1 strategy 2025 rice powell - healthcare | renal | dialysis

STRATEGY 2025RICE POWELL1

Safe harbor statement:This presentation includes certain forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Act of 1934, as amended. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy or might not even be anticipated. The Company has based these forward-looking statements on current estimates and assumptions which we believe are reasonable and which are made to the best of our knowledge. Actual results could differ materially from those included in the forward-looking statements due to various risk factors and uncertainties, including changes in business, economic or competitive conditions, changes in reimbursement, regulatory compliance issues, regulatory reforms, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, cyber security issues and the availability of financing. Given these uncertainties, readers should not put undue reliance on any forward-looking statements. These and other risks and uncertainties are discussed in detail in Fresenius Medical Care AG & Co. KGaA’s (FMC AG & Co. KGaA) Annual Report on Form 20-F under the heading “Forward-Looking Statements” and under the headings in that report referred to therein, and in FMC AG & Co. KGaA’s other reports filed with the Securities and Exchange Commission (SEC) and the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse).

Forward-looking statements represent estimates and assumptions only as of the date that they were made. The information contained in this presentation is subject to change without notice and the company does not undertake any duty to update the forward-looking statements, and the estimates and assumptions associated with them, except to the extent required by applicable law and regulations.

If not mentioned differently the term net income refers to the net income attributable to the shareholders of Fresenius Medical Care AG Co. KGaA. The term EMEA refers to the region Europe, Middle East and Africa. Amounts are in Euro if not mentioned otherwise.

10/8/2020Strategy 2025

WE ARE THE LEADING VERTICALLY INTEGRATED GLOBAL PLAYER

PRODUCTS SERVING MORE THAN HALF OF THE WORLD’S DIALYSIS PATIENTS

LARGEST DIALYSIS NETWORK WORLDWIDE

Products available

in 150 countries worldwide

>150 m dialyzers

>50,000 dialysis

machines

1 out of 2 HD patients worldwide

treated with an FME machine

Every 0.6seconds we pro-vide a dialysis

treatment

>4,000 dialysis centers

~350,000 dialysis patients

>50 m dialysis

treatments p. a.

Dialysis treat-ments provided

in around 50 countries

1996 2019

Health Care Products revenue (€ million) Health Care Services revenue (€ million)

396

13,872

1996 2019

757

3,604

10/8/2020Strategy 2025

OUR CORE COMPETENCIES ARE BASED ON DECADES OF EXPERIENCE

1st dialysis products sold by Fresenius

Synthetic polysulfonedialyzers & balancing chamber HD machine

Fresenius Medical Care founded

Coordinating patient care to provide better care

Start of web-based clinical reports to improve treatment quality

1966 ~1980 1996 2000 2014OUR CORE

COMPETENCIES

Breakthrough innovations

Start of vertical integration

Standardization based on data analytics

Coordinating patient care

STANDARDIZINGMEDICALPROCEDURES

INNOVATING PRODUCTS

COORDINATING PATIENTS EFFICIENTLY

OPERATING OUTPATIENT FACILITIES

TODAY

HomeDialysisInitiative

10/8/2020Strategy 2025

OUR RECIPE FOR SUCCESS

EMPOWER PEOPLE. ADVANCE CARE. INSPIRE WITH OUR PURPOSE AND VALUES.

LEADERSHIPOur Management Board and top leadership provides the foundation

1 Full-time equivalents as at Dec. 31, 2019 | 2 Include nurses, patient care technicians and physician services

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MEDICAL EXPERTS Our 300+ medical experts use data insights and latest scientific findings

RESEARCH & DEVELOPMENT1,200 highly qualified team members, 10,000+ patents

PRODUCTION16,000 employees1 at 45 production

sites in more than 20 countries

DATA SCIENTISTSMedical KPIs of more than 50 million treatments monitored and analyzed

HEALTH CARE PROFESSIONALS55,000 health care professionals2 serving 350,000 patientsin 50 countries

10/8/2020Strategy 2025

OUR VISION

CREATING A FUTURE WORTH LIVING.

FOR PATIENTS. WORLDWIDE. EVERY DAY.

1 Life expectancy has steadily increased for more than 150 years with no sign of deceleration. | 2 Between 2000 and 2030, the population over 65 years will more than double from 0.4 bn to 1.0 bn worldwide (United Nations, Department of Economic and Social Affairs, Population Division (2019). World Population Prospects 2019, Volume II: Demographic Profiles (ST/ESA/SER.A/427)). | 3 The increasing number of elderly citizens will lead to a rise in age-related chronic conditions. As people grow older, they will need to be treated longer for chronic conditions. In developed countries >50% of all people at retirement age suffer from two or more chronic conditions simultaneously. | 4 Chronic diseases worldwide cause ~USD 8,000 billion in cost of illness every year.

10/8/2020Strategy 2025

WE BELIEVE THAT HEALTH CARE INTHE FUTURE WILL DIFFER FROM TODAY

… disrupts the way we deliver health care today. Big data analytics and artificial intelligence provide new insights.

… will affect health care provision worldwide in many ways.

DIGITALIZATIONCOVID-19 AND THE “NEW NORMAL”

Global ageingLife expectancy as well aspopulation over 65 significantly higher1,2

Health care staff shortagesGlobal health workforce shortage to increase further in coming decades

Fragmented careOne patient – several conditions –numerous physicians

System limitationsSystem designed for acute, lack of concepts for multimorbid, chronic patients

Chronic diseasesMore chronic patients, longer treatment spans3; rising costs of chronic diseases4

Cost pressure in health care systemsHealth care systems in need of sustainable solutions

10/8/2020Strategy 2025

WE PROVIDE THE BEST POSSIBLE CARE.

SUSTAINABLY IN DIVERSE HEALTH CARE SYSTEMS.

FOR A GROWING NUMBER OF PATIENTS AROUND THE WORLD.

OUR MISSION

MEDICAL

10/8/2020Strategy 2025

FRAGMENTED CARE IS THE BIGGEST CHALLENGE FOR OUR PATIENTS

INDIVIDUALS WITH CHRONIC KIDNEY DISEASE ARE DESTINED TO HAVE A LIFE JOURNEY REQUIRING BOTH ACCESS TO MANY SERVICES AND SUPPORT THROUGH MULTIPLE PERSPECTIVES IN ORDER TO NAVIGATE LIVING WITH ADVANCED KIDNEY DISEASE.

DIALYSIS PATIENT

PERSONALSOCIAL FINANCIALCARE

Vascular care

Nephrology

Acute care

Dialysiscare

Laboratory

Pharmacy

In-patient

carePrimary

carephysician

Post-acute care

DietitianSocial care

Comor-bidities

Health insurance

Mental stress

Life-style changes

10/8/2020Strategy 2025

OUR STRATEGYTHE RENAL CARE CONTINUUM

CREATING THE FUTURE OF HEALTH CARE FOR CHRONICALLY AND

CRITICALLY ILL PATIENTS ACROSS THE RENAL CARE CONTINUUM BY

LEVERAGING OUR CORE COMPETENCIES.

OFFERING SUSTAINABLE SOLUTIONS WITH INNOVATIVE PRODUCTS

AND SERVICES OF THE HIGHEST QUALITY AT RELIABLE COSTS.

Constant currency, before special items

10/8/2020Strategy 2025

FINANCIAL TARGETS

GUIDANCE 2020 – 2025

HIGHsingle-digit

MIDsingle-digit

REVENUE GROWTH CAGR NET INCOME GROWTH CAGR

10/8/2020Strategy 2025

KEY DRIVERS FOR OUR CORE DIALYSIS BUSINESS

AGEING GLOBALPOPULATION

Global populationaged 65+1

1.0billion

2000

2030

+150%

0.4billion

HYPERTENSION

People livingwith hypertension2

DIABETES

People livingwith diabetes3

578million

2000

2030

+280%

151million

DIALYSISPATIENTS

People on main-tenance dialysis4

>6million

2000

2030

+460%

1.07million

One out of four people worldwide has hypertension!

ADDRESSING GLOBAL HEALTH CARE CHALLENGES

1 United Nations, Department of Economic and Social Affairs, Population Division (2019). World Population Prospects 2019, Volume II: Demographic Profiles (ST/ESA/SER.A/427)2 WHO Global Health Observatory (people >18 years of age) | 3 IDF Diabetes Atlas 2019 (9th edition) | 4 FME Long Range Patient Projection

10/8/2020Strategy 2025

CORE – VERTICAL INTEGRATION OF PRODUCTS AND SERVICES

U.S.-basedcompany

Germany-basedcompany

U.S.-basedcompany

U.S.-basedcompany

Japan-basedcompany

Japan-basedcompany

Japan-basedcompany

Sweden-basedcompany

Dialysisindustry2

HD machines Dialyzers Bloodlines

Concen-trates

Critical care1

PD products

HHD machines

Pharma-ceuticals

North America EMEA

Asia Pacific

Latin America

DIALYSIS SERVICESDIALYSIS PRODUCTS

ONLY VERTICAL INTEGRATED RENAL HEALTH CARE PROVIDER WITH A GLOBAL FOOTPRINT

1 Acute renal failure products | 2 Key dialysis companies ranked by renal revenueProvider business in selected regions only with few centers as compared with the total amount of centers in the region | Information based on own research

10/8/2020Strategy 2025

VERTICAL INTEGRATION – PRODUCT ANDSERVICE EXPERTISE DRIVE NEW INNOVATIONS

Connected and automated HD infrastructures

Enhanced home therapy offerings

Anticoagulant-free dialysis Automated ultrafiltration rate control

Integrated sensors, diagnostic tools and data analytics

Highest-quality products and affordableprices for developing markets

Evolve towards personalized and more precise medicine

Integrate cardioprotectionacross therapeutic domains

Build and evolve medical support systems globally

Grow research andgenerate more clinical evidence

Enhance patient care and experience

INNOVATIONS TO IMPROVE DIALYSIS PRODUCTS INNOVATIONS TO IMPROVE DIALYSIS SERVICES

10/8/2020Strategy 2025

WE INTEGRATE KEY STAKEHOLDERSAS WE GO BEYOND CORE DIALYSIS

PATIENT

PAYOR

FRESENIUS MEDICAL CARE▪ Provide the best possible care for a growing number of patients

▪ Further develop our business model to offer sustainable solutions

▪ Leverage our core competencies across the renal care continuum, in critical settings and complementary assets

FOR OUR PATIENTS▪ Empower patients by listening to their diverse needs

▪ Improve quality-of-life indicators that matter most to our patients

▪ Provide high-quality care and global clinical service standards

FOR PAYORS▪ Reduce total cost of care to sustain dialysis care tomorrow

▪ Develop programs for preventing and slowing disease progression

▪ Drive transformation of health care towards optimal resource allocation

REDUCING INEFFICIENCIES

IN TODAY’SHEALTH CARE

SYSTEMS

10/8/2020Strategy 2025

THE NEXT STEP –RENAL CARE CONTINUUM

Breakthrough innovations

Start of vertical integration

Standardization based on data analytics

Coordinating patient care

RENAL CARE CONTINUUM

CREATING THE FUTURE OF HEALTH CARE FOR CHRONICALLY AND

CRITICALLY ILL PATIENTS ACROSS THE RENAL CARE

CONTINUUM BY LEVERAGING OUR CORE COMPETENCIES.

OUR CORE COMPETENCIES

STANDARDIZINGMEDICAL

PROCEDURES

INNOVATING PRODUCTS

COORDINATING PATIENTS

EFFICIENTLY


10/8/2020Strategy 2025

NEW RENAL CARE MODELS

TRANSFORMING RENAL CARE WITH NEW DIGITAL TOOLS (I.E. ARTIFICIAL INTELLIGENCE, BIG DATA, INTERNET OF THINGS)

EXPANSION OF RENAL CARE MODELS

THERAPEUTICINNOVATIONS

PERSONALIZEDMEDICINE

HOLISTICHOME CARE

10/8/2020Strategy 2025

VALUE-BASED CARE

CREATE MEDICAL VALUE WHILE KEEPING CARE AFFORDABLE

MOST EXPERIENCEDVBC PROVIDER

Further VBCin the U.S.

Leverage VBC expertise globally

VALUE =Outcome

Costs

BEST POSITION TO DRIVE THE DEVELOPMENT FROM A FEE-FOR-SERVICE TO A PAY-FOR-PERFORMANCE SYSTEM

Global dialysis center network

Vertical integration of products and services

Ability to offer the freedom and choice for the best treatment option

Clinical IT, medical quality and data analytics platform

10+ years’ experience offering disease management services

5+ years of value-based care arrangements

CKD = Chronic Kidney Disease

10/8/2020Strategy 2025

CKD AND TRANSPLANTATION

TREAT PATIENTS HOLISTICALLY ACROSS THE RENAL CARE CONTINUUM

Transitional CareManagement (TCM)services and payments

EXPAND VALUE-BASED CARE PROGRAMS TO CKD

▪ Mitigate progression of CKD where possible

▪ Enhance dialysis starts and avoid hospital visits

▪ Support focus on home dialysis with increased training

▪ Coordinate with nephrologists to ensure late-stage CKD patients are engaged with a nephrologist

INCLUDE KIDNEY TRANSPLANTION IN VBC

▪ Most cost-efficient treatment modality and best choice for many patients

▪ Current programs already affected (i.e. transplant bonus and impact of returning patients)

▪ Focus on need for greater organ availability and coordination with transplant centers

10/8/2020Strategy 2025

RENAL CARE INNOVATIONS

DISRUPT THE WAY WE DO DIALYSIS TODAY

Leveraging CRISPR Cas-9 to overcome immuno-compatibility and safety barriers to enable xeno transplantation

Cell therapy to restorelost kidney function

Biomaterials with functional compatibility to organs and living systems

1 Own company research | CRRT – continuous renal replacement therapy | ARF – acute renal failure

10/8/2020Strategy 2025

KEY DRIVERS FOR OUR CRITICAL CARE BUSINESS

LEVERAGE EXPERTISE TO ADDRESS MULTIPLE HEALTH CHALLENGES

Providing a growing critical care marketwith innovative solutions for multi-organ support

Expertise in extracorporeal blood treatment for acute kidney failure

Expanding this expertiseinto heart and lung support solutionswith Xenios technology

CRRT PATIENTS

Patients receivingCRRT for ARF p.a.1

KIDNEY REPLACEMENT THERAPY AND SUPPORTING RESPIRATORY FUNCTIONS ARE OF PARAMOUNT IMPORTANCE IN PROVIDING CARE FOR COVID-19 PATIENTS

~1.6million

2005

2030

+600%

~225thousand

10/8/2020Strategy 2025

CRITICAL CARE SOLUTIONS

REPLACING MULTI-ORGAN FUNCTIONS WITH EXTRACORPOREAL BLOOD TREATMENTS

multiFiltratePRO and SystemOne

MultiFiltratePro and NxStage SystemOne are examples of highly effective renal replacement therapy for plasma exchange in a critical care setting

Xenios Novalung enables therapies for lung failure viaCO2 removal and oxygenation with acute respiratory failure

MULTIFILTRATEPRO, NXSTAGE SYSTEMONE AND XENIOS NOVALUNG HAVE SAVED NUMEROUS LIVES DURING THE COVID-19 PANDEMIC AND BEYOND

We will expand the portfolio of products we sell to the critical care market

1 Vifor Fresenius Medical Care Renal Pharma (VFMCRP)

10/8/2020Strategy 2025

LEVERAGING CORE COMPETENCIES TO CREATEADDITIONAL MEDICAL VALUE AND SAVE COSTS

BUILDING OUT THE NETWORK OF COMPLEMENTARY ASSETS BY PARTNERSHIPS, INVESTMENTS AND ACQUISITIONS

Apheresis

OUR CORECOMPETENCIES

STANDARDIZINGMEDICALPROCEDURES

INNOVATING PRODUCTS

COORDINATING PATIENTS EFFICIENTLY


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10/8/2020Strategy 2025

SUSTAINABILITY PRIORITIES

COMMITTED TO LONG-TERM SUSTAINABLE DEVELOPMENT

XXXXX

Global program to drive strategic efforts to integrate sustainability into our business over three years

Management Compensation System 2020+ linked to sustainability targets

Long-term focus on activities that support our mission to provide the best possible care and deliver sustainable solutions for ever more patients in diverse health care systems

INTEGRATION DRIVERS

SUMMARY

10/8/2020Strategy 2025

LEADERSHIP

AT FRESENIUS MEDICAL CARE,WE WILL SUCCESSFULLY …

▪ Continue to provide the best possible care to a growing number of patients

▪ Weather the storms of crises and regulatory developments with our highly experienced management team

▪ Further develop our business modelto offer sustainable solutions

▪ Leverage our core competencies acrossthe renal care continuum, in critical settings and complementary assets

▪ Drive shareholder value in a sustainable way

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5MEDICALEXPERTS

RESEARCH & DEVELOPMENT

PRODUCTION

DATA SCIENTISTS

HEALTH CARE PROFESSIONALS

1 strategy 2025 rice powell - healthcare | renal | dialysis

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