Fresenius, FMC Expect Positive Impact From U.S. Tax Reform
By Max Bernhard
Fresenius Medical Care AG & Co. KGaA (FME.XE), or FMC, and its largest shareholder Fresenius SE & Co. KGaA (FRE.XE) both expect U.S. tax reform to have a positive impact on 2017 after-tax earnings, the companies said late Friday.
FMC expects positive effects of around EUR200 million ($237.3 million) on after-tax earnings, while Fresenius said it expects a one-off gain of around EUR90 million in 2017 group net income. Of the total, EUR60 million will stem from its holding in FMC, while EUR30 million would be from Fresenius Kabi, Fresenius said.
The new U.S. tax legislation will come into effect on January 1 and triggers the revaluation of deferred tax liabilities.
Write to Max Bernhard at Max.Bernhard@dowjones.com; @mxbernhard
(END) Dow Jones Newswires
December 27, 2017 02:01 ET (07:01 GMT)Copyright (c) 2017 Dow Jones & Company, Inc.