% for the in patient treatments, which is a great confirmation of that you gain market share, but some attendance.

The ambulatory treatments grew just by 1%, which appears to a certain extent counterintuitive.

Although the trends to treat more patients outside of the clinics. So what would be great to hear your thoughts about this and also how you think about the ambulatory trajectory for the next year or so in the context of digitalization.

Oliver Metzger: It would be great to hear your thoughts about this, and also how you think about the ambulatory trajectory for next year, also in the context of the digitalization and the efficiency activities you're doing, and also the lower described invasiveness. Thank you.

Oliver Metzger: It would be great to hear your thoughts about this, and also how you think about the ambulatory trajectory for next year, also in the context of the digitalization and the efficiency activities you're doing, and also the lower described invasiveness. Thank you.

Efficiency.

Activities, you're doing and also the lower described invasiveness.

Thank you.

Yes, hi.

Start with your coffee question.

Michael: Yeah, Oliver, hi. I'll start with your copy question on bio. Well, they had a very, very strong Q4, particularly by the US. I was very pleased to see that under the special distribution agreement with CivicaScript, we did see the first revenue postings. That was very high. You know, if you have a higher jump-off point, you already are a little bit, how should I say, more uphill when it comes to Q1. In Q1, there may be, you know, in the neighborhood of, I don't know, EUR 6 million milestone payment year-over-year, which will be lacking from mAbxience, but that is only a Q4, a Q1 kind of topic. Over the biosimilars business is expected to grow again meaningfully in 2026.

Michael Sen: Yeah, Oliver, hi. I'll start with your copy question on bio. Well, they had a very, very strong Q4, particularly by the US. I was very pleased to see that under the special distribution agreement with CivicaScript, we did see the first revenue postings. That was very high. You know, if you have a higher jump-off point, you already are a little bit, how should I say, more uphill when it comes to Q1. In Q1, there may be, you know, in the neighborhood of, I don't know, EUR 6 million milestone payment year-over-year, which will be lacking from mAbxience, but that is only a Q4, a Q1 kind of topic. Over the biosimilars business is expected to grow again meaningfully in 2026.

On <unk> they had a.

Very very strong Q4.

We're particularly by the by the U S. I was very pleased to see that under the special distribution agreement with Cisco script, we did see the first.

Revenue postings.

There was very high so you know if you have a higher jump off point already.

Yeah.

A little bit how should I say more uphill when it comes to Q1 in Q1, there may be.

In the neighborhood of.

$6 million.

Milestone payments year over year, which will be lacking from map science, but that is only at Q4 Q1 kind of topic over.

The Biosimilars business is expected to grow again meaningfully in 2006, obviously there had been.

A high growth rate in 25, which was 50%.

Michael: Obviously, there had been a high growth rate in 25, which was 50%. You can't get to 50% anymore. You know, this incremental, high growth, I wouldn't call it flat now, but it has a different incremental number. You know, there are lots of molecules. We have Deno, we have Uste, we have Tyenne and many others. As I said, the pull-through and everything has to come. Don't forget, this goes a little bit, again, to Hassan's question. For example, on Tyenne, other competitors are also now coming to market. Actually, 2. One of them, I think, the TPP is inferior. I would say the other one has a strong TPP. Whilst we have enjoyed exclusivity, now it's more defensive exclusivity, and that all has to work. That one on the biosim. The Helios?

Michael Sen: Obviously, there had been a high growth rate in 25, which was 50%. You can't get to 50% anymore. You know, this incremental, high growth, I wouldn't call it flat now, but it has a different incremental number. You know, there are lots of molecules. We have Deno, we have Uste, we have Tyenne and many others. As I said, the pull-through and everything has to come. Don't forget, this goes a little bit, again, to Hassan's question. For example, on Tyenne, other competitors are also now coming to market. Actually, 2. One of them, I think, the TPP is inferior. I would say the other one has a strong TPP. Whilst we have enjoyed exclusivity, now it's more defensive exclusivity, and that all has to work. That one on the biosim. The Helios?

You can't get to 50% anymore.

Incremental.

High growth I wouldn't call it flatten out, but it has a different incremental number.

<unk>.

There are lots of molecules, we have Daniel we have.

We have to tie in and many others and as I said, the pull through and everything has to come.

Don't forget in this goes a little bit again to Hudson's question.

For example on tie in other.

Other competitors are also now coming to market.

Actually two one of them I think the PPP.

Inferior I would say the other one as a strong TPP. So whilst we have enjoyed exclusivity now it's more defined.

The team and that all has to work so that one on the Biosimilars.

Happy to take the.

So I think for US if you look at the business and where the revenue come from the vast majority of that is still in patient and so the number I focused on is really the in patients.

Sarah: Yep. Happy to take the Helios. I think for us, if you look at the business and where the revenue come from, the vast majority of that is still inpatient. There, the 4%, as you said, is a really nice growth trajectory. You can see that Q4 accelerated in terms of activity in the hospital. For now, and also going into 2026, while we expect hybrid DRG to take a higher share, we expect that the traditional DRG still remains the lion's share in terms of contribution to our revenue. Now, how the hybrid DRG will fold out in terms of how many cases will be moving, I think, that we will see as the year unfolds a little bit.

Sara Hennicken: Yep. Happy to take the Helios. I think for us, if you look at the business and where the revenue come from, the vast majority of that is still inpatient. There, the 4%, as you said, is a really nice growth trajectory. You can see that Q4 accelerated in terms of activity in the hospital. For now, and also going into 2026, while we expect hybrid DRG to take a higher share, we expect that the traditional DRG still remains the lion's share in terms of contribution to our revenue. Now, how the hybrid DRG will fold out in terms of how many cases will be moving, I think, that we will see as the year unfolds a little bit.

And they had the 4% as I said is a really nice growth trajectory you can see that Q4 accelerated in terms of activity in the hospital and for now and also going into 2026, why we'd expect hybrid EOG to take a higher share we expect that the tradition Doj still.

Remains the lion's share in terms of contribution to our revenue now.

The hybrid <unk> will fold out in terms of how many cases would be moving I think.

We will see as the year unfolds a little bit.

They have been let's say.

Hernia repair or allergy, which have been on the menu already in 2025 bad.

Sarah: You know, there have been, let's say, hernia repair or urology, which have been on the menu already in 2025. They got some broadening in terms of existing indications. Then there were some new, like, cardiovascular interventions. I think for 2026, what you will see, the main part is coming from the inpatient hospital setting.

Sara Hennicken: You know, there have been, let's say, hernia repair or urology, which have been on the menu already in 2025. They got some broadening in terms of existing indications. Then there were some new, like, cardiovascular interventions. I think for 2026, what you will see, the main part is coming from the inpatient hospital setting.

Broad broadening in terms of existing indications and then there were some new like cardiovascular intervention, but I think for 2026, what you will see that the main part is coming from the in patients.

Batiste.

Great. Thank you.

Okay.

The next question comes from the Ron Nicolas Riva from Citi. Please go ahead.

Michael: Okay, thank you.

Oliver Metzger: Okay, thank you.

Operator: The next question comes from Veronika Dubajova from Citi. Please go ahead.

Operator: The next question comes from Veronika Dubajova from Citi. Please go ahead.

Hey, guys. Good afternoon Hope you can hear me, okay, and thanks for taking my question.

Veronika Dubajova: Hey, guys. Good afternoon. Hope you can hear me okay, and thanks for taking my question. I have two, please, and apologies if I've missed this a little bit. Just let me go back to your comments around what happened in Germany and sort of maybe the slower progress that you're making on the structural works there. If you can maybe talk through what is it that's not going to plan and what you need to do to improve that. And then just a quick question, if I can ask around the Kabi margin on the corridor. You know, if I look at the 17 to 19, 80% to 85% of the business is already or, you know, given the guidance you've given us, should be operating at 20%.

I have two question apologies if I've missed this a little bit better.

Veronika Dubajova: Hey, guys. Good afternoon. Hope you can hear me okay, and thanks for taking my question. I have two, please, and apologies if I've missed this a little bit. Just let me go back to your comments around what happened in Germany and sort of maybe the slower progress that you're making on the structural works there. If you can maybe talk through what is it that's not going to plan and what you need to do to improve that. And then just a quick question, if I can ask around the Kabi margin on the corridor. You know, if I look at the 17 to 19, 80% to 85% of the business is already or, you know, given the guidance you've given us, should be operating at 20%.

Just wanted to go back to your comments around.

What happened in Germany until maybe the slower progress that youre, making on the structural works. There. If you can maybe talk through what is it that's not going to plan and what you need to do to improve that.

And then just a quick question if I can ask around the kabi margin corridor.

I look at 17% to 19, 80% to 85% of the business is already.

Given the guidance, you've given us should be operating at 20%. So how should we be thinking about the progression of medical devices. Thanks, So much.

Veronika Dubajova: How should we be thinking about the progression in medical devices? Thanks so much.

Veronika Dubajova: How should we be thinking about the progression in medical devices? Thanks so much.

Yes, maybe just to put the.

The statement into perspective, I think that fits very well in what Sarah outlined on the overall 'twenty five 'twenty six helios kind of buckets they are moving.

Michael: Yeah, maybe just to put the statement into perspective, I think that fits very well in what Sarah outlined on the overall 25, 26 Helios kind of bucket they are moving. I absolutely get it and say that these are really a lot of moving buckets on the regulatory front, and we'll do the utmost that you understand everything where it moves from A to B. What we were emphasizing in the speech on Germany is that, you know, the efficiency program, which by the way, did not only have cost benefits, it was an EBIT program, the EUR 100 million, was actually executed, we would say, to plan. Yeah, they brought home what they have been saying.

Michael Sen: Yeah, maybe just to put the statement into perspective, I think that fits very well in what Sarah outlined on the overall 25, 26 Helios kind of bucket they are moving. I absolutely get it and say that these are really a lot of moving buckets on the regulatory front, and we'll do the utmost that you understand everything where it moves from A to B. What we were emphasizing in the speech on Germany is that, you know, the efficiency program, which by the way, did not only have cost benefits, it was an EBIT program, the EUR 100 million, was actually executed, we would say, to plan. Yeah, they brought home what they have been saying.

Absolutely.

Get it in.

These are really a lot of moving buckets on the regulatory front and we will do the utmost that.

Understand everything.

It moved from a to B.

We are emphasizing in the speech on Germany is dead.

The the.

Efficiency program, which by the way did not only have cost benefits. It was also it was an EBIT program the $100 million.

It was actually executed who would say two plants nowadays they brought home what they what they have been saying.

Now having done a few of these programs myself in the past.

Michael: Now, having done a few of these programs myself in the past, I looked at it, I started the first one, 2001. You know, usually you also sometimes actually have a buffer operationally, internally. Now, what has happened is, you know, with the DRG inflator, what Sarah said, you know, there was a change. That's why I call it a wash in San Francisco. They took the lower end, and then they have the surcharge. At the end of the day, it would have been the same if they had taken the higher end, but it was a more complicated way of doing things.

Michael Sen: Now, having done a few of these programs myself in the past, I looked at it, I started the first one, 2001. You know, usually you also sometimes actually have a buffer operationally, internally. Now, what has happened is, you know, with the DRG inflator, what Sarah said, you know, there was a change. That's why I call it a wash in San Francisco. They took the lower end, and then they have the surcharge. At the end of the day, it would have been the same if they had taken the higher end, but it was a more complicated way of doing things.

I looked at it I saw that the first one 2001.

Usually you also sometimes actually have a buffer.

Operationally internally now what has happened is you know with the <unk>.

Inflator, what Sarah said you know there was a change that's why I call. It a Washington, San Francisco. They took the low end and then they have the surcharge. So at the end of the day it would've been the same as they had taken the higher end, but it was a more complicated way.

Of doing things.

But that being said you know.

We want the business to be resilient enough to counter these effects and therefore.

Michael: That being said, you know, we want the business to be resilient enough to counter these effects, and therefore, we want them to double down on their efforts to structurally improve the whole cluster strategy, for example, to further build on consolidating the administration thing, and then obviously to manage the patient flow in order to manage the case mix. Yeah, because we have not talked about the case mix, so Sarah did talk about VVR. That case mix is also one element which contributes to the margin. Kabi, yeah, well, it's nice, the math you did with the 20%. I don't know how you get there because you've got the growth vectors and you've got the pharma business.

Michael Sen: That being said, you know, we want the business to be resilient enough to counter these effects, and therefore, we want them to double down on their efforts to structurally improve the whole cluster strategy, for example, to further build on consolidating the administration thing, and then obviously to manage the patient flow in order to manage the case mix. Yeah, because we have not talked about the case mix, so Sarah did talk about VVR. That case mix is also one element which contributes to the margin. Kabi, yeah, well, it's nice, the math you did with the 20%. I don't know how you get there because you've got the growth vectors and you've got the pharma business.

We want to double them to double down on their efforts to structurally improve the whole.

The holes cluster strategy for example to further build on consolidate in the administration thing and and then obviously to manage the patient flow in order to manage the case mix because we have not talked about the case mix of <unk> did talk about <unk>.

That case mix is also one element, which contributes to the margin and.

Kabi.

It's nice to Matthew did with a 20% I don't know how you'll get there because.

You got the growth vectors and due to that you've got.

<unk> got the pharma business.

Got to say looking at last year very satisfied that we saw improvement from all the businesses. So if you were hinting at there is a culprit with metric, which did not met picked over the last three years meaningfully.

Michael: I got to say, looking at last year, I'm very satisfied that we saw improvement from all the businesses. If you were hinting that there's a culprit with MedTech over the last three years meaningfully improved their margin by a couple of hundred basis points. Where you may be, maybe too aggressive on the optimistic side, maybe on the biosimilars business, because don't forget, this is also a highly competitive business, where once it's not a generic, but it's similar to generics. Once you hit the market, it's gonna be very competitive, and the prices are contested by competitors. That's why the strategy was being fully vertically integrated. Okay?

Michael Sen: I got to say, looking at last year, I'm very satisfied that we saw improvement from all the businesses. If you were hinting that there's a culprit with MedTech over the last three years meaningfully improved their margin by a couple of hundred basis points. Where you may be, maybe too aggressive on the optimistic side, maybe on the biosimilars business, because don't forget, this is also a highly competitive business, where once it's not a generic, but it's similar to generics. Once you hit the market, it's gonna be very competitive, and the prices are contested by competitors. That's why the strategy was being fully vertically integrated. Okay?

Improved their margin by a couple of hundred basis points.

Where are you maybe maybe.

Too aggressive on the optimistic side, maybe on the Biosimilars business because don't forget. This is also a highly competitive business.

We're <unk>.

Other generics, but it's similar similar to generics once you hit the market got it.

Be very competitive and the prices are contested by competitors, that's why the strategy with being fully vertically integrated.

Okay.

Next question please.

The next question comes from Hugo Chavez from BNP Paribas. Please go ahead.

Operator: Next question, please. The next question comes from Hugo Solvet from BNP Paribas. Please go ahead.

Operator: Next question, please. The next question comes from Hugo Solvet from BNP Paribas. Please go ahead.

Alright, Thank you for taking my questions and congrats Michael on continuing the journey into 'twenty, one that's great news.

Hugo Solvet: Hi, thank you for taking my questions. Congrats, Michael, on continuing the journey until 2031. That's great news. First question on biosimilars. I'm curious to hear what's the feedback from your latest discussion in Washington on biosimilar development timelines and adoption initiatives. Have discussions accelerated as we approach the midterm elections, what are your thoughts on the risk that significantly lower cost could lead to more competition or lower the barriers to entry? Second, maybe more for Sarah, but on pharma, is there any idle capacity cost that we should think about for the Wilson ramp-up in 2026? On price pressure in pharma, has it been deteriorating a bit more or stable in recent months? Thank you.

Hugo Solvet: Hi, thank you for taking my questions. Congrats, Michael, on continuing the journey until 2031. That's great news. First question on biosimilars. I'm curious to hear what's the feedback from your latest discussion in Washington on biosimilar development timelines and adoption initiatives. Have discussions accelerated as we approach the midterm elections, what are your thoughts on the risk that significantly lower cost could lead to more competition or lower the barriers to entry? Second, maybe more for Sarah, but on pharma, is there any idle capacity cost that we should think about for the Wilson ramp-up in 2026? On price pressure in pharma, has it been deteriorating a bit more or stable in recent months? Thank you.

First question on <unk>.

I'm curious to hear what's the feedback from your latest discussion.

Washingtonian bias, you mean, our development time lines and adoption initiatives of discussions accelerated as we approached the midterm elections and what are your thoughts on the risk.

Significantly lower costs could lead to more competition or the world of barriers to entry and so on maybe more for Sara.

Robert.

Is there any idle capacity costs that we should think about.

The way the sunroom pumps in 2026 and on price pressure from a is it in the terms, you're reaching a bit more stable.

In recent months thank you.

Thank you Hugo for your kind words.

Look on Biosimilars.

Michael: Yeah. Thank you, Hugo, also for your kind words. Look, on biosim, that's why I was mentioning it. I think all we see, particularly in the US, is headed in the right direction. You had the FTC enforcement, and you had the PBM reforms. At the end of the day, this is the whole intent to have a more transparent, fairer, market-driven approach, actually to increase competition so that end customers, end consumers get the lower price. That does not necessarily mean when I say get the lower price, that immediately there's incremental price pressure. Today, you know, the whole system via PBMs is based on high list prices and rebates, and the co-pay of the individual patient in the US is also based on that list price. The incentive is the higher the rebate on...

Michael Sen: Yeah. Thank you, Hugo, also for your kind words. Look, on biosim, that's why I was mentioning it. I think all we see, particularly in the US, is headed in the right direction. You had the FTC enforcement, and you had the PBM reforms. At the end of the day, this is the whole intent to have a more transparent, fairer, market-driven approach, actually to increase competition so that end customers, end consumers get the lower price. That does not necessarily mean when I say get the lower price, that immediately there's incremental price pressure. Today, you know, the whole system via PBMs is based on high list prices and rebates, and the co-pay of the individual patient in the US is also based on that list price. The incentive is the higher the rebate on...

Hi, I was mentioning it I think.

All we see particularly in the U S is headed in the right direction.

You had the FTC enforcement.

And you had.

You have to <unk>.

<unk> reforms at the end of the day this is the whole.

<unk> tends to have a more transparent farah.

Driven approach actually to increase competition, so that any customers and consumers get the lowest price.

That does not necessarily mean, when I say get a lower price that <unk> incremental price pressure today.

The whole system via Pbms is based on high list prices and rebates and the co pay of the individual patients in the US Is also based on that list price and the incentive is the higher the week.

Based on I'm talking about part D.

The higher the rebate is the more you know business there is or the middleman. If you change that system to the net effective cost or the net pricing.

Michael: I'm talking about Part D. The higher the rebate is, the more, you know, business there is for the middleman. If you change that system to the net effective cost or the net pricing, then this will change. This is been experiencing already in contracts where we had this direct channel, direct health plans, special distribution deals, on-branded ones, and so on and so forth. We feel that is headed into the right direction. Also, you know, this whole topic about interchangeability and also getting rid of phase III clinical trials. That being said, I'm not, and this is the whole, I would say, deregulation effort of the administration.

Michael Sen: I'm talking about Part D. The higher the rebate is, the more, you know, business there is for the middleman. If you change that system to the net effective cost or the net pricing, then this will change. This is been experiencing already in contracts where we had this direct channel, direct health plans, special distribution deals, on-branded ones, and so on and so forth. We feel that is headed into the right direction. Also, you know, this whole topic about interchangeability and also getting rid of phase III clinical trials. That being said, I'm not, and this is the whole, I would say, deregulation effort of the administration.

Then this will change and this is bill.

Been experiencing already in contracts, where we had this direct channel direct health plans.

A special distribution deals on branded ones and so forth. So we feel that is headed into the right direction. Also this whole topic about interchange ability and also getting rid of phase III clinical trials that being said I'm.

Not that this is the whole I would say deregulation efforts of the administration that being said.

I'm not worried that this will now attract a lot of competitors into the market.

Michael: That being said, I'm not worried that this will now attract a lot of competitors into the market, because at the end of the day, you, as I always say, you will only survive if you have a fully integrated value chain and if you have a good pipeline, if you are great in developing molecules, great in manufacturing at the most competitive cost, and great in distribution channels. You need to be able to orchestrate all of that one. If somebody wants and tries to play in that market, you still have some entry costs on patent litigation. You know, on average, people say it's, you know, depending on the molecule, EUR 30 million or something like that. You need to invest already into that one. I think it's headed into the right direction.

Michael Sen: That being said, I'm not worried that this will now attract a lot of competitors into the market, because at the end of the day, you, as I always say, you will only survive if you have a fully integrated value chain and if you have a good pipeline, if you are great in developing molecules, great in manufacturing at the most competitive cost, and great in distribution channels. You need to be able to orchestrate all of that one. If somebody wants and tries to play in that market, you still have some entry costs on patent litigation. You know, on average, people say it's, you know, depending on the molecule, EUR 30 million or something like that. You need to invest already into that one. I think it's headed into the right direction.

Because at the end of the.

As I always say you will only survive if you have a fully integrated.

Our value chain and if you have a good pipeline. If you are great in developing molecules great in manufacturing at the most competitive cost and great distribution channels. So you need to be able to orchestrate all of that one so if somebody wants and tries to play in that market you still have.

Some increased costs on patent litigation.

On average people say.

Depending on the molecule 30 million or something like that so you need to invest already into that one so I think its headed into.

The right direction, when maybe because before I hand, it over to Sarah maybe on <unk> question on the margin for a copy.

Michael: Maybe because I, before I hand it over to Sarah, maybe on Veronika's question on the margin for Kabi. What I would also emphasize is that we are investing also in innovation, and that is what you need to do. I was actually surprised when an investor in San Francisco asked me, What is the leakage in the business? When I asked, What is the leakage? She said, R&D. R&D is not the leakage. R&D is securing your future. If you don't have R&D and molecules in the next 3, 4, 5, 6, 7, 8, 9, 10 years, you're gonna be out of business. You also see investments going into OpEx. Yeah.

Michael Sen: Maybe because I, before I hand it over to Sarah, maybe on Veronika's question on the margin for Kabi. What I would also emphasize is that we are investing also in innovation, and that is what you need to do. I was actually surprised when an investor in San Francisco asked me, What is the leakage in the business? When I asked, What is the leakage? She said, R&D. R&D is not the leakage. R&D is securing your future. If you don't have R&D and molecules in the next 3, 4, 5, 6, 7, 8, 9, 10 years, you're gonna be out of business. You also see investments going into OpEx. Yeah.

I would also emphasize is that we are investing also in innovation and that is what you need to do I was actually surprised when an investor in San Francisco.

What is the leakage in the business and when asked what is the leakage. She said R&D R&D is not the leakage R&D is securing your future. If you don't have R&D and molecules in the next 3456789 10 years, you are going to be out of business. So you will also see.

Investments go into Opex.

And now happy to take the question on the U S farmer.

You've worked and I keep saying, it's a volume game right.

Sarah: I'm now happy to take the question on US pharma. You heard Michael saying it's a volume game, right? It's fair to say in 2025, we have seen a price pressure, and 2025 was a volume game. Let me, let me qualify that a little bit. You also know that we have taken on stream, the extensions in Melrose Park and Wilson. If you look at Wilson and Solutions, for example, we have seen quite a nice ramp up in 2026, and we will continue to see a nice ramp up into 20, we have seen in 2025, and we will continue to see a nice ramp up in 2026, adding to that volume ramp up and that volume topic, which we will continue seeing from 25 into 26.

Sara Hennicken: I'm now happy to take the question on US pharma. You heard Michael saying it's a volume game, right? It's fair to say in 2025, we have seen a price pressure, and 2025 was a volume game. Let me, let me qualify that a little bit. You also know that we have taken on stream, the extensions in Melrose Park and Wilson. If you look at Wilson and Solutions, for example, we have seen quite a nice ramp up in 2026, and we will continue to see a nice ramp up into 20, we have seen in 2025, and we will continue to see a nice ramp up in 2026, adding to that volume ramp up and that volume topic, which we will continue seeing from 25 into 26.

And it's fair to say in 2025, we have seen pricing pressure in 2025.

William game. So let me, let me qualify that a little bit you also know that we have taken on stream.

Insurance and there was path and go and if you look at Wilson and solutions. For example, we have seen quite a nice ramp up in 2026, and we will continue to see a nice ramp up into 'twenty we have.

In the 2020.

I have and will continue to see a nice ramp up in 2026, adding to that volume ramp up and that volume topic, which we will continue seeing from 25 into into 26 now let's talk about price pressure.

Q4 was probably a little bit more pronounced.

Sarah: If you talk about price pressure, per se, Q4 was probably a little bit more pronounced the rest of the year, 2025. If you look at Q1, however, we see that price pressure kind of lifting a little bit and being less tense than it was in Q4. Overall, however, we don't expect that to go away, and we believe that it is a, whatever, single digit, middle single digit, price pressure point we will be seeing for 2026 as well. How can you then be successful? It's, you know, like Michael said, it's portfolio and pipeline, and in 2025 we've been quite successful with our 15 launches and building on that one.

Sara Hennicken: If you talk about price pressure, per se, Q4 was probably a little bit more pronounced the rest of the year, 2025. If you look at Q1, however, we see that price pressure kind of lifting a little bit and being less tense than it was in Q4. Overall, however, we don't expect that to go away, and we believe that it is a, whatever, single digit, middle single digit, price pressure point we will be seeing for 2026 as well. How can you then be successful? It's, you know, like Michael said, it's portfolio and pipeline, and in 2025 we've been quite successful with our 15 launches and building on that one.

Rest of the year 25, if you look at Q1, however, we see that pricing pressure.

Lifting a little bit and being less tense than it was in Q4. Overall. However, we don't expect that to go away and we believe that it is a whatever single digits.

Middle single digits price pressure point, we will be seeing for 2026. So how can you then be successful at.

Like micro said its portfolio and pipeline and in 2025, we have been quite successful with our 15 launches and.

Building on that one, but it's also the reliability of supply and I think that we also stroke really nice wins and winning awards from our customers. So in the end it's.

Sarah: It's also the reliability of supply, and I think there we also struck really nice wins, and winning awards from our customers. In the end, it's the volume which needs to come and the customers which need to be happy with your supply and your reliability and your portfolio, and that's how you manage the price.

Sara Hennicken: It's also the reliability of supply, and I think there we also struck really nice wins, and winning awards from our customers. In the end, it's the volume which needs to come and the customers which need to be happy with your supply and your reliability and your portfolio, and that's how you manage the price.

Volume, which needs to come and the customers, which need to be happy with your supply into reliability in your portfolio and that's how we manage the pipe.

And by the way why are we confident on that one there is market share to be gained.

Michael: By the way, why are we confident on that one? There is market share to be gained, and we have seen market share gains on solutions because we're talking about Wilson and solutions. We wanna pick up more. Again, that then needs to work. If that works, then it gets volume. Market is there to be picked up because as you probably know much better, many customers may wanna diversify their supplier base.

Michael Sen: By the way, why are we confident on that one? There is market share to be gained, and we have seen market share gains on solutions because we're talking about Wilson and solutions. We wanna pick up more. Again, that then needs to work. If that works, then it gets volume. Market is there to be picked up because as you probably know much better, many customers may wanna diversify their supplier base.

And we have seen market share gains on solutions, because we're talking about Wilson and solutions.

And we want to pick up more but again that then leads to work if that works then it gets volume but markets.

Is there to be picked up because as you probably know much better.

Many customers may want to diversify their supplier base.

Yeah.

Next question please.

The next question comes from Philip I'll know from J P. Morgan. Please go ahead.

Nick: Next question, please.

Michael Sen: Next question, please.

Operator: The next question comes from Philippe Omnes from JP Morgan. Please go ahead.

Operator: The next question comes from Philippe Omnes from JP Morgan. Please go ahead.

Got it thanks for taking my question.

Just a quick one on the Helios, Spain.

Philippe Omnes: Hi, thanks for taking my question. Just a quick one on Helios, Spain. You guys mentioned seeing some benefit from payer settlements. Just wondering, are you able to share a bit more color on that? Perhaps give us an idea of the year-on-year impacts that you saw on revenue and margins. Thanks.

Philip Wolfrom: Hi, thanks for taking my question. Just a quick one on Helios, Spain. You guys mentioned seeing some benefit from payer settlements. Just wondering, are you able to share a bit more color on that? Perhaps give us an idea of the year-on-year impacts that you saw on revenue and margins. Thanks.

As mentioned seeing some benefit from Payor settlements.

So just wondering I agree with several more color on that and perhaps give us some idea of the year on year impacts that you saw on our revenue and margins.

Okay.

Happy to do so and maybe again then let me take a quick step back because if you look at Q1 in particular I think it's always worth looking at the full year rather than to go quarter by quarter. Because what you will see is you have a relatively seasonally weak Q4. There is a Q3, sorry, there is a holiday peer.

Sarah: Yeah, happy to do so. Maybe again, then let me take a quick step back, if you look at Q1 in particular, I think it's always worth looking at the full year rather than to go quarter by quarter. What you will see is you have a relatively seasonally weak Q4. There is a Q3, sorry, there is a holiday period. People, patients tend to be not around, but also, other people tend to be not around, and that is being picked up with high activity levels in Q4. Q4 tends to be the strongest quarter. If you look at the margin in Q4, for Q4 2024, that was high and that was a really significant growth year-over-year from 2023 to 2024.

Sara Hennicken: Yeah, happy to do so. Maybe again, then let me take a quick step back, if you look at Q1 in particular, I think it's always worth looking at the full year rather than to go quarter by quarter. What you will see is you have a relatively seasonally weak Q4. There is a Q3, sorry, there is a holiday period. People, patients tend to be not around, but also, other people tend to be not around, and that is being picked up with high activity levels in Q4. Q4 tends to be the strongest quarter. If you look at the margin in Q4, for Q4 2024, that was high and that was a really significant growth year-over-year from 2023 to 2024.

People patients tend to be in other islands, but also other.

Other people tend to be not around and that is being picked up with high activity levels. In Q4, So Q4 tends to be the strongest quarter and if you look at the margin in Q4 for Q4 24 that was high and that was a really significant growth.

Year over year from 23 to 24 and now if you look at 25 again, you'll see that Q4 is a really strong quarter with a really attractive margin.

Sarah: If you look at 2025 again, you see that Q4 is a really strong quarter with a really attractive margin and also on top line. Part of that, also in 2024, but also in 2025, is payer settlement, is final negotiations on topics. If you wish, the prior to year-end clean up, in many ways. You will have in Q4 a little bit more year-end effect on the Q1 side. This is nothing new. I think you can see that has been a consistent theme. It's not for me, if you so wish, a one-off is something which you see on a more regularly evolving base.

Sara Hennicken: If you look at 2025 again, you see that Q4 is a really strong quarter with a really attractive margin and also on top line. Part of that, also in 2024, but also in 2025, is payer settlement, is final negotiations on topics. If you wish, the prior to year-end clean up, in many ways. You will have in Q4 a little bit more year-end effect on the Q1 side. This is nothing new. I think you can see that has been a consistent theme. It's not for me, if you so wish, a one-off is something which you see on a more regularly evolving base.

And also on top line and part of that also.

Plentiful, but it wasn't 25 is pay a settlement is final negotiations on topic. If you swished prior to year end clean up them in many ways and so you will have in Q4, a little bit more yield and effects on the one side.

This is nothing new I think you can see that hasnt been a consistent theme.

And so it's not for me if you so wish a one off as something which you see on a more regularly evolving base.

While concurrently.

Nick: Okay, last question, please.

Michael Sen: Okay, last question, please.

The last question comes from physical Citrix from Deutsche Bank. Please go ahead.

Operator: The last question come from Falko Friedrichs from Deutsche Bank. Please go ahead.

Operator: The last question come from Falko Friedrichs from Deutsche Bank. Please go ahead.

Thank you two questions. Please.

Firstly with the leverage ratio of two seven times. So comfortably encourage you a target corridor and Youre clear dividend policy what are your capital allocation priority for this year and quick bolt on M&A already been option for you in 2026.

Falko Friedrichs: Thank you. Two questions, please. Firstly, with your leverage ratio now at 2.7x, so comfortably inside your target corridor and your clear dividend policy, what are your capital allocation priorities for this year, and could bolt-on M&A already be an option for you in 2026? Second question, could you briefly remind us on how you were exposed to tariffs last year? More in general and completely irrespective of whether they're going to increase or decrease now after the Supreme Court ruling. Thank you.

Falko Friedrichs: Thank you. Two questions, please. Firstly, with your leverage ratio now at 2.7x, so comfortably inside your target corridor and your clear dividend policy, what are your capital allocation priorities for this year, and could bolt-on M&A already be an option for you in 2026? Second question, could you briefly remind us on how you were exposed to tariffs last year? More in general and completely irrespective of whether they're going to increase or decrease now after the Supreme Court ruling. Thank you.

And second question could you briefly remind us on how you were exposed to tariffs last year more in general.

Completely irrespective of whether theyre going to increase or decrease though after the Supreme Court ruling. Thank you.

I'll start with the second one and then the Serra, which I think she already outlined nicely in his speech both vocal we will repeat it again.

Michael: I'll start with the second one. Sarah, which I think she already outlined nicely in her speech, but Falco we'll repeat it again. Not so sure on the M&A, we'll answer that one. The general principle. On the tariffs, first of all, I'm grateful that you mentioned it because yes, we also had tariffs last year. We were not completely immune, particularly on the let's say MedTech arena. The Biopharma, pharma, parts of nutrition were exempted, but that was also a process of being in a very constructive dialogue with policy decision makers.

Michael Sen: I'll start with the second one. Sarah, which I think she already outlined nicely in her speech, but Falco we'll repeat it again. Not so sure on the M&A, we'll answer that one. The general principle. On the tariffs, first of all, I'm grateful that you mentioned it because yes, we also had tariffs last year. We were not completely immune, particularly on the let's say MedTech arena. The Biopharma, pharma, parts of nutrition were exempted, but that was also a process of being in a very constructive dialogue with policy decision makers.

Oh for sure on the M&A will answer that one.

The general principle on the terrorists first of all I am grateful that you mentioned it because yes. We also have tariffs last year, we were not completely immune particularly on the <unk>.

On the let's say.

Med Tech.

Donna.

And the.

Biopharma and pharma.

Parts of nutrition or exempted, but that was also a process of.

B in a very constructive dialogue with.

Policy decision makers.

And therefore.

Even if you take.

Like for like then you would have a full year annualized.

Michael: Therefore, you know, if you even if you take, you know, a like for like, then you would have a full year annualized tariff impact going into 2026. Now, how that then changes with the new ruling, we will have to see.

Michael Sen: Therefore, you know, if you even if you take, you know, a like for like, then you would have a full year annualized tariff impact going into 2026. Now, how that then changes with the new ruling, we will have to see.

<unk> impact.

Going into 2006 now how that then changes with the new ruling.

We'll have to see.

Yes.

And if you look at our capital allocation priorities, you already mentioned yourself, the dividend and shareholder return as well as the strength of the balance sheet.

Sarah: Yep. If you look at capital allocation priorities, you already mentioned yourself the dividend and shareholder return, as well as the strength of the balance sheet. It's fair to say, over the last years, we have gained that financial flexibility that with Rejuvenate, we can now also step up in terms of investing into our own growth. We have more opportunities than we probably have funding for, but I think the important thing is, with Rejuvenate, it's growing our platform and upgrading our core, and that really means investing into R&D, investing into innovation, investing into our digital backbone, but also investing into portfolio and pipeline. You know, the line between organic and small inorganic for me is a bit blurred.

Sara Hennicken: Yep. If you look at capital allocation priorities, you already mentioned yourself the dividend and shareholder return, as well as the strength of the balance sheet. It's fair to say, over the last years, we have gained that financial flexibility that with Rejuvenate, we can now also step up in terms of investing into our own growth. We have more opportunities than we probably have funding for, but I think the important thing is, with Rejuvenate, it's growing our platform and upgrading our core, and that really means investing into R&D, investing into innovation, investing into our digital backbone, but also investing into portfolio and pipeline. You know, the line between organic and small inorganic for me is a bit blurred.

And it's sad to say over the last years, we have games that financial flexibility that will rejuvenate.

We can now also step up in terms of investing into our own growth.

Have more opportunities than we probably have funding for but I think the important thing is with rejuvenate it is.

Rolling our platform and upgrading our core and that really means investing into R&D investing into innovation investing into our digital backbone, but also investing into portfolio and pipeline and.

The line between organic and small inorganic for me as I've been through it.

If you think about pipeline you can develop yourself in like <unk> and then you spend money on R&D, but you can look to in license and then you spend money outside but I think for me. The more important point is that we spend the money in order to safeguard our future profitable growth and in order to save that returns for the long term.

Sarah: Because if you think about pipeline, you can develop yourself the molecules, and then you spend money on R&D, but you can also in-license, and then you spend money outside. I think for me, the more important point is that we spend the money in order to safeguard future profitable growth and in order to safeguard returns for the long term. We will decide project by project, with a view on those two, whether, you know, it makes sense to invest more into our funding our own innovation or whether we go to the outside and in-source certain things. Overall, with Rejuvenate, we have kicked off the next leg, if you so wish, of fostering that investment. It's also reflected in a higher CapEx of 5.5% of revenue.

Sara Hennicken: Because if you think about pipeline, you can develop yourself the molecules, and then you spend money on R&D, but you can also in-license, and then you spend money outside. I think for me, the more important point is that we spend the money in order to safeguard future profitable growth and in order to safeguard returns for the long term. We will decide project by project, with a view on those two, whether, you know, it makes sense to invest more into our funding our own innovation or whether we go to the outside and in-source certain things. Overall, with Rejuvenate, we have kicked off the next leg, if you so wish, of fostering that investment. It's also reflected in a higher CapEx of 5.5% of revenue.

And then we will decide project by project with a view on those two whether you know it makes sense to invest more into our funding our own innovation or whether we go to the outside and install the things but overall.

With rejuvenate we have kicked off the next leg is this the wish of fostering that investment is also reflected in the higher capex.

One 5% of revenue however, just to be clear, it's not only capex, where we will need to spend and invest a lot of it is also opex going into R&D or going straight into the <unk>.

Sarah: However, just to be clear, it's not only CapEx where we will need to spend and invest. A lot of it is also OpEx going into R&D or going straight into the cost line as well.

Sara Hennicken: However, just to be clear, it's not only CapEx where we will need to spend and invest. A lot of it is also OpEx going into R&D or going straight into the cost line as well.

On payments can we take one last question.

The bank of America.

Tina: Tina, can we take one last question as Anna at Bank of America snuck in at the very death? Go to Anna, please.

Nick Stone: Tina, can we take one last question as Anna at Bank of America snuck in at the very death? Go to Anna, please.

Sorry.

That's one place.

Sure I know your line is open. Please go ahead hi.

Thank you so much for for squeezing me and this is maybe a bit of a topic change, but I was I was curious a little bit about med.

Operator: Sure. Anna, your line is open. Please go ahead.

Operator: Sure. Anna, your line is open. Please go ahead.

Anna: Hi, thank you so much for squeezing me in. This is maybe a bit of a topic change, but I was curious a little bit about MedTech. I appreciate the commentary that Ivenix is driving a decent amount of the MedTech growth in 2026, but I wanted to see how much share gain is embedded into that estimate, and how do you see Ivenix growing compared to other areas that have been strong, like the Nomogram and cell and gene therapy? Just any color on those moving pieces would be great. Thanks again for taking the question.

[Company Representative] (Bank of America): Hi, thank you so much for squeezing me in. This is maybe a bit of a topic change, but I was curious a little bit about MedTech. I appreciate the commentary that Ivenix is driving a decent amount of the MedTech growth in 2026, but I wanted to see how much share gain is embedded into that estimate, and how do you see Ivenix growing compared to other areas that have been strong, like the Nomogram and cell and gene therapy? Just any color on those moving pieces would be great. Thanks again for taking the question.

Med Tech I appreciate the commentary that I've actually is driving a decent amount of the med tech growth in 'twenty 'twenty six but I wanted to see how much share gain is embedded into that estimate and how do you see <unk> growing compared to other areas that have been strong like the nomogram N and cell and gene therapy, just any color on those those living piece.

That's where it would be great and thanks again for taking my question.

Yeah first of all the let's say.

The market in the <unk>.

Michael: Yeah. Yeah, first of all, the, let's say the market, and the customer, feedback, is phenomenal on Ivenix, and it is ramping up. Where I always keep, you know, the horses a little slow is this is not for the overall company or even for overall Kabi, the, let's say, financial catalyst driving the top line. When I look at the, first of all, the contracts we won, the quality of contracts we won, this is just amazing. Also, the customer feedback we received, then the installation, which are ramping up, and then obviously concurrently, the cost per pump, which is being in-sourced, if you so wish, this is all going well.

Michael Sen: Yeah. Yeah, first of all, the, let's say the market, and the customer, feedback, is phenomenal on Ivenix, and it is ramping up. Where I always keep, you know, the horses a little slow is this is not for the overall company or even for overall Kabi, the, let's say, financial catalyst driving the top line. When I look at the, first of all, the contracts we won, the quality of contracts we won, this is just amazing. Also, the customer feedback we received, then the installation, which are ramping up, and then obviously concurrently, the cost per pump, which is being in-sourced, if you so wish, this is all going well.

Customer.

Feedback is.

It's phenomenal.

On the island and it is ramping up well.

I always keep it you know.

The horses. So little slow is this is not for the overall company or even for overall kabi.

Let's say financial catalysts, driving the topline, but when I look at the.

The first of all the contracts we won the quality of contracts. We won this is just amazing also the customer feedback. We received then the installation which are ramping up.

And then obviously concurrently.

Cost per pump, which is b E source, if you so wish this.

This is all going well so.

This is a huge market and there's a lot of share to be grabbed but we don't want to be in brackets to really at early innings to grab too much share whilst we need to still stabilize the rollout we have very which is good luminaries, but by the same token demand.

Michael: This is a huge market, and there's a lot of share to be grabbed, but we don't wanna be, in brackets, too greedy at early innings to grab too much share, whilst we need to still stabilize the rollout. We have very, which is good, luminaries, but by the same token, demanding customers, for example, Mayo Clinic, which means there is a lot of connectivity work into the system, primarily Epic, in their system as well. The second thing is that depending on which hospital you have and what kind of procedures they have, for example, if they have transplants, you need other or more sophisticated sets. The portfolio sets needs to also follow the installation of the pumps, which is good because that's recurring revenue, by the way.

Michael Sen: This is a huge market, and there's a lot of share to be grabbed, but we don't wanna be, in brackets, too greedy at early innings to grab too much share, whilst we need to still stabilize the rollout. We have very, which is good, luminaries, but by the same token, demanding customers, for example, Mayo Clinic, which means there is a lot of connectivity work into the system, primarily Epic, in their system as well. The second thing is that depending on which hospital you have and what kind of procedures they have, for example, if they have transplants, you need other or more sophisticated sets. The portfolio sets needs to also follow the installation of the pumps, which is good because that's recurring revenue, by the way.

Adding customers for.

For example, Mayo clinics, which means there is a lot of.

Connectivity work.

Into the system primarily epic.

In there.

In their system as well.

The second thing is that depending on which hospital you have and whats kind of procedures. They have for example, if they have transplants than you need.

Other or more sophisticated sets so the portfolio of assets.

Leads to also follow the installation of the pumps, which is good because that's a recurring revenue by the way and this is all.

That's why I'm, giving you the qualitative answer working well.

Michael: This is all, you know. That's why I'm giving you the qualitative answer, working well. The Nomogram was great. It started, you know, Q3, Q4, and we expect that this is one of the drivers for them for 2026. I would say even a bigger driver, given that we're talking about once, exactly as Sarah said, the R&D was spent. Now, if we sell that, the larger, bigger gross margin comes in, and we hope to enjoy the Nomogram on an annualized basis.

Michael Sen: This is all, you know. That's why I'm giving you the qualitative answer, working well. The Nomogram was great. It started, you know, Q3, Q4, and we expect that this is one of the drivers for them for 2026. I would say even a bigger driver, given that we're talking about once, exactly as Sarah said, the R&D was spent. Now, if we sell that, the larger, bigger gross margin comes in, and we hope to enjoy the Nomogram on an annualized basis.

Graham was great.

<unk> Q3, Q4, and we expect that this is one of the drivers for them for 26, I would say even the bigger driver given that we are talking about one executive service of the RMB was spin now if we sell that the larger bigger gross margin comes in and we hope to enjoy.

The normal Graham on an annualized basis.

Great.

Ladies and gentlemen that was the last question Nick over to Michael for any closing remarks.

Anna: Great.

[Company Representative] (Bank of America): Great.

Operator: Ladies and gentlemen, that was the last question. Back over to Michael for any closing remarks.

Operator: Ladies and gentlemen, that was the last question. Back over to Michael for any closing remarks.

Well. Thank you. Thank you for your questions. We thought is a very fair questions and.

Michael: Well, thank you. Thank you for your questions. We thought these are very fair questions and, you know, a very good conversation in these really unprecedented times. Again, what it means, that we go into innovation, into adjacencies, is that what you have seen in the last three years. We have shown you how much the growth vectors, which was the innovation of the former years, if you so wish, have contributed in terms of share of EBIT and even on the top line, EUR 500 million, it's a half a billion with 20% margin. We're trying to move, and that is what scale platform means, get into these new value pools, which then cater exactly this incremental revenue and margin and margin expansion.

Michael Sen: Well, thank you. Thank you for your questions. We thought these are very fair questions and, you know, a very good conversation in these really unprecedented times. Again, what it means, that we go into innovation, into adjacencies, is that what you have seen in the last three years. We have shown you how much the growth vectors, which was the innovation of the former years, if you so wish, have contributed in terms of share of EBIT and even on the top line, EUR 500 million, it's a half a billion with 20% margin. We're trying to move, and that is what scale platform means, get into these new value pools, which then cater exactly this incremental revenue and margin and margin expansion.

A very good conversation in these really unprecedented times again, what it means that we go into innovation into Adjacencies is that what you have seen in the last three years. We have shown you how much the growth vectors, which was the innovation of <unk>.

The form of years. If you. So wish have contributed in terms of share of EBIT and even on the top line 500 million visa have a $1 billion with 20% margin. So in a way we are.

Trying to move and that is what scale platform means get into these new value pools, which then cater exactly this incremental revenue and margin and margin expansion and therefore, you need innovation and investments in every shape and form whether it is in licensing.

Michael: Therefore, you need innovation and investment in every shape and form, whether it is in licensing, whether it is partnerships, whether it is R&D, whether it is bolt-on acquisition. That is what we're playing because we need to be sustainable in the long term. The second thing is, I think, or I hope we explained a little bit the moving parts on the guidance. You have an innovation-led growth and you have increased your capacity, the load and the volume on the capacity for operating leverage needs to come. We are confident that it will come because, you know, many things are backed by contracts. We have great visibility, so the margin for error there is not huge, but it can, you know, customers pull through when they pull through.

Michael Sen: Therefore, you need innovation and investment in every shape and form, whether it is in licensing, whether it is partnerships, whether it is R&D, whether it is bolt-on acquisition. That is what we're playing because we need to be sustainable in the long term. The second thing is, I think, or I hope we explained a little bit the moving parts on the guidance. You have an innovation-led growth and you have increased your capacity, the load and the volume on the capacity for operating leverage needs to come. We are confident that it will come because, you know, many things are backed by contracts. We have great visibility, so the margin for error there is not huge, but it can, you know, customers pull through when they pull through.

Whether it is partnerships, whether it's R&D, whether it is bolt on acquisition and that is what we're playing because we need to be sustainable in the long term.

The second thing is I think Oh, I hope, where we explained a little bit the moving parts on the guidance. If you have an innovation led growth and you have increased your capacity.

The load and the volume on the capacity for operating leverage needs to come.

We are confident that it will come because many things are bad.

The contract.

We have great visibility so.

The margin for error, there is not huge but it can you know customers pull through when they pull through.

Apply change need to work when they need to work and this is at the beginning of the year.

Michael: Supply chains need to work when they need to work. This is at the beginning of the year, where we may be having exactly a stance of what needs to come, where we will update and upgrade you once we get there. When we are seeing that on that path, we're making good progress on the top line, we will qualify the outlook even more and/or adjust. With that, thank you very much.

Michael Sen: Supply chains need to work when they need to work. This is at the beginning of the year, where we may be having exactly a stance of what needs to come, where we will update and upgrade you once we get there. When we are seeing that on that path, we're making good progress on the top line, we will qualify the outlook even more and/or adjust. With that, thank you very much.

Where we may be having exactly.

Our stance of what needs to come.

Where we will update and upgrade to you once we get there when we are seeing that on that path, we're making good progress on the topline.

We will qualify the outlook.

Even more and or adjust with that thank you very much.

The, uh, the margin for error there is not huge, but it can, you know, customers pull through when they pull through, supply chains need to work when they need to work, and this is at the beginning of the year where we may be having exactly.

A stance of what needs to come.

Where we will update and upgrade you. Once we get there, when we are seeing that on that path, we're making good progress on the top line.

We will qualify the Outlook.

Even more—and, or adjusted with that—thank you very much.

We want to thank Virginia and all participants for taking part in this conference call. Goodbye.