Assets and liabilities
Asset and liability structure
The Group’s total assets increased by 8% (4% in constant currency) to €71,962 million (Dec. 31, 2020: €66,646 million). The increase is mainly due to currency translation effects, acquisitons as well as the expansion of business activities. Inflation had no significant impact on the assets of Fresenius in 2021.
Current assets increased by 11% (8% in constant currency) to €17,461 million (Dec. 31, 2020: €15,772 million). Within current assets, trade accounts receivable and other receivables increased by 2% to €7,045 million (Dec. 31, 2020: €6,937 million). At 70 days, average days sales outstanding was below the previous year’s level (71 days).
Inventories increased by 7% to €4,218 million (Dec. 31, 2020: €3,945 million). The scope of inventory in 2021 was 63 days (Dec. 31, 2020: 62 days). The ratio of inventories to total assets was 5.9% and remained on the prior year’s level (Dec. 31, 2020: 5.9%).
Non-current assets increased by 7% (3% in constant currency) to €54,501 million (Dec. 31, 2020: €50,874 million). The increase due to acquisitions and new rights of use under leases was offset mainly by depreciation and amortization. The goodwill and intangible assets in the amount of €32,775 million (Dec. 31, 2020: €30,335 million) has proven sustainable. The increase is mainly due to currency translation effects as well as acquisitons at Fresenius Medical Care and Fresenius Helios. The addition to the goodwill from acquisitions was €1,065 million in fiscal year 2021.
Shareholders’ equity increased by 13% (7% in constant currency) to €29,288 million (Dec. 31, 2020: €26,023 million). The increase is due to currency translation effects as well as the good net income development. Group net income attributable to Fresenius SE & Co. KGaA increased shareholders’ equity by €1,818 million. The equity ratio was 40.7% (Dec. 31, 2020: 39.0%).
The liabilities and equity side of the balance sheet shows a solid financing structure. Total shareholders’ equity, including noncontrolling interests, covers 54% of non-current assets (Dec. 31, 2020: 51%). Shareholders’ equity, noncontrolling interests, and long-term liabilities cover all non-current assets and 57% of inventories.
Long-term liabilities increased by 1% (decreased by 2% in constant currency) to €27,612 million (Dec. 31, 2020: €27,407 million). Short-term liabilities increased by 14% (11% in constant currency) to €15,062 million (Dec. 31, 2020: €13,216 million).
The Group has neither provisions nor accruals that are of major significance as individual items. Other provisions and accruals result mainly from provisions for self-insurance programs, for personnel expenses, for warranties and claims, and for litigation and other legal risks.
Balance Sheet OverviewDownload(XLS, 36 KB)
|€ in millions||Dec. 31, 2021||Dec. 31, 2020||Growth|
|thereof trade accounts receivables||7,045||6,937||2%|
|thereof cash and cash equivalents||2,764||1,837||50%|
|thereof property, plant and equipment||12,569||11,912||6%|
|thereof goodwill and other intangible assets||32,775||30,335||8%|
|LIABILITIES AND SHAREHOLDERS' EQUITY|
|thereof trade accounts payable||2,039||1,816||12%|
|thereof accruals and other short-term liabilities||10,594||9,913||7%|
|thereof lease liabilities||6,590||6,188||6%|
|Total Fresenius SE & Co. KGaA shareholders' equity||18,998||16,949||12%|
|Total shareholders' equity||29,288||26,023||13%|
|Total liabilities and shareholders' equity||71,962||66,646||8%|
Group debt increased by 5% (2% in constant currency) to €27,155 million (Dec. 31, 2020: €25,913 million). Its relative weight in the balance sheet was 38% (Dec. 31, 2020: 39%). Approximately 31% of the Group’s debt is denominated in U.S. dollars. Liabilities due in less than one year were €4,772 million (Dec. 31, 2020: €3,670 million), while liabilities due in more than one year were €22,383 million (Dec. 31, 2020: €22,243 million).
Assets and liabilities-five-year overviewDownload(XLS, 36 KB)
|€ in millions||2021||2020||2019||2018||2017|
|as % of total assets1||41%||39%||40%||44%||41%|
|Shareholders’ equity1 / non-current assets, in %||54%||51%||51%||60%||54%|
|as % of total assets||38%||39%||41%||33%||36%|
|Gearing1 in %||83%||93%||96%||65%||80%|
|1 Including noncontrolling interests|
Group net debt increased by 1% (-1% in constant currency) to €24,391 million (Dec. 31, 2020: €24,076 million). The net debt to equity ratio including noncontrolling interests (gearing) is 83% (Dec. 31, 2020: 93%).
The return on equity after taxes1 (equity attributable to shareholders of Fresenius SE & Co. KGaA) was 9.8% (Dec. 31, 2020: 10.6%). The return on total assets after taxes and before noncontrolling interests1 was 4.0% (2020: 4.6%).
Group ROIC was 5.9%2 (2020: 6.5% 2). Group ROOA was 6.5%2 (2020: 7.3%2). Estimated COVID-19 effects had a negative impact of 90 basis points on ROICROIC (Return on Invested Capital)Calculated by: (EBIT - taxes) / Invested capital. Invested capital = total assets + accumulated amortization of goodwill - deferred tax assets - cash and cash equivalents - trade accounts payable - accruals (without pension accruals) - other liabilities not bearing interest. and 100 basis points on ROOA. Within the position invested capital, the goodwill of €28.9 billion had a significant effect on the calculation of ROIC.
1 Before special items
2 Before special items; pro forma acquisitions / divestitures
For a detailed overview of special items and adjustments please see the reconciliation tables in chapter Results of operations.
It is important to take into account that approximately 64% of the goodwill is attributable to the strategically significant acquisitions of
- National Medical Care in 1996,
- Renal Care Group and HELIOS Kliniken in 2006,
- APP Pharmaceuticals in 2008,
- Liberty DialysisDialysisForm of renal replacement therapy where a semipermeable membrane – in peritoneal dialysis the peritoneum of the patient, in hemo dialysis the membrane of the dialyzer – is used to clean a patient’s blood. Holdings in 2012,
- Hospitals of Rhön-Klinikum AG in 2014,
- Quirónsalud and the biosimilarsBiosimilarsA biosimilar is a drug that is “similar” to another biologic drug already approved. business in 2017,
- NxStage in 2019, as well as
- Eugin Group in 2021.
Those have significantly strengthened the competitive position of the Fresenius Group.
In 2021, the Fresenius Group’s return on invested capital (ROIC) exceeded our cost of capital.
The WACC (weighted average cost of capital) of Fresenius Medical Care was 4.57%; the WACC of the other business segments was 5.43%.
Five-year Overview Financing Key Figures1,2Download(XLS, 36 KB)
|Dec. 31, 2021||Dec. 31, 2020||Dec. 31, 2019||Dec. 31, 2018||Dec. 31, 2017|
|Debt / EBITDA||4.0||3.6||3.8||3.2||3.1|
|Net debt / EBITDA3||3.5||3.4||3.6||2.7||2.8|
|Net debt / EBITDA4||3.6||3.4||3.6||2.7||2.8|
|EBITDA / financial result||13.6||10.9||9.9||10.6||9.6|
|1 Before special items|
|2 For pro forma acquisitions, the missing pro forma EBITDA for the full 12 months is included.
For divestments, the EBITDA contribution of the last 12 months is deducted.
|3 At LTM average exchange rates for both net debt and EBITDA|
|4 Net debt at year-end exchange rate; EBITDA at LTM average exchange rates|
ROIC and ROOA by Business SegmentsDownload(XLS, 47 KB)
|Fresenius Medical Care1,2||5.2||6.6||6.2||8.2|
|1 Pro forma acquisitions|
|2 Before special items|
Currency and interest risk contracts
The nominal value of all foreign currency hedging contracts was €2,917 million as of December 31, 2021. These contracts had a fair value of -€27 million. The nominal value of interest rate hedging contracts was €482 thousand. These contracts had a fair value of around -€12 thousand. Please see the Opportunities and Risk Report and the Notes for further information.