RESULTS OF OPERATIONS

Sales

In 2008, we increased Group sales by 13% in constant currency and by 9% at actual rates to € 12,336 million (2007: € 11,358 million). Very good organic growth of 8% was achieved, while acquisitions contributed 5% to the growth in sales.

The chart below shows the various influences on Fresenius’ Group sales. While there were no significant consequences from changes in product mix, price effects in the dialysis care business contributed positively. In the foreseeable future no significant changes are expected in these two factors.

The largest regions in the Group are Europe and North America , contributing 45% and 41% of total sales, followed by Asia-Pacific with 7% and Latin America and Africa with 5% and 2%, respectively. Germany contributed 23% to Group sales.

In North America, sales rose 9% in constant currency. This was mainly driven by organic growth of 5% and the first-time consolidation of APP Pharmaceuticals. In Europe, organic growth of 9% was the main driver. We again registered strong organic growth in Asia-Pacific with 17%, in Latin America with 18%. The sales split by region is shown below. 

Sales performance by business segment was as follows:

• Fresenius Medical Care achieved sales of € 7,213 million in 2008 (2007: € 7,093 million). Currency translation had an effect of -6%. Very good organic growth of 7% was achieved. Acquisitions had an effect of 1%. Fresenius Medical Care recorded good increases in constant currency, both in dialysis care and in dialysis products.
• Fresenius Kabi increased sales by 23% to € 2,495 million (2007: € 2,030 billion). The company achieved excellent organic growth of 9 %. Net acquisitions had an effect of 16%. This included the acquisitions of APP Pharmaceuticals and Dabur Pharma. Currency translation had an effect of -2% on sales. This was mainly attributable to the weaker currencies in the United Kingdom, South Africa, and Korea.
• Fresenius Helios increased sales by 15% to € 2,123 million (2007: € 1,841 million). Net acquisitions contributed 10% to the growth, especially the acquisition of the hospitals in Krefeld and Hüls. Fresenius Helios achieved very good organic growth of 5% on the back of a much higher number of admissions compared to 2007.
• Fresenius Vamed achieved excellent sales growth of 28% to € 524 million (2007: € 408 million). Acquisitions contributed 5% to this growth. Deconsolidations had a negative impact of 2%.Sales in the project business increased by 30% to € 336 million (2007: € 259 million). Sales in the services business improved by 26% to € 188 million (2007: € 149 million). Order intake in Fresenius Vamed’s project business rose by 8% to € 425 million (2007: € 395 million). Order backlog increased by 12% to € 571 million (December 31, 2007: € 510 million).