| Leases |
24.Leases The Company leases land, buildings and improvements, machinery and equipment, as well as IT- and office equipment under various lease agreements. Leasing in the consolidated statements of income The following table shows the effects from lease agreements on the consolidated statements of income for the year ended December 31, 2025, 2024, and 2023: | | | | | | | Leasing in the consolidated statements of income | in € K | | | | | | | | | 2025 | | 2024 | | 2023 | Depreciation on right-of-use assets | | 647,620 | | 675,526 | | 700,671 | Impairments on right-of-use assets | | 15,443 | | 57,226 | | 25,486 | Expenses relating to short-term leases | | 65,209 | | 53,057 | | 59,327 | Expenses relating to leases of low-value assets | | 14,249 | | 20,104 | | 22,188 | Expenses relating to variable lease payments | | 2,833 | | 6,343 | | 10,465 | Income from subleasing right-of-use assets | | 4,094 | | 3,957 | | 3,655 | Interest expense on lease liabilities | | 143,211 | | 148,420 | | 148,789 |
For information regarding leases with related parties, see note 6 b). Leases in the consolidated balance sheets At December 31, 2025 and 2024, the acquisition costs and the accumulated depreciation of right-of-use assets consisted of the following: | | | | | | | | | | | | | | | Acquisition costs | in € K | | | | | | | | | | | | | | | | | | | Foreign | | Changes in | | | | | | | | | | | January 1, | | currency | | consolidation | | | | | | | | December 31, | | | 2025 | | translation | | group | | Additions | | Reclassifications | | Disposals | | 2025 | | | | | | | | | | | | | | | | Right-of-use assets: Land | | 41,202 | | (1,281) | | — | | 3,443 | | (17) | | (2,934) | | 40,413 | Right-of-use assets: Buildings and improvements | | 7,108,897 | | (704,079) | | (5,868) | | 470,089 | | 920 | | (282,677) | | 6,587,282 | Right-of-use assets: Machinery and equipment | | 193,265 | | (17,232) | | — | | 33,361 | | (1,208) | | (30,435) | | 177,751 | Right-of-use assets | | 7,343,364 | | (722,592) | | (5,868) | | 506,893 | | (305) | | (316,046) | | 6,805,446 |
| | | | | | | | | | | | | | | Acquisition costs | in € K | | | | | | | | | | | | | | | | | | | Foreign | | Changes in | | | | | | | | | | | January 1, | | currency | | consolidation | | | | | | | | December 31, | | | 2024 | | translation | | group | | Additions | | Reclassifications | | Disposals (1) | | 2024 | | | | | | | | | | | | | | | | Right-of-use assets: Land | | 41,202 | | 427 | | (82) | | 4,282 | | (1,329) | | (3,298) | | 41,202 | Right-of-use assets: Buildings and improvements | | 6,557,178 | | 323,334 | | (46,109) | | 556,872 | | (57,944) | | (224,434) | | 7,108,897 | Right-of-use assets: Machinery and equipment | | 324,167 | | 9,751 | | — | | 60,731 | | 63 | | (201,447) | | 193,265 | Right-of-use assets | | 6,922,547 | | 333,512 | | (46,191) | | 621,885 | | (59,210) | | (429,179) | | 7,343,364 |
| (1) | Included within the amounts presented for “Right-of-use assets: Building and improvements” and “Right-of-use assets: Machinery and equipment” are €34,878 and €129,377, respectively, for disposals of fully depreciated or impaired right-of-use assets from prior periods. |
| | | | | | | | | | | | | | | | | Accumulated depreciation and impairment | in € K | | | | | | | | | | | | | | | | | | | | | Foreign | | Changes in | | | | | | | | | | | | | January 1, | | currency | | consolidation | | | | Impairment | | | | | | December 31, | | | 2025 | | translation | | group | | Additions | | loss | | Reclassifications | | Disposals | | 2025 | | | | | | | | | | | | | | | | | | Right-of-use assets: Land | | 19,108 | | (764) | | — | | 3,766 | | 2 | | (17) | | (1,674) | | 20,421 | Right-of-use assets: Buildings and improvements | | 3,590,355 | | (372,103) | | (3,979) | | 614,884 | | 15,483 | | 913 | | (183,404) | | 3,662,149 | Right-of-use assets: Machinery and equipment | | 121,445 | | (11,019) | | — | | 28,970 | | (42) | | (1,146) | | (28,834) | | 109,374 | Right-of-use assets | | 3,730,908 | | (383,886) | | (3,979) | | 647,620 | | 15,443 | | (250) | | (213,912) | | 3,791,944 |
| | | | | | | | | | | | | | | | | Accumulated depreciation and impairment | in € K | | | | | | | | | | | | | | | | | | | | | Foreign | | Changes in | | | | | | | | | | | | | January 1, | | currency | | consolidation | | | | Impairment | | | | | | December 31, | | | 2024 | | translation | | group | | Additions | | loss | | Reclassifications | | Disposals (1) | | 2024 | | | | | | | | | | | | | | | | | | Right-of-use assets: Land | | 17,743 | | 179 | | (25) | | 3,923 | | 12 | | (930) | | (1,794) | | 19,108 | Right-of-use assets: Buildings and improvements | | 2,997,179 | | 159,501 | | (23,175) | | 642,415 | | 56,894 | | (42,315) | | (200,144) | | 3,590,355 | Right-of-use assets: Machinery and equipment | | 236,384 | | 6,689 | | — | | 29,188 | | 320 | | (145) | | (150,991) | | 121,445 | Right-of-use assets | | 3,251,306 | | 166,369 | | (23,200) | | 675,526 | | 57,226 | | (43,390) | | (352,929) | | 3,730,908 |
| (1) | Included within the amounts presented for “Right-of-use assets: Building and improvements” and “Right-of-use assets: Machinery and equipment” are €34,878 and €129,377, respectively, for disposals of fully depreciated or impaired right-of-use assets from prior periods. |
| | | | | Book value | in € K | | | | | | | December 31, | | December 31, | | | 2025 | | 2024 | Right-of-use assets: Land | | 19,992 | | 22,094 | Right-of-use assets: Buildings and improvements | | 2,925,133 | | 3,518,542 | Right-of-use assets: Machinery and equipment | | 68,377 | | 71,820 | Right-of-use assets | | 3,013,502 | | 3,612,456 |
Depreciation expense is allocated within costs of revenue, selling, general and administrative, and R&D expenses, depending upon the area in which the asset is used. Impairment losses are allocated within costs of revenue, selling, general and administrative, and R&D expenses, depending upon the area in which the asset is used, or are included within other operating expense in certain instances when the corresponding assets have been identified as strategic transactions and/or programs. For a maturity analysis of lease liabilities see note 26. Leasing in the consolidated statements of cash flows Total cash outflows from leases were €872,517 for the year ended December 31, 2025 (December 31, 2024 and 2023: €901,938 and €965,486, respectively). Of this amount, €649,038 for the year ended December 31, 2025 (December 31, 2024 and 2023: €676,513 and €727,369, respectively), was presented within the repayment of lease liabilities from unrelated and related party line items within Net cash provided by (used in) financing activities in the consolidated statements of cash flows. Cash outflows of €223,479 for the year ended December 31, 2025 (December 31, 2024 and 2023: €225,425 and €238,117, respectively) were reported within the Net income and Paid interest line items within Net cash provided by (used in) operating activities in the consolidated statements of cash flows. Leases that the Company entered into as a lessee that have not yet begun as of December 31, 2025 will result in future cash outflows of €32,245 (December 31, 2024 and 2023: €52,309 and €109,012, respectively). Potential future cash outflows resulting from extension options of €6,736,406 were not reflected in the measurement of the lease liabilities as of December 31, 2025, as the exercise of the respective options is not reasonably certain (December 31, 2024 and 2023: €7,513,645 and €7,213,730, respectively). The major part of these potential future cash outflows relates to extension options in real estate lease agreements, primarily for dialysis clinics in the Care Delivery segment. Individual lease agreements include multiple extension options. The Company uses extension options to obtain a high degree of flexibility in performing its business. These extension options held are exercisable solely by the Company. Potential future cash outflows resulting from termination options of €3 were not reflected in the measurement of the lease liabilities as of December 31, 2025, as the exercise of the respective options is not reasonably certain (December 31, 2024 and 2023: €4 and €2,956, respectively). For additional information regarding residual value guarantees in certain lease contracts, see note 25.
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