Contact

Merck KGaA, Darmstadt, Germany

Investor Relations
Frankfurter Strasse 250
64293 Darmstadt
Germany
Phone: +49 6151 72 3321
e-mail: investor.relations@merckgroup.com
www.merckgroup.com

WKN: 659990
ISIN: DE0006599905
Ticker Symbol: MRK

Financial Statements Q1 2018 – Q4 2019

Content
1 Income statements
1.1 Group, quarterly
1.2 Healthcare, quarterly
1.3 Life Science, quarterly
1.4 Performance Materials, quarterly
1.5 Corporate/Others, quarterly

2 Cash flow statement

3 Balance sheet
EBITDA pre Merck KGaA, Darmstadt, Germany
2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Healthcare 381.4 378.5 759.9 381.5 1,141.4 414.3 795.8 1,555.7 332.0 527.8 859.8 500.8 1,360.6 561.1 1,061.9 1,921.7 -13.0% 39.5% 13.2% 31.3% 19.2% 35.4% 33.4% 23.5%
in % of net sales 26.6% 23.9% 25.2% 23.9% 24.7% 25.4% 24.7% 24.9% 22.4% 31.5% 27.2% 28.5% 27.7% 31.2% 29.9% 28.6%
Life Science 454.6 451.8 906.4 460.3 1,366.7 473.6 933.9 1,840.3 515.7 533.3 1,049.0 531.1 1,580.1 548.7 1,079.8 2,128.9 13.5% 18.0% 15.7% 15.4% 15.6% 15.9% 15.6% 15.7%
in % of net sales 30.6% 29.3% 29.9% 30.1% 30.0% 29.1% 29.6% 29.8% 31.0% 31.3% 31.2% 31.0% 31.1% 30.8% 30.9% 31.0%
Performance Materials 195.7 195.8 391.5 203.2 594.7 190.9 394.0 785.5 192.6 190.3 382.9 177.5 560.4 243.0 420.5 803.4 -1.6% -2.8% -2.2% -12.7% -5.8% 27.3% 6.7% 2.3%
in % of net sales 34.7% 33.4% 34.0% 32.5% 33.5% 30.3% 31.4% 32.7% 31.9% 32.3% 32.1% 30.5% 31.6% 30.5% 30.5% 31.2%
Corporate/Others -64.6 -106.0 -170.6 -81.7 -252.4 -129.1 -210.8 -381.5 -111.8 -112.1 -223.9 -98.1 -322.0 -147.2 -245.3 -469.2 73.0% 5.8% 31.2% 20.0% 27.6% 14.0% 16.4% 23.0%
Group 967.1 920.0 1,887.1 963.3 2,850.4 949.6 1,912.9 3,800.0 928.5 1,139.3 2,067.8 1,111.3 3,179.1 1,205.7 2,316.9 4,384.8 -4.0% 23.8% 9.6% 15.4% 11.5% 27.0% 21.1% 15.4%
in % of net sales 27.7% 24.8% 26.2% 25.7% 26.0% 24.4% 25.0% 25.6% 24.8% 28.7% 26.8% 27.4% 27.0% 27.5% 27.5% 27.1%

Sum of items may not foot due to rounding.

Income Statement Merck KGaA, Darmstadt, Germany
Group 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Net sales 3,485.7 3,713.6 7,199.3 3,749.4 10,948.7 3,887.6 7,637.0 14,836.3 3,745.8 3,971.4 7,717.2 4,053.7 11,770.9 4,380.8 8,434.5 16,151.7 7.5% 6.9% 7.2% 8.1% 7.5% 12.7% 10.4% 8.9%
Cost of sales -1,260.0 -1,321.4 -2,581.3 -1,344.1 -3,925.5 -1,456.3 -2,800.5 -5,381.8 -1,383.5 -1,454.4 -2,838.0 -1,477.9 -4,315.9 -1,690.4 -3,168.3 -6,006.3 9.8% 10.1% 9.9% 10.0% 9.9% 16.1% 13.1% 11.6%
thereof amortization of intangible assets -43.1 -43.9 -87.1 -43.9 -130.9 -44.6 -88.4 -175.5 -43.5 -43.7 -87.2 -44.0 -131.2 -56.9 -100.9 -188.1 0.7% -0.4% 0.2% 0.3% 0.2% 27.8% 14.2% 7.2%
Gross profit 2,225.8 2,392.2 4,617.9 2,405.3 7,023.2 2,431.3 4,836.5 9,454.5 2,362.2 2,517.0 4,879.2 2,575.8 7,455.1 2,690.4 5,266.2 10,145.5 6.1% 5.2% 5.7% 7.1% 6.1% 10.7% 8.9% 7.3%
in % of net sales 63.9% 64.4% 64.1% 64.2% 64.1% 62.5% 63.3% 63.7% 63.1% 63.4% 63.2% 63.5% 63.3% 61.4% 62.4% 62.8%
SG&A -1,215.9 -1,461.5 -2,677.4 -1,372.0 -4,049.4 -1,451.3 -2,823.3 -5,500.7 -1,456.8 -1,345.3 -2,802.1 -1,409.5 -4,211.6 -1,545.6 -2,955.2 -5,757.3 19.8% -7.9% 4.7% 2.7% 4.0% 6.5% 4.7% 4.7%
in % of net sales 34.9% 39.4% 37.2% 36.6% 37.0% 37.3% 37.0% 37.1% 38.9% 33.9% 36.3% 34.8% 35.8% 35.3% 35.0% 35.6%
Marketing and selling expenses -1,020.7 -1,108.8 -2,129.5 -1,078.8 -3,208.2 -1,188.2 -2,267.0 -4,396.4 -1,090.8 -1,156.9 -2,247.6 -1,100.4 -3,348.1 -1,228.4 -2,328.8 -4,576.5 6.9% 4.3% 5.5% 2.0% 4.4% 3.4% 2.7% 4.1%
thereof amortization of intangible assets (M&S) -245.2 -243.8 -489.0 -241.5 -730.4 -244.2 -485.7 -974.7 -222.6 -225.0 -447.6 -217.6 -665.2 -257.4 -475.0 -922.6 -9.2% -7.7% -8.5% -9.9% -8.9% 5.4% -2.2% -5.3%
Administration expenses -257.3 -274.8 -532.2 -283.1 -815.3 -368.1 -651.2 -1,183.4 -283.0 -269.1 -552.1 -267.5 -819.6 -334.3 -601.8 -1,153.9 10.0% -2.1% 3.8% -5.5% 0.5% -9.2% -7.6% -2.5%
Impairment losses and reversals (IFRS 9) -2.4 -5.7 -8.1 32.3 24.2 3.2 35.5 27.4 -3.9 2.2 -1.8 -1.2 -3.0 -4.6 -5.8 -7.5 62.3% n.m. -78.4% n.m. n.m. n.m. n.m. n.m.
Other operating expenses/income 64.5 -72.2 -7.6 -42.5 -50.1 101.8 59.4 51.7 -79.1 78.5 -0.6 -40.4 -40.9 21.6 -18.8 -19.3 n.m. n.m. -92.8% -4.9% -18.3% -78.8% n.m. n.m.
Impairments** 0.0 -17.4 -17.4 -4.5 -21.9 -33.1 -37.6 -55.0 0.0 0.0 0.0 -8.4 -8.4 -0.7 -9.1 -9.1 n.m. n.m. -99.9% 85.0% -61.7% -98.0% -75.9% -83.5%
Research and development -507.6 -538.3 -1,046.0 -542.2 -1,588.2 -639.0 -1,181.3 -2,227.3 -526.6 -553.2 -1,079.9 -558.3 -1,638.1 -630.1 -1,188.4 -2,268.2 3.7% 2.8% 3.2% 3.0% 3.1% -1.4% 0.6% 1.8%
in % of net sales 14.6% 14.5% 14.5% 14.5% 14.5% 16.4% 15.5% 15.0% 14.1% 13.9% 14.0% 13.8% 13.9% 14.4% 14.1% 14.0%
thereof amortization of intangible assets (R&D) -1.1 -1.3 -2.4 -1.2 -3.6 -21.1 -22.3 -24.7 -1.0 -0.7 -1.6 -1.9 -3.5 -5.1 -7.0 -8.6 -16.1% -47.6% -32.6% 65.2% -0.5% -75.9% -68.5% -65.0%
EBIT 502.2 392.4 894.6 491.0 1,385.6 340.9 832.0 1,726.5 378.8 618.4 997.3 608.0 1,605.3 514.6 1,122.7 2,120.0 -24.6% 57.6% 11.5% 23.8% 15.9% 51.0% 34.9% 22.8%
in % of net sales 14.4% 10.6% 12.4% 13.1% 12.7% 8.8% 10.9% 11.6% 10.1% 15.6% 12.9% 15.0% 13.6% 11.7% 13.3% 13.1%
Depreciation and amortization 422.0 447.8 869.8 427.6 1,297.4 503.6 931.2 1,801.0 474.0 455.5 929.4 464.3 1,393.7 552.6 1,016.9 1,946.3 12.3% 1.7% 6.9% 8.6% 7.4% 9.7% 9.2% 8.1%
EBITDA 924.2 840.1 1,764.4 918.7 2,683.0 844.5 1,763.1 3,527.5 852.8 1,073.9 1,926.7 1,072.3 2,999.0 1,067.3 2,139.6 4,066.3 -7.7% 27.8% 9.2% 16.7% 11.8% 26.4% 21.4% 15.3%
in % of net sales 26.5% 22.6% 24.5% 24.5% 24.5% 21.7% 23.1% 23.8% 22.8% 27.0% 25.0% 26.5% 25.5% 24.4% 25.4% 25.2%
EBITDA pre 967.1 920.0 1,887.1 963.3 2,850.4 949.6 1,912.9 3,800.0 928.5 1,139.3 2,067.8 1,111.3 3,179.1 1,205.7 2,316.9 4,384.8 -4.0% 23.8% 9.6% 15.4% 11.5% 27.0% 21.1% 15.4%
in % of net sales 27.7% 24.8% 26.2% 25.7% 26.0% 24.4% 25.0% 25.6% 24.8% 28.7% 26.8% 27.4% 27.0% 27.5% 27.5% 27.1%
Financial result -61.2 -64.6 -125.8 -55.9 -181.7 -84.2 -140.1 -265.9 -112.6 -61.1 -173.7 -134.9 -308.5 -76.1 -210.9 -384.6 83.9% -5.4% 38.1% 141.1% 69.8% -9.7% 50.5% 44.6%
Profit before income tax from continuing operations 441.0 327.8 768.8 435.1 1,203.9 256.7 691.8 1,460.6 266.2 557.4 823.6 473.2 1,296.8 438.6 911.8 1,735.4 -39.6% 70.0% 7.1% 8.7% 7.7% 70.8% 31.8% 18.8%
Income tax -108.1 -83.7 -191.8 -111.6 -303.4 -64.1 -175.7 -367.5 -67.2 -136.2 -203.4 -133.7 -337.1 -102.6 -236.4 -439.8 -37.8% 62.8% 6.1% 19.8% 11.1% 60.1% 34.5% 19.7%
Income tax rate 24.5% 25.5% 24.9% 25.7% 25.2% 25.0% 25.4% 25.2% 25.2% 24.4% 24.7% 28.3% 26.0% 23.4% 25.9% 25.3%
Profit after tax from continuing operations 332.9 244.1 577.0 323.5 900.5 192.6 516.1 1,093.1 199.1 421.1 620.2 339.5 959.7 335.9 675.4 1,295.6 -40.2% 72.5% 7.5% 4.9% 6.6% 74.4% 30.9% 18.5%
Profit after tax from discontinued operations 9.0 6.5 15.6 21.8 37.4 2,265.5 2,287.3 2,302.9 -9.6 49.7 40.2 2.4 42.6 -14.7 -12.2 27.9 n.m. 659.6% 157.9% -88.8% 14.1% n.m. n.m. -98.8%
Profit after tax 342.0 250.6 592.6 345.3 937.9 2,458.1 2,803.4 3,396.0 189.5 470.9 660.4 341.9 1,002.3 321.3 663.2 1,323.6 -44.6% 87.9% 11.4% -1.0% 6.9% -86.9% -76.3% -61.0%

of which: attributable to Merck KGaA shareholders (n 341.0 246.8 587.8 340.2 928.0 2,445.7 2,785.9 3,373.7 188.6 470.9 659.5 342.7 1,002.2 318.1 660.8 1,320.2 -44.7% 90.8% 12.2% 0.8% 8.0% -87.0% -76.3% -60.9%
of which: attributable to non-controlling interests 1.0 3.9 4.8 5.1 9.9 12.4 17.5 22.3 1.0 0.0 1.0 -0.8 0.1 3.2 2.4 3.3 -0.6% -100.0% -80.2% n.m. -98.7% -74.1% -86.4% -85.1%

EPS in € 0.78 0.57 1.35 0.78 2.13 5.63 6.41 7.76 0.43 1.08 1.52 0.79 2.31 0.73 1.52 3.04 -44.9% 89.5% 12.6% 1.3% 8.5% -87.0% -76.3% -60.8%
thereof from continuing operations 0.76 0.56 1.32 0.74 2.06 0.45 1.19 2.51 0.45 0.97 1.42 0.78 2.20 0.77 1.55 2.97 -40.8% 73.2% 7.6% 5.4% 6.8% 71.1% 30.3% 18.3%
thereof from discontinued operations 0.02 0.01 0.03 0.04 0.07 5.18 5.22 5.25 -0.02 0.11 0.09 0.01 0.10 -0.03 -0.02 0.07 n.m. >1.000% 200.0% -75.0% 42.9% n.m. n.m. -98.7%

EPS pre in €* 1.33 1.23 2.56 1.32 3.89 1.22 2.54 5.10 1.13 1.54 2.67 1.35 4.02 1.54 2.89 5.56 -15.4% 25.2% 4.3% 2.3% 3.3% 26.2% 13.8% 9.0%

Number of theoretical shares in million 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8

Reconciliation to EBITDA pre

EBITDA 924.2 840.1 1,764.4 918.7 2,683.0 844.5 1,763.1 3,527.5 852.8 1,073.9 1,926.7 1,072.3 2,999.0 1,067.3 2,139.6 4,066.3 -7.7% 27.8% 9.2% 16.7% 11.8% 26.4% 21.4% 15.3%
Adjustments
thereof: Cost of Sales 3.0 3.3 6.4 -4.6 1.8 43.0 38.4 44.8 16.0 3.4 19.4 7.3 26.7 29.4 36.7 56.1 423.9% 3.6% 204.5% n.m. >1.000% -31.5% -4.4% 25.3%
thereof: Marketing and selling expenses 0.4 1.9 2.3 1.4 3.7 9.2 10.5 12.9 3.0 4.8 7.8 1.9 9.7 0.6 2.5 10.3 572.9% 157.2% 237.1% 37.2% 162.2% -93.4% -76.3% -20.1%
thereof: Administration expenses 36.3 38.7 75.0 43.5 118.6 71.4 114.9 189.9 36.7 10.6 47.4 21.9 69.3 39.8 61.7 109.0 1.0% -72.5% -36.9% -49.7% -41.6% -44.3% -46.3% -42.6%
thereof: Other operating expenses/income 3.0 35.9 38.9 4.2 43.1 -20.5 -16.3 22.6 4.3 29.5 33.8 17.6 51.4 62.8 80.4 114.2 42.9% -17.9% -13.2% 322.8% 19.3% n.m. n.m. 406.2%
thereof: Research and development 0.1 0.1 0.1 0.1 0.2 2.2 2.2 2.4 15.7 17.1 32.8 -9.7 23.1 5.8 -3.9 28.9 >1.000% >1.000% >1.000% n.m. >1.000% 164.9% n.m. >1.000%
Total 42.9 79.9 122.8 44.6 167.3 105.2 149.7 272.5 75.7 65.4 141.1 39.0 180.1 138.4 177.3 318.5 76.5% -18.1% 14.9% -12.5% 7.6% 31.6% 18.4% 16.9%
EBITDA pre 967.1 920.0 1,887.1 963.3 2,850.4 949.6 1,912.9 3,800.0 928.5 1,139.3 2,067.8 1,111.3 3,179.1 1,205.7 2,316.9 4,384.8 -4.0% 23.8% 9.6% 15.4% 11.5% 27.0% 21.1% 15.4%
Sum of items may not foot due to rounding.
* for continuing operations
** only reflects impairments which classified as adjustments
Reconciliation to EBITDA, EBITDA pre and EPS pre
Group 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

a) Reconciliation to EBITDA and EBITDA pre

EBITDA
EBIT 502.2 392.4 894.6 491.0 1,385.6 340.9 832.0 1,726.5 378.8 618.4 997.3 608.0 1,605.3 514.6 1,122.7 2,120.0 -24.6% 57.6% 11.5% 23.8% 15.9% 51.0% 34.9% 22.8%
Depreciation and amortization 422.0 447.8 869.8 427.6 1,297.4 503.6 931.2 1,801.0 474.0 455.5 929.4 464.3 1,393.7 552.6 1,016.9 1,946.3 12.3% 1.7% 6.9% 8.6% 7.4% 9.7% 9.2% 8.1%
Regular depreciation and amortization* 132.6 141.5 274.1 136.6 410.7 160.7 297.3 571.3 207.1 186.0 393.0 192.4 585.4 232.6 425.0 818.0 56.1% 31.5% 43.4% 40.8% 42.5% 44.8% 43.0% 43.2%
Amortization of purchased intangible assets 289.4 288.9 578.3 286.5 864.8 309.8 596.3 1,174.6 266.9 269.5 536.4 263.5 799.9 319.4 582.9 1,119.2 -7.8% -6.7% -7.2% -8.0% -7.5% 3.1% -2.3% -4.7%
Impairments** 0.0 17.4 17.4 4.5 21.9 33.1 37.6 55.0 0.0 0.0 0.0 8.4 8.4 0.7 9.1 9.1 n.m. n.m. -99.9% 85.0% -61.7% -98.0% -75.9% -83.5%
Total 924.2 840.1 1,764.4 918.7 2,683.0 844.5 1,763.1 3,527.5 852.8 1,073.9 1,926.7 1,072.3 2,999.0 1,067.3 2,139.6 4,066.3 -7.7% 27.8% 9.2% 16.7% 11.8% 26.4% 21.4% 15.3%
Adjustments
Acquisition costs 0.6 0.3 0.8 0.9 1.7 0.0 1.0 1.8 0.2 0.2 0.4 0.1 0.4 83.4 83.4 83.8 -70.6% -17.5% -53.2% -93.3% -74.3% >1.000% >1.000% >1.000%
Restructuring costs 5.6 10.5 16.1 9.3 25.4 20.7 30.0 46.1 61.3 39.1 100.4 10.5 110.8 9.6 20.0 120.4 >1.000% 271.6% 522.4% 12.5% 335.7% -53.7% -33.1% 161.2%
Integration costs/IT costs 20.9 21.5 42.3 22.7 65.0 77.0 99.7 142.0 13.0 22.0 35.0 27.8 62.8 32.4 60.2 95.2 -37.6% 2.4% -17.3% 22.5% -3.4% -57.9% -39.6% -33.0%
Gain (-)/ losses (+) on the divestment of businesse 1.9 37.0 38.9 3.7 42.6 -18.0 -14.3 24.6 1.8 -1.7 0.1 -3.7 -3.6 9.5 5.8 5.9 -2.9% n.m. -99.7% n.m. n.m. n.m. n.m. -76.0%
Other one-time costs 14.0 10.6 24.6 8.0 32.6 25.4 33.4 58.0 -0.6 5.9 5.3 4.4 9.6 3.5 7.9 13.2 n.m. -44.7% -78.6% -45.2% -70.4% -86.1% -76.4% -77.3%
Total 42.9 79.9 122.8 44.6 167.3 105.2 149.7 272.5 75.7 65.4 141.1 39.0 180.1 138.4 177.3 318.5 76.5% -18.1% 14.9% -12.5% 7.6% 31.6% 18.4% 16.9%
EBITDA pre 967.1 920.0 1,887.1 963.3 2,850.4 949.6 1,912.9 3,800.0 928.5 1,139.3 2,067.8 1,111.3 3,179.1 1,205.7 2,316.9 4,384.8 -4.0% 23.8% 9.6% 15.4% 11.5% 27.0% 21.1% 15.4%

b) Reconciliation to EPS pre

1) Reconciliation starting from EBITDA pre
EBITDA pre 967.1 920.0 1,887.1 963.3 2,850.4 949.6 1,912.9 3,800.0 928.5 1,139.3 2,067.8 1,111.3 3,179.1 1,205.7 2,316.9 4,384.8 -4.0% 23.8% 9.6% 15.4% 11.5% 27.0% 21.1% 15.4%
Regular depreciation and amortization* -132.6 -141.5 -274.1 -136.6 -410.7 -160.7 -297.3 -571.3 -207.1 -186.0 -393.0 -192.4 -585.4 -232.6 -425.0 -818.0 56.1% 31.5% 43.4% 40.8% 42.5% 44.8% 43.0% 43.2%
Financial result -61.2 -64.6 -125.8 -55.9 -181.7 -84.2 -140.1 -265.9 -112.6 -61.1 -173.7 -134.9 -308.5 -76.1 -210.9 -384.6 83.9% -5.4% 38.1% 141.1% 69.8% -9.7% 50.5% 44.6%
Adjustments within Financial result 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 45.1 0.0 45.1 0.0 45.1 0.0 0.0 45.1
Profit before income tax pre 773.3 714.0 1,487.2 770.7 2,258.0 704.8 1,475.5 2,962.8 653.9 892.3 1,546.2 784.0 2,330.2 897.0 1,681.0 3,227.2 -15.4% 25.0% 4.0% 1.7% 3.2% 27.3% 13.9% 8.9%
Income tax pre -193.3 -178.5 -371.8 -192.7 -564.5 -176.2 -368.9 -740.7 -163.5 -223.1 -386.5 -196.0 -582.6 -224.2 -420.3 -806.8 -15.4% 25.0% 4.0% 1.7% 3.2% 27.3% 13.9% 8.9%
underlying tax rate 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0%
Non-controlling interest -0.8 -0.5 -1.3 -2.4 -3.7 0.6 -3.1 -3.1 -1.0 0.0 -1.0 0.8 -0.1 -3.2 -2.4 -3.3 24.3% -100.0% -23.6% n.m. -96.6% n.m. -22.6% 8.6%
Net income pre 579.2 535.0 1,114.2 575.6 1,689.8 529.2 1,103.6 2,219.1 489.5 669.2 1,158.7 588.8 1,747.5 669.5 1,258.4 2,417.1 -15.5% 25.1% 4.0% 2.3% 3.4% 26.5% 14.0% 8.9%
EPS pre in €*** 1.33 1.23 2.56 1.32 3.89 1.22 2.54 5.10 1.13 1.54 2.67 1.35 4.02 1.54 2.89 5.56 -15.5% 25.1% 4.0% 2.3% 3.4% 26.5% 14.0% 8.9%

2) Reconciliation starting from Profit before tax

Profit before income tax 441.0 327.8 768.8 435.1 1,203.9 256.7 691.8 1,460.6 266.2 557.4 823.6 473.2 1,296.8 438.6 911.8 1,735.4 -39.6% 70.0% 7.1% 8.7% 7.7% 70.8% 31.8% 18.8%
Amortization of purchased intangible assets 289.4 288.9 578.3 286.5 864.8 309.8 596.3 1,174.6 266.9 269.5 536.4 263.5 799.9 319.4 582.9 1,119.2 -7.8% -6.7% -7.2% -8.0% -7.5% 3.1% -2.3% -4.7%
Impairments** 0.0 17.4 17.4 4.5 21.9 33.1 37.6 55.0 0.0 0.0 0.0 8.4 8.4 0.7 9.1 9.1 n.m. n.m. -99.9% 85.0% -61.7% -98.0% -75.9% -83.5%
Adjustments
Acquisition costs 0.6 0.3 0.8 0.9 1.7 0.0 1.0 1.8 0.2 0.2 0.4 0.1 0.4 83.4 83.4 83.8 -70.6% -17.5% -53.2% -93.3% -74.3% >1.000% >1.000% >1.000%
Restructuring costs 5.6 10.5 16.1 9.3 25.4 20.7 30.0 46.1 61.3 39.1 100.4 10.5 110.8 9.6 20.0 120.4 >1.000% 271.6% 522.4% 12.5% 335.7% -53.7% -33.1% 161.2%
Integration costs/IT costs 20.9 21.5 42.3 22.7 65.0 77.0 99.7 142.0 13.0 22.0 35.0 27.8 62.8 32.4 60.2 95.2 -37.6% 2.4% -17.3% 22.5% -3.4% -57.9% -39.6% -33.0%
Gain (-)/ losses (+) on the divestment of businesse 1.9 37.0 38.9 3.7 42.6 -18.0 -14.3 24.6 1.8 -1.7 0.1 -3.7 -3.6 9.5 5.8 5.9 -2.9% n.m. -99.7% n.m. n.m. n.m. n.m. -76.0%
Other one-time costs 14.0 10.6 24.6 8.0 32.6 25.4 33.4 58.0 -0.6 5.9 5.3 4.4 9.6 3.5 7.9 13.2 n.m. -44.7% -78.6% -45.2% -70.4% -86.1% -76.4% -77.3%
Adjustments within Financial result 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 45.1 0.0 45.1 0.0 45.1 0.0 0.0 45.1
Total adjustments 42.9 79.9 122.8 44.6 167.3 105.2 149.7 272.5 120.7 65.4 186.2 39.0 225.1 138.4 177.3 363.5 181.5% -18.1% 51.6% -12.5% 34.6% 31.6% 18.4% 33.4%
Profit before income tax pre 773.3 714.0 1,487.2 770.7 2,257.9 704.8 1,475.4 2,962.7 653.9 892.3 1,546.2 784.0 2,330.2 897.0 1,681.0 3,227.2 -15.4% 25.0% 4.0% 1.7% 3.2% 27.3% 13.9% 8.9%
Income tax pre -193.3 -178.5 -371.8 -192.7 -564.5 -176.2 -368.9 -740.7 -163.5 -223.1 -386.5 -196.0 -582.6 -224.2 -420.3 -806.8 -15.4% 25.0% 4.0% 1.7% 3.2% 27.3% 13.9% 8.9%
underlying tax rate 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0% 25.0%
Total costs excluded from Net income 238.2 288.2 526.4 235.4 761.8 -1,916.6 -1,682.4 -1,154.7 300.9 198.3 499.2 246.1 745.4 351.5 597.6 1,096.8 26.3% -31.2% -5.2% 4.5% -2.2% n.m. n.m. n.m.
Total costs excluded from EPS in € 0.55 0.66 1.21 0.54 1.75 -4.41 -3.87 -2.66 0.69 0.46 1.15 0.57 1.71 0.81 1.37 2.52 25.5% -30.3% -5.0% 5.6% -2.3% n.m. n.m. n.m.
Non-controlling interest -0.8 -0.5 -1.3 -2.4 -3.7 0.6 -3.1 -3.1 -1.0 0.0 -1.0 0.8 -0.1 -3.2 -2.4 -3.3 24.3% -100.0% -23.6% n.m. -96.6% n.m. -22.6% 8.6%
Net income pre 579.2 535.0 1,114.2 575.6 1,689.8 529.2 1,103.5 2,218.9 489.5 669.2 1,158.7 588.8 1,747.5 669.5 1,258.4 2,417.1 -15.5% 25.1% 4.0% 2.3% 3.4% 26.5% 14.0% 8.9%
EPS pre in €*** 1.33 1.23 2.56 1.32 3.89 1.22 2.54 5.10 1.13 1.54 2.67 1.35 4.02 1.54 2.89 5.56 -15.4% 25.2% 4.3% 2.3% 3.3% 26.2% 13.8% 9.0%

Number of theoretical shares in million 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8 434.8

* Regular depreciation and amortization = Depreciation and amortization - Amortization of purchased intangible assets - Impairments
** only reflects impairments which classified as adjustments
*** for continuing operations

Sum of items may not foot due to rounding.

Breakdown of depreciation and amortization and adjustments
Group 2018 2019 Change YoY
€ million Division Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

a) Depreciation and amortization

Regular depreciation and amortization* all 132.6 141.5 274.1 136.6 410.7 160.7 297.3 571.4 207.1 186.0 393.0 192.4 585.4 232.6 425.0 818.0 56.1% 31.5% 43.4% 40.8% 42.5% 44.8% 43.0% 43.2%
Amortization of purchased intangible assets
Healthcare HC 139.3 135.1 274.4 135.0 409.4 154.7 289.7 564.1 113.3 113.4 226.7 113.2 339.8 112.9 226.0 452.7 -18.6% -16.1% -17.4% -16.2% -17.0% -27.0% -22.0% -19.7%
Life Science LS 118.5 121.4 239.9 119.5 359.4 122.2 241.6 481.6 122.0 123.8 245.8 118.0 363.9 118.2 236.2 482.1 3.0% 2.0% 2.5% -1.2% 1.2% -3.3% -2.2% 0.1%
Performance Materials PM 31.6 32.4 64.0 32.0 96.0 33.0 65.0 128.9 31.5 32.3 63.9 32.3 96.2 88.3 120.6 184.5 -0.1% -0.2% -0.2% 0.9% 0.2% 168.0% 85.7% 43.1%
Total 289.4 288.9 578.3 286.5 864.8 309.8 596.3 1,174.6 266.9 269.5 536.4 263.5 799.9 319.4 582.9 1,119.2 -7.8% -6.7% -7.2% -8.0% -7.5% 3.1% -2.3% -4.7%
Impairments** all 0.0 17.4 17.4 4.5 21.9 33.1 37.6 55.0 0.0 0.0 0.0 8.4 8.4 0.7 9.1 9.1 n.m. n.m. -99.9% 85.0% -61.7% -98.0% -75.9% -83.5%
Total depreciation and amortization 422.0 447.8 869.8 427.6 1,297.4 503.6 931.2 1,801.0 474.0 455.5 929.4 464.3 1,393.7 552.6 1,016.9 1,946.3 12.3% 1.7% 6.9% 8.6% 7.4% 9.7% 9.2% 8.1%

b) Adjustments
Acquisition costs 0.6 0.3 0.8 0.9 1.7 0.0 1.0 1.8 0.2 0.2 0.4 0.1 0.4 83.4 83.4 83.8 -70.6% -17.5% -53.2% -93.3% -74.3% >1.000% >1.000% >1.000%
Restructuring costs
Healthcare HC -0.7 0.7 -0.1 5.3 5.3 6.3 11.6 11.5 0.1 4.7 4.8 1.5 6.3 10.7 12.2 17.0 n.m. 614.4% n.m. -71.9% 19.6% 71.2% 5.3% 47.6%
Life Science LS 0.2 1.0 1.2 -1.6 -0.4 3.3 1.7 2.9 1.1 3.8 4.9 6.1 11.0 1.5 7.6 12.5 625.4% 270.2% 317.7% n.m. n.m. -54.0% 344.6% 333.6%
Performance Materials PM 0.0 0.0 0.0 0.0 0.0 1.1 1.1 1.2 34.1 26.3 60.5 0.9 61.3 -0.4 0.4 60.9 >1.000% >1.000% >1.000% >1.000% >1.000% n.m. -62.5% >1.000%
Corporate/Others CO 6.2 8.8 15.0 5.6 20.6 9.9 15.5 30.5 25.9 4.3 30.2 2.0 32.2 -2.2 -0.2 30.0 319.9% -51.3% 101.2% -63.5% 56.5% n.m. n.m. -1.7%
Total 5.6 10.5 16.1 9.3 25.4 20.7 30.0 46.1 61.3 39.1 100.4 10.5 110.8 9.6 20.0 120.4 >1.000% 271.6% 522.4% 12.5% 335.7% -53.7% -33.1% 161.2%
Integration costs/IT costs
Integration Cost LS/PM/CO 7.6 4.0 11.6 8.9 20.5 48.2 57.1 68.7 0.6 2.4 3.0 4.1 7.1 7.7 11.9 14.8 -92.3% -40.5% -74.5% -53.5% -65.4% -84.0% -79.2% -78.4%
ERP/HR systems all 13.2 17.5 30.7 13.8 44.5 28.8 42.6 73.3 12.4 19.6 32.1 23.6 55.7 24.7 48.3 80.4 -6.1% 12.2% 4.3% 71.7% 25.1% -14.3% 13.4% 9.6%
Total 20.9 21.5 42.3 22.7 65.0 77.0 99.7 142.0 13.0 22.0 35.0 27.8 62.8 32.4 60.2 95.2 -37.6% 2.4% -17.3% 22.5% -3.4% -57.9% -39.6% -33.0%
Gain (-)/ losses (+) on the divestment of businesses
Costs related to former business activities CO 2.1 0.2 2.3 5.5 7.8 -1.1 4.4 6.7 0.0 0.0 0.0 0.5 0.5 0.8 1.3 1.3 -99.9% n.m. -100.0% -90.9% -93.6% n.m. -70.9% -80.9%
Costs related to former business activities PM 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.2 0.2 0.2 n.m. -100.0% -100.0% n.m. -100.0% n.m. n.m. >1.000%
Sale of Kuvan, Biosimilars, Consumer Healt HC 0.0 36.8 36.7 -1.8 34.9 -9.0 -10.8 25.9 0.8 -3.0 -2.1 -6.4 -8.5 4.0 -2.4 -4.5 n.m. n.m. n.m. 251.4% n.m. n.m. -78.0% n.m.
Costs related to former business activities LS -0.2 0.0 -0.2 0.0 -0.2 -7.9 -7.9 -8.0 1.0 1.2 2.2 2.2 4.4 4.5 6.7 8.9 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Total 1.9 37.0 38.9 3.7 42.6 -18.0 -14.3 24.6 1.8 -1.7 0.1 -3.7 -3.6 9.5 5.8 5.9 -2.9% n.m. -99.7% n.m. n.m. n.m. n.m. -76.0%
Other one-time costs
HC 0.6 -0.9 -0.3 0.6 0.3 7.7 8.3 8.0 0.1 0.1 0.1 0.0 0.1 -0.1 -0.1 0.0 -89.4% n.m. n.m. n.m. -62.2% n.m. n.m. -99.5%
LS 0.9 -0.2 0.8 0.0 0.7 2.3 2.2 3.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -99.8% n.m. -97.6% -57.8% -98.6% n.m. n.m. n.m.
Others
PM 0.8 0.1 0.9 0.0 0.9 -0.2 -0.2 0.7 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -97.7% -99.8% n.m. -99.9% n.m. n.m. -95.7%
CO 11.7 11.6 23.2 7.4 30.6 15.7 23.1 46.3 -0.7 5.8 5.1 4.4 9.5 3.6 8.0 13.1 n.m. -50.0% -77.9% -40.7% -69.0% -77.1% -65.4% -71.7%
Total 14.0 10.6 24.6 8.0 32.6 25.4 33.4 58.0 -0.6 5.9 5.3 4.4 9.6 3.5 7.9 13.2 n.m. -44.7% -78.6% -45.2% -70.4% -86.1% -76.4% -77.3%
Total adjustments 42.9 79.9 122.8 44.6 167.3 105.2 149.7 272.5 75.7 65.4 141.1 39.0 180.1 138.4 177.3 318.5 76.5% -18.1% 14.9% -12.5% 7.6% 31.6% 18.4% 16.9%

* Regular depreciation and amortization = Depreciation and amortization - Amortization of purchased intangible assets - Impairments
** only reflects impairments which classified as adjustments

Sum of items may not foot due to rounding.

Income Statement Merck KGaA, Darmstadt, Germany
Healthcare 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Net sales 1,434.5 1,584.2 3,018.7 1,596.4 4,615.1 1,630.4 3,226.8 6,245.5 1,480.6 1,677.0 3,157.6 1,755.8 4,913.5 1,800.3 3,556.2 6,713.8 3.2% 5.9% 4.6% 10.0% 6.5% 10.4% 10.2% 7.5%
Cost of sales -333.6 -343.0 -676.6 -363.8 -1,040.4 -384.7 -748.5 -1,425.2 -324.9 -421.2 -746.1 -417.8 -1,163.9 -441.3 -859.1 -1,605.2 -2.6% 22.8% 10.3% 14.8% 11.9% 14.7% 14.8% 12.6%
thereof amortization of intangible assets -0.8 -0.8 -1.6 -0.8 -2.5 -0.8 -1.6 -3.3 -0.8 -1.1 -1.9 -0.9 -2.8 -0.9 -1.9 -3.8 0.5% 28.0% 14.3% 14.3% 14.3% 13.9% 14.1% 14.2%
Gross profit 1,100.9 1,241.2 2,342.1 1,232.6 3,574.7 1,245.7 2,478.3 4,820.4 1,155.7 1,255.8 2,411.5 1,338.0 3,749.5 1,359.0 2,697.0 5,108.5 5.0% 1.2% 3.0% 8.6% 4.9% 9.1% 8.8% 6.0%
in % of net sales 76.7% 78.4% 77.6% 77.2% 77.5% 76.4% 76.8% 77.2% 78.1% 74.9% 76.4% 76.2% 76.3% 75.5% 75.8% 76.1%
SG&A -527.6 -679.2 -1,206.8 -632.1 -1,838.9 -563.0 -1,195.1 -2,401.9 -647.7 -516.0 -1,163.7 -584.0 -1,747.7 -545.8 -1,129.8 -2,293.5 22.8% -24.0% -3.6% -7.6% -5.0% -3.1% -5.5% -4.5%
in % of net sales 36.8% 42.9% 40.0% 39.6% 39.8% 34.5% 37.0% 38.5% 43.7% 30.8% 36.9% 33.3% 35.6% 30.3% 31.8% 34.2%
Marketing and selling expenses -550.4 -591.6 -1,142.1 -573.1 -1,715.1 -633.6 -1,206.7 -2,348.7 -550.4 -599.4 -1,149.8 -560.5 -1,710.3 -594.9 -1,155.4 -2,305.2 0.0% 1.3% 0.7% -2.2% -0.3% -6.1% -4.2% -1.9%
thereof amortization of intangible assets (M&S) -138.1 -134.0 -272.1 -133.9 -406.0 -133.8 -267.6 -539.8 -112.2 -112.2 -224.3 -110.8 -335.1 -107.4 -218.2 -442.5 -18.8% -16.3% -17.6% -17.2% -17.5% -19.7% -18.5% -18.0%
Administration expenses -76.9 -82.1 -159.0 -81.5 -240.5 -88.8 -170.3 -329.4 -87.5 -84.1 -171.7 -82.4 -254.0 -90.2 -172.5 -344.2 13.8% 2.5% 7.9% 1.1% 5.6% 1.5% 1.3% 4.5%
Impairment losses and reversals (IFRS 9) -0.5 -4.9 -5.4 -2.9 -8.3 5.3 2.4 -3.0 -3.6 2.3 -1.2 0.7 -0.5 -0.6 0.1 -1.1 657.6% n.m. -77.3% n.m. -93.7% n.m. -96.6% -61.7%
Other operating expenses/income 100.2 -0.6 99.7 25.4 125.1 154.1 179.5 279.2 -6.2 165.2 159.0 58.2 217.2 139.9 198.1 357.0 n.m. n.m. 59.5% 129.0% 73.6% -9.2% 10.3% 27.9%
Impairments** 0.0 0.0 0.0 0.0 0.0 -11.4 -11.4 -11.4 0.0 0.0 0.0 0.0 0.0 -1.1 -1.1 -1.1 n.m. n.m. n.m. -100.0% -100.0% -90.5% -90.5% -90.5%
Research and development -378.5 -406.6 -785.1 -409.4 -1,194.5 -492.6 -902.0 -1,687.0 -380.3 -394.6 -774.9 -428.7 -1,203.6 -462.0 -890.7 -1,665.6 0.5% -2.9% -1.3% 4.7% 0.8% -6.2% -1.3% -1.3%
in % of net sales 26.4% 25.7% 26.0% 25.6% 25.9% 30.2% 28.0% 27.0% 25.7% 23.5% 24.5% 24.4% 24.5% 25.7% 25.0% 24.8%
thereof amortization of intangible assets (R&D) -0.4 -0.4 -0.7 -0.4 -1.1 -20.1 -20.5 -21.2 -0.4 -0.2 -0.6 -1.5 -2.0 -4.6 -6.0 -6.6 -0.1% -49.9% -25.0% 296.7% 82.3% -77.3% -70.6% -69.0%
EBIT 194.7 155.4 350.2 191.1 541.3 190.1 381.3 731.4 127.8 345.1 472.9 325.4 798.2 351.2 676.6 1,149.5 -34.4% 122.0% 35.0% 70.2% 47.5% 84.7% 77.5% 57.2%
in % of net sales 13.6% 9.8% 11.6% 12.0% 11.7% 11.7% 11.8% 11.7% 8.6% 20.6% 15.0% 18.5% 16.2% 19.5% 19.0% 17.1%
Depreciation and amortization 183.9 182.9 366.8 181.1 547.8 213.0 394.1 760.8 201.3 177.4 378.7 178.2 556.9 190.0 368.2 746.9 9.5% -3.0% 3.3% -1.6% 1.7% -10.8% -6.6% -1.8%
EBITDA 378.6 338.3 716.9 372.2 1,089.1 403.1 775.3 1,492.2 329.1 522.5 851.6 503.5 1,355.1 541.2 1,044.8 1,896.4 -13.1% 54.5% 18.8% 35.3% 24.4% 34.3% 34.8% 27.1%
in % of net sales 26.4% 21.4% 23.8% 23.3% 23.6% 24.7% 24.0% 23.9% 22.2% 31.2% 27.0% 28.7% 27.6% 30.1% 29.4% 28.2%
EBITDA pre 381.4 378.5 759.9 381.5 1,141.4 414.3 795.8 1,555.7 332.0 527.8 859.8 500.8 1,360.6 561.1 1,061.9 1,921.7 -13.0% 39.5% 13.2% 31.3% 19.2% 35.4% 33.4% 23.5%
in % of net sales 26.6% 23.9% 25.2% 23.9% 24.7% 25.4% 24.7% 24.9% 22.4% 31.5% 27.2% 28.5% 27.7% 31.2% 29.9% 28.6%

Reconciliation to EBITDA pre

EBITDA 378.6 338.3 716.9 372.2 1,089.1 403.1 775.3 1,492.2 329.1 522.5 851.6 503.5 1,355.1 541.2 1,044.8 1,896.4 -13.1% 54.5% 18.8% 35.3% 24.4% 34.3% 34.8% 27.1%
Adjustments
thereof: Cost of Sales 0.2 -0.3 -0.1 0.0 -0.1 6.6 6.6 6.5 0.0 0.0 0.0 0.0 0.0 0.2 0.2 0.2 -100.0% -100.0% -100.0% -100.0% -100.0% -97.5% -97.5% -97.5%
thereof: Marketing and selling expenses -0.4 0.1 -0.3 1.6 1.3 8.8 10.4 10.1 0.0 0.1 0.1 2.4 2.5 0.1 2.5 2.6 -100.0% 10.4% n.m. 48.4% 91.2% -98.9% -76.1% -74.4%
thereof: Administration expenses 3.0 3.6 6.6 9.1 15.7 12.7 21.7 28.4 1.7 2.9 4.6 1.6 6.2 9.3 10.9 15.4 -43.4% -20.1% -30.8% -82.6% -60.7% -26.9% -50.1% -45.6%
thereof: Other operating expenses/income 0.0 36.8 36.8 -1.4 35.3 -17.8 -19.2 17.5 1.2 2.3 3.6 -7.5 -4.0 8.9 1.4 5.0 n.m. -93.6% -90.3% 424.0% n.m. n.m. n.m. -71.7%
thereof: Research and development 0.0 0.0 -0.1 0.0 -0.1 1.0 1.0 0.9 0.0 0.0 0.0 0.8 0.8 1.4 2.2 2.2 -100.0% n.m. n.m. n.m. n.m. 42.9% 131.4% 146.8%
Total 2.7 40.2 42.9 9.2 52.2 11.2 20.4 63.4 2.9 5.3 8.2 -2.8 5.5 19.9 17.1 25.4 6.9% -86.8% -80.8% n.m. -89.5% 77.4% -16.4% -60.0%
EBITDA pre 381.4 378.5 759.9 381.5 1,141.4 414.3 795.8 1,555.7 332.0 527.8 859.8 500.8 1,360.6 561.1 1,061.9 1,921.7 -13.0% 39.5% 13.2% 31.3% 19.2% 35.4% 33.4% 23.5%

Sum of items may not foot due to rounding.

Detailed reconciliation - Healthcare
2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

EBIT 194.7 155.4 350.2 191.1 541.3 190.1 381.3 731.4 127.8 345.1 472.9 325.4 798.2 351.2 676.6 1,149.5 -34.4% 122.0% 35.0% 70.2% 47.5% 84.7% 77.5% 57.2%
Regular depreciation and amortization* 44.6 47.7 92.4 46.1 138.4 46.9 93.0 185.3 88.0 64.1 152.0 65.0 217.0 76.1 141.1 293.1 97.1% 34.2% 64.6% 41.1% 56.8% 62.4% 51.8% 58.2%
Amortization of purchased intangible assets 139.3 135.1 274.4 135.0 409.4 154.7 289.7 564.1 113.3 113.4 226.7 113.2 339.8 112.9 226.0 452.7 -18.6% -16.1% -17.4% -16.2% -17.0% -27.0% -22.0% -19.7%
Impairments** 0.0 0.0 0.0 0.0 0.0 11.4 11.4 11.4 0.0 0.0 0.0 0.0 0.0 1.1 1.1 1.1 n.m. n.m. n.m. -100.0% -100.0% -90.5% -90.5% -90.5%
Total depreciation and amortization 183.9 182.9 366.8 181.1 547.8 213.0 394.1 760.8 201.3 177.4 378.7 178.2 556.9 190.0 368.2 746.9 9.5% -3.0% 3.3% -1.6% 1.7% -10.8% -6.6% -1.8%
EBITDA 378.6 338.3 716.9 372.2 1,089.1 403.1 775.3 1,492.2 329.1 522.5 851.6 503.5 1,355.1 541.2 1,044.8 1,896.4 -13.1% 54.5% 18.8% 35.3% 24.4% 34.3% 34.8% 27.1%

Adjustments
Acquisition costs 0.1 -0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -100.0% n.m. n.m. n.m. n.m. n.m. n.m.
Restructuring costs
Restructuring costs -0.7 0.7 -0.1 5.3 5.3 6.3 11.6 11.5 0.1 4.7 4.8 1.5 6.3 10.7 12.2 17.0 n.m. 614.4% n.m. -71.9% 19.6% 71.2% 5.3% 47.6%
Total -0.7 0.7 -0.1 5.3 5.3 6.3 11.6 11.5 0.1 4.7 4.8 1.5 6.3 10.7 12.2 17.0 n.m. 614.4% n.m. -71.9% 19.6% 71.2% 5.3% 47.6%
Integration costs/IT costs
Integration Cost 0.0 0.0 0.0 0.0 0.0 0.7 0.7 0.8 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -100.0% -100.0% -100.0% -100.0% -100.0% -100.0% -100.0%
ERP/HR systems 2.8 3.7 6.5 5.1 11.7 5.5 10.6 17.1 1.9 3.6 5.4 2.1 7.5 5.3 7.4 12.8 -33.6% -3.1% -16.4% -59.3% -35.3% -3.4% -30.5% -25.1%
Total 2.8 3.7 6.5 5.1 11.7 6.2 11.4 17.9 1.9 3.6 5.4 2.1 7.5 5.3 7.4 12.8 -33.7% -3.7% -16.7% -59.3% -35.5% -15.0% -35.1% -28.4%
Gain (-)/ losses (+) on the divestment of businesses
Sale of Kuvan and Biosimilars 0.0 36.8 36.7 -1.8 34.9 -9.0 -10.8 25.9 0.0 -4.9 -4.8 0.0 -4.8 1.0 1.0 -3.8 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Sale of Consumer Health 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.8 1.9 2.7 -6.4 -3.7 2.9 -3.5 -0.8 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Others 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.1
Total 0.0 36.8 36.7 -1.8 34.9 -9.0 -10.8 25.9 0.8 -3.0 -2.1 -6.3 -8.5 4.0 -2.4 -4.5 n.m. n.m. n.m. 251.0% n.m. n.m. -78.0% n.m.
Other one-time costs
Others 0.6 -0.9 -0.3 0.6 0.3 7.7 8.3 8.0 0.1 0.1 0.1 0.0 0.1 -0.1 -0.1 0.0 -89.4% n.m. n.m. n.m. -62.2% n.m. n.m. -99.5%
Total 0.6 -0.9 -0.3 0.6 0.3 7.7 8.3 8.0 0.1 0.1 0.1 0.0 0.1 -0.1 -0.1 0.0 -89.4% n.m. n.m. n.m. -62.2% n.m. n.m. -99.5%
Total adjustments 2.7 40.2 42.9 9.2 52.2 11.2 20.4 63.4 2.9 5.3 8.2 -2.8 5.5 19.9 17.1 25.4 6.8% -86.8% -80.8% n.m. -89.5% 77.4% -16.3% -60.0%
EBITDA pre 381.4 378.5 759.9 381.5 1,141.4 414.3 795.8 1,555.7 332.0 527.8 859.8 500.8 1,360.6 561.1 1,061.9 1,921.7 -13.0% 39.5% 13.2% 31.3% 19.2% 35.4% 33.4% 23.5%

* Regular depreciation and amortization = Depreciation and amortization - Amortization of purchased intangible assets - Impairments
** only reflects impairments which classified as adjustments

Sum of items may not foot due to rounding.

Income Statement Merck KGaA, Darmstadt, Germany
Life Science 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Net sales 1,487.2 1,542.8 3,030.1 1,527.4 4,557.5 1,627.7 3,155.1 6,185.2 1,661.0 1,705.5 3,366.5 1,715.2 5,081.7 1,782.6 3,497.9 6,864.3 11.7% 10.5% 11.1% 12.3% 11.5% 9.5% 10.9% 11.0%
Cost of sales -650.1 -677.4 -1,327.5 -656.2 -1,983.8 -738.9 -1,395.1 -2,722.6 -719.0 -723.9 -1,442.9 -747.8 -2,190.7 -770.8 -1,518.6 -2,961.5 10.6% 6.9% 8.7% 14.0% 10.4% 4.3% 8.9% 8.8%
thereof amortization of intangible assets -14.4 -14.6 -29.0 -14.7 -43.7 -14.9 -29.6 -58.6 -14.4 -14.5 -28.9 -14.6 -43.5 -15.0 -29.6 -58.5 0.2% -0.8% -0.3% -0.7% -0.4% 0.6% 0.0% -0.2%
Gross profit 837.1 865.4 1,702.5 871.2 2,573.7 888.9 1,760.1 3,462.6 942.0 981.6 1,923.6 967.4 2,891.0 1,011.8 1,979.2 3,902.8 12.5% 13.4% 13.0% 11.0% 12.3% 13.8% 12.5% 12.7%
in % of net sales 56.3% 56.1% 56.2% 57.0% 56.5% 54.6% 55.8% 56.0% 56.7% 57.6% 57.1% 56.4% 56.9% 56.8% 56.6% 56.9%
SG&A -504.6 -550.5 -1,055.1 -535.4 -1,590.4 -585.6 -1,121.0 -2,176.1 -566.8 -590.5 -1,157.3 -584.2 -1,741.4 -604.7 -1,188.9 -2,346.2 12.3% 7.3% 9.7% 9.1% 9.5% 3.3% 6.1% 7.8%
in % of net sales 33.9% 35.7% 34.8% 35.0% 34.9% 36.0% 35.5% 35.2% 34.1% 34.6% 34.4% 34.1% 34.3% 33.9% 34.0% 34.2%
Marketing and selling expenses -409.1 -452.2 -861.3 -442.8 -1,304.1 -472.8 -915.6 -1,776.9 -469.5 -489.8 -959.3 -474.4 -1,433.7 -489.9 -964.3 -1,923.6 14.8% 8.3% 11.4% 7.2% 9.9% 3.6% 5.3% 8.3%
thereof amortization of intangible assets (M&S) -104.1 -106.7 -210.8 -104.7 -315.6 -107.3 -212.0 -422.8 -107.6 -109.3 -216.9 -103.4 -320.3 -103.2 -206.6 -423.5 3.4% 2.4% 2.9% -1.3% 1.5% -3.8% -2.6% 0.2%
Administration expenses -77.8 -65.5 -143.3 -84.9 -228.2 -106.4 -191.3 -334.6 -87.5 -68.4 -155.9 -83.2 -239.1 -101.9 -185.1 -341.1 12.5% 4.5% 8.9% -2.0% 4.8% -4.2% -3.3% 1.9%
Impairment losses and reversals (IFRS 9) -1.4 -0.4 -1.8 0.1 -1.7 -2.6 -2.5 -4.3 0.0 -0.3 -0.3 -2.6 -2.9 -3.8 -6.4 -6.7 n.m. -28.2% -84.7% n.m. 70.2% 46.9% 161.9% 56.1%
Other operating expenses/income -16.4 -32.3 -48.7 -7.8 -56.5 -3.8 -11.6 -60.3 -9.8 -32.0 -41.8 -23.9 -65.7 -9.1 -33.1 -74.8 -40.3% -1.0% -14.2% 205.9% 16.3% 140.5% 184.6% 24.1%
Impairments** 0.0 -16.3 -16.3 -4.6 -20.8 -2.1 -6.6 -22.9 0.0 0.0 0.0 -0.1 -0.1 0.0 -0.1 -0.1 n.m. n.m. -99.9% -98.0% -99.5% -99.0% -98.3% -99.4%
Research and development -59.5 -60.9 -120.4 -59.1 -179.5 -71.4 -130.6 -251.0 -61.8 -69.4 -131.2 -67.3 -198.5 -77.7 -145.0 -276.2 3.9% 13.9% 9.0% 13.8% 10.6% 8.8% 11.1% 10.1%
in % of net sales 4.0% 3.9% 4.0% 3.9% 3.9% 4.4% 4.1% 4.1% 3.7% 4.1% 3.9% 3.9% 3.9% 4.4% 4.1% 4.0%
thereof amortization of intangible assets (R&D) -0.1 0.0 -0.1 0.0 -0.1 0.0 0.0 -0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -92.5% -88.2% -90.8% 5.8% -86.7% 90.4% 48.6% -79.3%
EBIT 273.0 254.0 527.0 276.7 803.8 231.8 508.5 1,035.6 313.4 321.7 635.1 316.0 951.1 329.3 645.3 1,280.4 14.8% 26.6% 20.5% 14.2% 18.3% 42.1% 26.9% 23.6%
in % of net sales 18.4% 16.5% 17.4% 18.1% 17.6% 14.2% 16.1% 16.7% 18.9% 18.9% 18.9% 18.4% 18.7% 18.5% 18.4% 18.7%
Depreciation and amortization 168.6 188.4 357.1 172.6 529.6 189.8 362.3 719.4 193.5 196.6 390.1 194.9 584.9 204.4 399.2 789.3 14.7% 4.3% 9.2% 12.9% 10.4% 7.7% 10.2% 9.7%
EBITDA 441.6 442.5 884.1 449.3 1,333.4 421.6 870.9 1,755.0 506.8 518.3 1,025.1 510.9 1,536.0 533.7 1,044.6 2,069.7 14.8% 17.1% 16.0% 13.7% 15.2% 26.6% 19.9% 17.9%
in % of net sales 29.7% 28.7% 29.2% 29.4% 29.3% 25.9% 27.6% 28.4% 30.5% 30.4% 30.5% 29.8% 30.2% 29.9% 29.9% 30.2%
EBITDA pre 454.6 451.8 906.4 460.3 1,366.7 473.6 933.9 1,840.3 515.7 533.3 1,049.0 531.1 1,580.1 548.7 1,079.8 2,128.9 13.5% 18.0% 15.7% 15.4% 15.6% 15.9% 15.6% 15.7%
in % of net sales 30.6% 29.3% 29.9% 30.1% 30.0% 29.1% 29.6% 29.8% 31.0% 31.3% 31.2% 31.0% 31.1% 30.8% 30.9% 31.0%

Reconciliation to EBITDA pre

EBITDA 441.6 442.5 884.1 449.3 1,333.4 421.6 870.9 1,755.0 506.8 518.3 1,025.1 510.9 1,536.0 533.7 1,044.6 2,069.7 14.8% 17.1% 16.0% 13.7% 15.2% 26.6% 19.9% 17.9%
Adjustments
thereof: Cost of Sales 2.8 3.4 6.2 -4.6 1.6 35.9 31.3 37.6 0.7 0.5 1.2 2.3 3.4 1.6 3.8 5.0 -75.5% -86.0% -81.3% n.m. 111.4% -95.6% -87.7% -86.6%
thereof: Marketing and selling expenses 0.8 1.6 2.4 -0.2 2.1 0.2 0.0 2.3 0.5 0.1 0.7 0.9 1.6 0.0 0.9 1.5 -33.1% -91.8% -72.0% n.m. -26.6% n.m. n.m. -34.4%
thereof: Administration expenses 8.3 5.4 13.7 15.6 29.3 23.1 38.7 52.4 6.1 -0.6 5.5 6.0 11.6 22.1 28.2 33.7 -25.9% n.m. -59.5% -61.4% -60.5% -4.2% -27.3% -35.7%
thereof: Other operating expenses/income 1.0 -1.2 -0.2 0.2 -0.1 -8.4 -8.2 -8.5 1.4 14.9 16.3 11.1 27.4 -8.7 2.4 18.8 40.7% n.m. n.m. >1.000% n.m. 3.8% n.m. n.m.
thereof: Research and development 0.1 0.1 0.2 0.2 0.3 1.1 1.3 1.5 0.2 0.0 0.2 0.0 0.2 0.0 0.0 0.1 109.5% -79.2% 13.0% -90.3% -35.3% -100.0% -98.7% -93.4%
Total 13.0 9.3 22.3 11.0 33.3 52.0 63.1 85.3 8.9 15.0 23.9 20.3 44.1 15.0 35.3 59.1 -31.2% 61.2% 7.4% 83.5% 32.6% -71.2% -44.1% -30.7%
EBITDA pre 454.6 451.8 906.4 460.3 1,366.7 473.6 933.9 1,840.3 515.7 533.3 1,049.0 531.1 1,580.1 548.7 1,079.8 2,128.9 13.5% 18.0% 15.7% 15.4% 15.6% 15.9% 15.6% 15.7%

Sum of items may not foot due to rounding.

Detailed reconciliation - Life Science
2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

EBIT 273.0 254.0 527.0 276.7 803.8 231.8 508.5 1,035.6 313.4 321.7 635.1 316.0 951.1 329.3 645.3 1,280.4 14.8% 26.6% 20.5% 14.2% 18.3% 42.1% 26.9% 23.6%
Regular depreciation and amortization* 50.1 50.8 100.9 48.5 149.4 65.5 114.1 214.9 71.4 72.8 144.2 76.8 221.0 86.2 162.9 307.1 42.6% 43.3% 43.0% 58.2% 47.9% 31.5% 42.8% 42.9%
Amortization of purchased intangible assets 118.5 121.4 239.9 119.5 359.4 122.2 241.6 481.6 122.0 123.8 245.8 118.0 363.9 118.2 236.2 482.1 3.0% 2.0% 2.5% -1.2% 1.2% -3.3% -2.2% 0.1%
Impairments** 0.0 16.3 16.3 4.6 20.8 2.1 6.6 22.9 0.0 0.0 0.0 0.1 0.1 0.0 0.1 0.1 n.m. n.m. -99.9% -98.0% -99.5% -99.0% -98.3% -99.4%
Total depreciation and amortization 168.6 188.4 357.1 172.6 529.6 189.8 362.3 719.4 193.5 196.6 390.1 194.9 584.9 204.4 399.2 789.3 14.7% 4.3% 9.2% 12.9% 10.4% 7.7% 10.2% 9.7%
EBITDA 441.6 442.5 884.1 449.3 1,333.4 421.6 870.9 1,755.0 506.8 518.3 1,025.1 510.9 1,536.0 533.7 1,044.6 2,069.7 14.8% 17.1% 16.0% 13.7% 15.2% 26.6% 19.9% 17.9%

Adjustments
Acquisition costs 0.5 0.3 0.8 0.9 1.7 0.0 1.0 1.8 0.2 0.2 0.4 0.1 0.4 1.6 1.7 2.0 -67.0% -32.5% -53.2% -93.3% -74.3% >1.000% 72.5% 14.5%
Restructuring costs
Restructuring costs 0.2 1.0 1.2 -1.6 -0.4 3.3 1.7 2.9 1.1 3.8 4.9 6.1 11.0 1.5 7.6 12.5 625.4% 270.2% 317.7% n.m. n.m. -54.0% 344.6% 333.6%
Total 0.2 1.0 1.2 -1.6 -0.4 3.3 1.7 2.9 1.1 3.8 4.9 6.1 11.0 1.5 7.6 12.5 625.4% 270.2% 317.7% n.m. n.m. -54.0% 344.6% 333.6%
Integration costs/IT costs
Integration Cost 7.3 4.0 11.3 8.7 20.0 46.7 55.3 66.6 0.6 1.0 1.5 0.8 2.3 0.2 1.0 2.5 -92.0% -76.2% -86.4% -91.1% -88.4% -99.5% -98.2% -96.2%
ERP/HR systems 4.3 4.1 8.3 3.1 11.4 7.6 10.7 19.0 6.0 8.8 14.8 11.2 26.0 7.1 18.3 33.1 41.2% 115.2% 77.3% 261.8% 127.3% -6.4% 71.2% 73.9%
Total 11.6 8.1 19.7 11.8 31.4 54.3 66.0 85.7 6.6 9.7 16.3 12.0 28.3 7.3 19.3 35.7 -42.8% 20.0% -16.9% 1.8% -9.9% -86.5% -70.7% -58.4%
Gain (-)/ losses (+) on the divestment of businesses
Costs related to former business activities -0.2 0.0 -0.2 0.0 -0.2 -7.9 -7.9 -8.0 1.0 1.2 2.2 2.2 4.4 4.5 6.7 8.9 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Total -0.2 0.0 -0.2 0.0 -0.2 -7.9 -7.9 -8.0 1.0 1.2 2.2 2.2 4.4 4.5 6.7 8.9 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Other one-time costs
Others 0.9 -0.2 0.8 0.0 0.7 2.3 2.2 3.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -99.8% n.m. -97.6% -57.8% -98.6% n.m. n.m. n.m.
Total 0.9 -0.2 0.8 0.0 0.7 2.3 2.2 3.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -99.8% n.m. -97.6% -57.8% -98.6% n.m. n.m. n.m.
Total adjustments 13.0 9.3 22.3 11.0 33.3 52.0 63.1 85.3 8.9 15.0 23.9 20.3 44.1 15.0 35.3 59.1 -31.3% 61.2% 7.3% 83.5% 32.6% -71.2% -44.1% -30.7%
EBITDA pre 454.6 451.8 906.4 460.3 1,366.7 473.6 933.9 1,840.3 515.7 533.3 1,049.0 531.1 1,580.1 548.7 1,079.8 2,128.9 13.5% 18.0% 15.7% 15.4% 15.6% 15.9% 15.6% 15.7%

* Regular depreciation and amortization = Depreciation and amortization - Amortization of purchased intangible assets - Impairments
** only reflects impairments which classified as adjustments

Sum of items may not foot due to rounding.

Income Statement Merck KGaA, Darmstadt, Germany
Performance Materials 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Net sales 564.0 586.5 1,150.5 625.6 1,776.1 629.5 1,255.0 2,405.6 604.1 589.0 1,193.1 582.7 1,775.8 797.9 1,380.5 2,573.6 7.1% 0.4% 3.7% -6.9% 0.0% 26.8% 10.0% 7.0%
Cost of sales -275.4 -299.8 -575.3 -321.9 -897.2 -333.7 -655.6 -1,230.9 -337.9 -306.9 -644.8 -314.7 -959.5 -477.2 -792.0 -1,436.8 22.7% 2.4% 12.1% -2.2% 7.0% 43.0% 20.8% 16.7%
thereof amortization of intangible assets -27.9 -28.5 -56.4 -28.3 -84.7 -28.8 -57.2 -113.6 -28.2 -28.2 -56.4 -28.5 -84.9 -41.0 -69.5 -125.9 1.0% -1.0% 0.0% 0.5% 0.2% 42.2% 21.5% 10.8%
Gross profit 288.5 286.7 575.2 303.7 878.9 295.8 599.5 1,174.7 266.3 282.0 548.3 267.9 816.2 320.6 588.6 1,136.9 -7.7% -1.6% -4.7% -11.8% -7.1% 8.4% -1.8% -3.2%
in % of net sales 51.2% 48.9% 50.0% 48.5% 49.5% 47.0% 47.8% 48.8% 44.1% 47.9% 46.0% 46.0% 46.0% 40.2% 42.6% 44.2%
SG&A -93.9 -96.5 -190.4 -96.7 -287.0 -138.3 -235.0 -425.3 -99.3 -108.1 -207.4 -121.8 -329.2 -233.3 -355.1 -562.6 5.8% 12.1% 9.0% 26.0% 14.7% 68.7% 51.1% 32.3%
in % of net sales 16.6% 16.4% 16.5% 15.5% 16.2% 22.0% 18.7% 17.7% 16.4% 18.4% 17.4% 20.9% 18.5% 29.2% 25.7% 21.9%
Marketing and selling expenses -59.8 -60.8 -120.6 -62.1 -182.7 -71.8 -133.9 -254.5 -65.9 -66.1 -132.0 -61.0 -193.0 -136.0 -197.0 -329.0 10.2% 8.6% 9.4% -1.7% 5.6% 89.5% 47.2% 29.3%
thereof amortization of intangible assets (M&S) -2.9 -3.1 -6.0 -2.9 -8.9 -3.2 -6.0 -12.1 -2.8 -3.7 -6.4 -3.4 -9.8 -46.8 -50.2 -56.6 -6.2% 18.8% 6.6% 17.1% 10.0% >1.000% 730.0% 369.2%
Administration expenses -21.9 -27.3 -49.2 -23.3 -72.5 -34.2 -57.5 -106.6 -23.4 -25.3 -48.7 -29.6 -78.3 -39.3 -69.0 -117.7 7.1% -7.4% -1.0% 27.2% 8.1% 15.1% 20.0% 10.3%
Impairment losses and reversals (IFRS 9) -0.5 0.2 -0.3 -0.2 -0.4 -0.2 -0.4 -0.7 -0.1 -0.1 -0.1 0.5 0.4 0.1 0.6 0.5 -80.6% n.m. -42.8% n.m. n.m. n.m. n.m. n.m.
Other operating expenses/income -11.7 -8.5 -20.3 -11.1 -31.4 -32.2 -43.3 -63.5 -9.9 -16.7 -26.6 -31.6 -58.2 -58.2 -89.8 -116.4 -15.5% 95.1% 31.2% 185.1% 85.6% 80.8% 107.6% 83.2%
Impairments** 0.0 -1.1 -1.1 0.0 -1.1 -19.6 -19.6 -20.7 0.0 0.0 0.0 -8.3 -8.3 0.9 -7.4 -7.4 n.m. -100.0% -100.0% n.m. 637.9% n.m. -62.0% -64.0%
Research and development -59.0 -59.1 -118.1 -64.7 -182.8 -59.0 -123.7 -241.8 -71.8 -74.4 -146.1 -48.1 -194.2 -73.0 -121.1 -267.2 21.6% 25.9% 23.7% -25.7% 6.2% 23.7% -2.1% 10.5%
in % of net sales 10.5% 10.1% 10.3% 10.3% 10.3% 9.4% 9.9% 10.1% 11.9% 12.6% 12.2% 8.3% 10.9% 9.2% 8.8% 10.4%
thereof amortization of intangible assets (R&D) -0.7 -0.9 -1.6 -0.8 -2.4 -1.0 -1.8 -3.3 -0.6 -0.5 -1.1 -0.5 -1.5 -0.5 -1.0 -2.0 -18.2% -44.8% -32.7% -41.0% -35.5% -48.8% -45.3% -39.4%
EBIT 135.7 131.1 266.8 142.3 409.1 98.4 240.8 507.5 95.2 99.5 194.8 98.1 292.8 14.3 112.3 307.1 -29.8% -24.1% -27.0% -31.1% -28.4% -85.5% -53.3% -39.5%
in % of net sales 24.1% 22.4% 23.2% 22.8% 23.0% 15.6% 19.2% 21.1% 15.8% 16.9% 16.3% 16.8% 16.5% 1.8% 8.1% 11.9%
Depreciation and amortization 56.8 60.5 117.3 59.7 177.0 84.3 143.9 261.2 61.9 61.7 123.6 71.3 194.9 135.1 206.4 330.0 8.9% 2.0% 5.4% 19.5% 10.1% 60.3% 43.4% 26.3%
EBITDA 192.5 191.6 384.1 202.0 586.1 182.7 384.7 768.8 157.1 161.2 318.3 169.4 487.7 149.3 318.7 637.0 -18.4% -15.9% -17.1% -16.2% -16.8% -18.3% -17.2% -17.1%
in % of net sales 34.1% 32.7% 33.4% 32.3% 33.0% 29.0% 30.7% 32.0% 26.0% 27.4% 26.7% 29.1% 27.5% 18.7% 23.1% 24.8%
EBITDA pre 195.7 195.8 391.5 203.2 594.7 190.9 394.0 785.5 192.6 190.3 382.9 177.5 560.4 243.0 420.5 803.4 -1.6% -2.8% -2.2% -12.7% -5.8% 27.3% 6.7% 2.3%
in % of net sales 34.7% 33.4% 34.0% 32.5% 33.5% 30.3% 31.4% 32.7% 31.9% 32.3% 32.1% 30.5% 31.6% 30.5% 30.5% 31.2%

Reconciliation to EBITDA pre

EBITDA 192.5 191.6 384.1 202.0 586.1 182.7 384.7 768.8 157.1 161.2 318.3 169.4 487.7 149.3 318.7 637.0 -18.4% -15.9% -17.1% -16.2% -16.8% -18.3% -17.2% -17.1%
Adjustments
thereof: Cost of Sales 0.0 0.2 0.2 -0.2 0.0 0.4 0.2 0.4 15.3 3.0 18.2 5.0 23.3 27.7 32.7 50.9 >1.000% >1.000% >1.000% n.m. >1.000% >1.000% >1.000% >1.000%
thereof: Marketing and selling expenses 0.0 0.0 0.0 0.1 0.1 -0.2 -0.1 -0.1 2.4 4.6 7.0 -1.4 5.6 0.4 -0.9 6.1 >1.000% >1.000% >1.000% n.m. >1.000% n.m. 618.3% n.m.
thereof: Administration expenses 3.2 4.0 7.2 1.4 8.5 8.0 9.3 16.5 1.3 0.9 2.2 6.8 9.0 1.6 8.4 10.6 -60.1% -76.4% -69.2% 404.6% 6.0% -80.5% -10.2% -35.8%
thereof: Other operating expenses/income 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.9 3.6 4.5 8.1 12.7 59.7 67.8 72.3 n.m. >1.000% >1.000% n.m. >1.000% n.m. n.m. >1.000%
thereof: Research and development 0.0 0.0 0.0 -0.1 -0.1 0.0 -0.1 -0.1 15.5 17.0 32.6 -10.5 22.1 4.4 -6.2 26.4 >1.000% n.m. >1.000% >1.000% n.m. n.m. >1.000% n.m.
Total 3.2 4.2 7.4 1.1 8.6 8.2 9.3 16.8 35.4 29.1 64.6 8.1 72.6 93.7 101.8 166.4 >1.000% 593.1% 767.5% 605.0% 745.8% >1.000% >1.000% 892.3%
EBITDA pre 195.7 195.8 391.5 203.2 594.7 190.9 394.0 785.5 192.6 190.3 382.9 177.5 560.4 243.0 420.5 803.4 -1.6% -2.8% -2.2% -12.7% -5.8% 27.3% 6.7% 2.3%

Sum of items may not foot due to rounding.

Detailed reconciliation - Performance Materials
2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

EBIT 135.7 131.1 266.8 142.3 409.1 98.4 240.8 507.5 95.2 99.5 194.8 98.1 292.8 14.3 112.3 307.1 -29.8% -24.1% -27.0% -31.1% -28.4% -85.5% -53.3% -39.5%
Regular depreciation and amortization* 25.3 26.9 52.2 27.7 79.9 31.7 59.4 111.6 30.4 29.4 59.7 30.7 90.4 47.6 78.3 138.0 20.1% 9.0% 14.4% 11.1% 13.2% 50.0% 31.8% 23.7%
Amortization of purchased intangible assets 31.6 32.4 64.0 32.0 96.0 33.0 65.0 128.9 31.5 32.3 63.9 32.3 96.2 88.3 120.6 184.5 -0.1% -0.2% -0.2% 0.9% 0.2% 168.0% 85.7% 43.1%
Impairments** 0.0 1.1 1.1 0.0 1.1 19.6 19.6 20.7 0.0 0.0 0.0 8.3 8.3 -0.9 7.4 7.4 n.m. -100.0% -100.0% n.m. 637.9% n.m. -62.0% -64.0%
Total depreciation and amortization 56.8 60.5 117.3 59.7 177.0 84.3 143.9 261.2 61.9 61.7 123.6 71.3 194.9 135.1 206.4 330.0 8.9% 2.0% 5.4% 19.5% 10.1% 60.3% 43.4% 26.3%
EBITDA 192.5 191.6 384.1 202.0 586.1 182.7 384.7 768.8 157.1 161.2 318.3 169.4 487.7 149.3 318.7 637.0 -18.4% -15.9% -17.1% -16.2% -16.8% -18.3% -17.2% -17.1%

Adjustments
Acquisition costs 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 81.8 81.8 81.8 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Restructuring costs
Restructuring costs 0.0 0.0 0.0 0.0 0.0 1.1 1.1 1.2 34.1 26.3 60.5 0.9 61.3 -0.4 0.4 60.9 >1.000% >1.000% >1.000% >1.000% >1.000% n.m. -62.5% >1.000%
Total 0.0 0.0 0.0 0.0 0.0 1.1 1.1 1.2 34.1 26.3 60.5 0.9 61.3 -0.4 0.4 60.9 >1.000% >1.000% >1.000% >1.000% >1.000% n.m. -62.5% >1.000%
Integration costs/IT costs
Integration Cost 0.1 -0.1 0.1 0.0 0.1 0.4 0.4 0.5 0.0 1.3 1.3 3.3 4.6 7.5 10.8 12.1 -99.1% n.m. >1.000% n.m. >1.000% >1.000% >1.000% >1.000%
ERP/HR systems 2.3 4.2 6.5 1.1 7.6 6.8 8.0 14.4 1.3 1.5 2.8 3.9 6.7 4.7 8.6 11.4 -42.6% -64.0% -56.5% 245.7% -11.4% -31.7% 7.9% -21.0%
Total 2.4 4.1 6.5 1.1 7.7 7.3 8.4 14.9 1.3 2.8 4.1 7.2 11.3 12.2 19.4 23.5 -45.7% -31.9% -37.0% 534.1% 47.5% 67.6% 130.7% 57.3%
Gain (-)/ losses (+) on the divestment of businesses
Costs related to former business activities 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.2 0.2 0.2 n.m. -100.0% -100.0% n.m. -100.0% n.m. n.m. >1.000%
Total 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.2 0.2 0.2 n.m. -100.0% -100.0% n.m. -100.0% n.m. n.m. >1.000%
Other one-time costs
Others 0.8 0.1 0.9 0.0 0.9 -0.2 -0.2 0.7 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -97.7% -99.8% n.m. -99.9% n.m. n.m. -95.7%
Total 0.8 0.1 0.9 0.0 0.9 -0.2 -0.2 0.7 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -97.7% -99.8% n.m. -99.9% n.m. n.m. -95.7%
Total adjustments 3.2 4.2 7.4 1.1 8.6 8.2 9.3 16.8 35.4 29.1 64.6 8.1 72.6 93.7 101.8 166.4 >1.000% 593.1% 767.5% 605.0% 745.8% >1.000% >1.000% 892.3%
EBITDA pre 195.7 195.8 391.5 203.2 594.7 190.9 394.0 785.5 192.6 190.3 382.9 177.5 560.4 243.0 420.5 803.4 -1.6% -2.8% -2.2% -12.7% -5.8% 27.3% 6.7% 2.3%

* Regular depreciation and amortization = Depreciation and amortization - Amortization of purchased intangible assets - Impairments
** only reflects impairments which classified as adjustments

Sum of items may not foot due to rounding.

Income Statement Merck KGaA, Darmstadt, Germany
Corporate/Others 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Net sales 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Cost of sales -0.8 -1.1 -1.9 -2.2 -4.1 1.0 -1.3 -3.2 -1.8 -2.4 -4.1 2.5 -1.7 -1.1 1.4 -2.8 118.8% 112.4% 115.1% n.m. -59.7% n.m. n.m. -13.4%
thereof amortization of intangible assets 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -100.0% -100.0% -100.0% -100.0% n.m. -100.0% -100.0%
Gross profit -0.8 -1.1 -1.9 -2.2 -4.1 1.0 -1.3 -3.2 -1.8 -2.4 -4.1 2.5 -1.7 -1.1 1.4 -2.7 118.8% 112.4% 115.1% n.m. -59.8% n.m. n.m. -13.6%
SG&A -89.8 -135.3 -225.1 -107.9 -333.0 -164.4 -272.3 -497.4 -143.0 -130.7 -273.7 -119.6 -393.3 -161.8 -281.4 -555.1 59.3% -3.4% 21.6% 10.8% 18.1% -1.6% 3.3% 11.6%
Marketing and selling expenses -1.4 -4.1 -5.5 -0.8 -6.3 -10.0 -10.9 -16.3 -5.0 -1.6 -6.6 -4.4 -11.0 -7.7 -12.1 -18.7 263.6% -60.4% 21.3% 438.8% 76.1% -23.3% 11.7% 14.9%
thereof amortization of intangible assets (M&S) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 623.0% 619.0% n.m. n.m. n.m. n.m. n.m. n.m.
Administration expenses -80.8 -99.9 -180.7 -93.4 -274.1 -138.7 -232.1 -412.8 -84.6 -91.3 -175.8 -72.3 -248.1 -102.9 -175.2 -351.0 4.7% -8.7% -2.7% -22.6% -9.5% -25.8% -24.5% -15.0%
Impairment losses and reversals (IFRS 9) 0.0 -0.6 -0.6 35.3 34.6 0.7 36.0 35.3 -0.3 0.2 -0.1 0.2 0.1 -0.3 -0.1 -0.2 >1.000% n.m. -83.5% -99.5% -99.7% n.m. n.m. n.m.
Other operating expenses/income -7.6 -30.7 -38.3 -49.0 -87.3 -16.3 -65.3 -103.6 -53.2 -38.0 -91.2 -43.0 -134.2 -50.9 -94.0 -185.1 597.4% 23.7% 137.9% -12.1% 53.8% 212.2% 44.0% 78.7%
Impairments** 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -0.4 -0.4 -0.4 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Research and development -10.6 -11.8 -22.4 -9.0 -31.5 -16.0 -25.0 -47.4 -12.8 -14.8 -27.6 -14.3 -41.9 -17.3 -31.6 -59.2 20.1% 25.9% 23.1% 57.7% 33.1% 8.2% 26.1% 24.7%
thereof amortization of intangible assets (R&D) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
EBIT -101.2 -148.2 -249.4 -119.2 -368.6 -179.4 -298.6 -548.0 -157.5 -147.9 -305.4 -131.4 -436.8 -180.2 -311.5 -617.0 55.7% -0.2% 22.4% 10.2% 18.5% 0.4% 4.4% 12.6%
Depreciation and amortization 12.7 16.0 28.7 14.3 43.0 16.5 30.8 59.5 17.3 19.8 37.1 19.9 57.0 23.2 43.1 80.2 37.0% 23.4% 29.4% 38.9% 32.6% 40.2% 39.6% 34.7%
EBITDA -88.5 -132.2 -220.8 -104.9 -325.6 -162.9 -267.7 -488.5 -140.2 -128.1 -268.3 -111.5 -379.8 -157.0 -268.5 -536.8 58.3% -3.1% 21.5% 6.3% 16.6% -3.6% 0.3% 9.9%
EBITDA pre -64.6 -106.0 -170.6 -81.7 -252.4 -129.1 -210.8 -381.5 -111.8 -112.1 -223.9 -98.1 -322.0 -147.2 -245.3 -469.2 73.0% 5.8% 31.2% 20.0% 27.6% 14.0% 16.4% 23.0%

Reconciliation to EBITDA pre

EBITDA -88.5 -132.2 -220.8 -104.9 -325.6 -162.9 -267.7 -488.5 -140.2 -128.1 -268.3 -111.5 -379.8 -157.0 -268.5 -536.8 58.3% -3.1% 21.5% 6.3% 16.6% -3.6% 0.3% 9.9%
Adjustments
thereof: Cost of Sales 0.0 0.0 0.0 0.2 0.2 0.0 0.2 0.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 n.m. -100.0% -100.0% -100.0% -100.0% -100.0% -100.0% -100.0%
thereof: Marketing and selling expenses 0.0 0.2 0.2 -0.1 0.2 0.4 0.3 0.6 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.1 -100.0% -100.0% -100.0% n.m. -100.0% -76.5% -72.8% -83.0%
thereof: Administration expenses 21.8 25.7 47.6 17.5 65.1 27.6 45.1 92.7 27.6 7.4 35.0 7.5 42.5 6.8 14.3 49.3 26.4% -71.1% -26.4% -57.4% -34.7% -75.3% -68.4% -46.8%
thereof: Other operating expenses/income 2.1 0.3 2.4 5.5 7.8 5.7 11.1 13.5 0.8 8.6 9.4 6.0 15.4 2.9 8.8 18.2 -60.4% >1.000% 298.7% 9.2% 96.6% -49.3% -20.6% 35.1%
thereof: Research and development 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 n.m. -100.0% -100.0% -100.0% -100.0% -100.0% -100.0% -100.0%
Total 24.0 26.2 50.1 23.1 73.3 33.8 56.9 107.0 28.4 16.0 44.4 13.4 57.8 9.8 23.2 67.6 18.6% -38.9% -11.4% -42.0% -21.1% -71.0% -59.2% -36.8%
EBITDA pre -64.6 -106.0 -170.6 -81.7 -252.4 -129.1 -210.8 -381.5 -111.8 -112.1 -223.9 -98.1 -322.0 -147.2 -245.3 -469.2 73.0% 5.8% 31.2% 20.0% 27.6% 14.0% 16.4% 23.0%

Sum of items may not foot due to rounding.

Detailed reconciliation - Corporate / Others
2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

EBIT -101.2 -148.2 -249.4 -119.2 -368.6 -179.4 -298.6 -548.0 -157.5 -147.9 -305.4 -131.4 -436.8 -180.2 -311.5 -617.0 55.7% -0.2% 22.4% 10.2% 18.5% 0.4% 4.4% 12.6%
Regular depreciation and amortization* 12.6 16.0 28.7 14.3 43.0 16.5 30.8 59.5 17.2 19.9 37.1 19.9 57.0 22.8 42.6 79.7 36.3% 23.9% 29.4% 38.9% 32.6% 37.7% 38.3% 34.0%
Amortization of purchased intangible assets 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 -0.1 0.0 0.0 0.0 0.0 0.0 0.0 597.4% 646.4% -46.5% -17.9% -39.3% n.m. 63.8% -18.9%
Impairments** 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.4 0.4 0.4 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Total depreciation and amortization 12.7 16.0 28.7 14.3 43.0 16.5 30.8 59.5 17.3 19.8 37.1 19.9 57.0 23.2 43.1 80.2 37.0% 23.4% 29.4% 38.9% 32.6% 40.2% 39.6% 34.7%
EBITDA -88.5 -132.2 -220.8 -104.9 -325.6 -162.9 -267.7 -488.5 -140.2 -128.1 -268.3 -111.5 -379.8 -157.0 -268.5 -536.8 58.3% -3.1% 21.5% 6.3% 16.6% -3.6% 0.3% 9.9%

Adjustments
Acquisition costs 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Restructuring costs
Restructuring costs 6.2 8.8 15.0 5.6 20.6 9.9 15.5 30.5 25.9 4.3 30.2 2.0 32.2 -2.2 -0.2 30.0 319.9% -51.3% 101.2% -63.5% 56.5% n.m. n.m. -1.7%
Total 6.2 8.8 15.0 5.6 20.6 9.9 15.5 30.5 25.9 4.3 30.2 2.0 32.2 -2.2 -0.2 30.0 319.9% -51.3% 101.2% -63.5% 56.5% n.m. n.m. -1.7%
IT project costs
Integration Cost 0.2 0.0 0.2 0.2 0.4 0.3 0.6 0.8 0.0 0.1 0.1 0.1 0.2 0.0 0.1 0.2
ERP/HR systems 3.9 5.5 9.4 4.4 13.8 8.9 13.3 22.7 3.2 5.8 9.0 6.4 15.4 7.6 14.0 23.0 -16.9% 4.5% -4.3% 45.8% 11.7% -14.5% 5.4% 1.4%
Total 4.1 5.5 9.6 4.6 14.2 9.3 13.9 23.5 3.2 5.9 9.1 6.5 15.6 7.6 14.1 23.2 -20.9% 6.4% -5.1% 40.6% 9.7% -17.9% 1.6% -1.2%
Gain (-)/ losses (+) on the divestment of businesses
Costs related to former business activities 2.1 0.2 2.3 5.5 7.8 -1.1 4.4 6.7 0.0 0.0 0.0 0.5 0.5 0.8 1.3 1.3 -99.9% n.m. -100.0% -90.9% -93.6% n.m. -70.9% -80.9%
Total 2.1 0.2 2.3 5.5 7.8 -1.1 4.4 6.7 0.0 0.0 0.0 0.5 0.5 0.8 1.3 1.3 -99.9% n.m. -100.0% -90.9% -93.6% n.m. -70.9% -80.9%
Other one-time costs
Others 11.7 11.6 23.2 7.4 30.6 15.7 23.1 46.3 -0.7 5.8 5.1 4.4 9.5 3.6 8.0 13.1 n.m. -50.0% -77.9% -40.7% -69.0% -77.1% -65.4% -71.7%
Total 11.7 11.6 23.2 7.4 30.6 15.7 23.1 46.3 -0.7 5.8 5.1 4.4 9.5 3.6 8.0 13.1 n.m. -50.0% -77.9% -40.7% -69.0% -77.1% -65.4% -71.7%
Total adjustments 24.0 26.2 50.1 23.1 73.3 33.8 56.9 107.0 28.4 16.0 44.4 13.4 57.8 9.8 23.2 67.6 18.6% -38.9% -11.4% -42.0% -21.1% -71.0% -59.2% -36.8%
EBITDA pre -64.6 -106.0 -170.6 -81.7 -252.4 -129.1 -210.8 -381.5 -111.8 -112.1 -223.9 -98.1 -322.0 -147.2 -245.3 -469.2 73.0% 5.8% 31.2% 20.0% 27.6% 14.0% 16.4% 23.0%

* Regular depreciation and amortization = Depreciation and amortization - Amortization of purchased intangible assets - Impairments
** only reflects impairments which classified as adjustments

Sum of items may not foot due to rounding.

Cash Flow Statement Merck KGaA, Darmstadt, Germany
Group 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY
Profit after tax 342.0 250.6 592.6 345.3 937.9 2,458.1 2,803.4 3,396.0 189.5 470.9 660.4 341.9 1,002.3 321.3 663.2 1,323.6 -44.6% 87.9% 11.4% -1.0% 6.9% -86.9% -76.3% -61.0%
Depreciation/amortization/impairment losses/write-ups 428.0 448.3 876.4 427.6 1,304.0 507.6 935.2 1,811.6 474.0 453.1 927.0 464.2 1,391.3 552.4 1,016.6 1,943.6 10.7% 1.1% 5.8% 8.6% 6.7% 8.8% 8.7% 7.3%
of tangible assets 125.8 130.8 256.6 125.9 382.5 152.5 278.4 535.0 161.7 167.2 328.9 181.6 510.4 208.0 389.6 718.5 28.6% 27.8% 28.2% 44.2% 33.4% 36.4% 39.9% 34.3%
of intangible assets 302.4 317.3 619.7 301.7 921.4 351.1 652.8 1,272.5 312.3 288.3 600.6 282.7 883.3 344.6 627.3 1,227.9 3.3% -9.1% -3.1% -6.3% -4.1% -1.8% -3.9% -3.5%
of financial assets -0.2 0.2 0.1 0.0 0.1 4.0 4.0 4.1 0.0 -2.4 -2.4 -0.1 -2.5 -0.3 -0.3 -2.7 n.m. n.m. n.m. 823.1% n.m. n.m. n.m. n.m.
Changes in working capital -160.7 -148.1 -308.8 -107.2 -416.0 238.4 131.2 -177.6 -178.2 -58.3 -236.4 -93.9 -330.3 160.8 66.9 -169.5 10.9% -60.7% -23.4% -12.5% -20.6% -32.6% -49.0% -4.6%
Changes in inventories -92.4 -74.6 -167.0 -60.5 -227.6 55.2 -5.4 -172.4 -145.7 -113.2 -258.9 -57.4 -316.4 -7.1 -64.6 -323.5 57.7% 51.7% 55.0% -5.1% 39.0% n.m. >1.000% 87.6%
Changes in trade accounts receivable -70.6 -114.9 -185.6 -30.9 -216.4 107.5 76.7 -108.9 -14.9 -103.9 -118.8 -23.1 -141.9 95.2 72.1 -46.8 -78.9% -9.6% -36.0% -25.1% -34.4% -11.5% -6.0% -57.0%
Changes in trade accounts payable 2.3 41.5 43.8 -15.8 28.0 75.7 59.9 103.7 -17.5 158.8 141.3 -13.3 128.0 72.8 59.5 200.8 n.m. 283.1% 222.8% -16.0% 358.1% -4.0% -0.8% 93.6%
Changes in provisions 16.6 33.8 50.5 68.6 119.1 79.5 148.1 198.6 100.2 -46.6 53.6 80.6 134.2 19.0 99.6 153.2 502.0% n.m. 6.1% 17.5% 12.7% -76.1% -32.7% -22.9%
Changes in other assets and liabilities -235.4 -242.5 -477.9 6.1 -471.9 184.2 190.3 -287.7 -89.1 -25.8 -114.9 128.8 13.9 -404.6 -275.8 -390.7 -62.2% -89.4% -76.0% >1.000% n.m. n.m. n.m. 35.8%
Neutralization of gain/loss on disposal of assets -8.9 1.7 -7.2 2.3 -5.0 -2,727.9 -2,725.6 -2,732.8 1.0 -50.3 -49.3 10.0 -39.3 -17.9 -8.0 -57.3 n.m. n.m. 582.1% 342.8% 690.3% -99.3% -99.7% -97.9%
Other non-cash income and expenses -1.4 23.4 22.0 -11.4 10.7 0.7 -10.7 11.3 -5.0 -0.2 -5.3 -1.0 -6.3 59.5 58.5 53.2 270.4% n.m. n.m. -91.5% n.m. >1.000% n.m. 370.0%
Net cash flows from operating activities 380.2 367.3 747.5 731.2 1,478.8 740.7 1,471.9 2,219.4 492.5 742.6 1,235.1 930.6 2,165.8 690.4 1,621.0 2,856.2 29.5% 102.2% 65.2% 27.3% 46.5% -6.8% 10.1% 28.7%
thereof: from discontinued operations -14.7 -19.9 -34.7 -8.1 -42.8 67.0 58.9 24.3 0.0 -11.6 -11.6 11.6 0.0 0.0 11.6 0.0 -100.0% -41.7% -66.5% n.m. -100.0% -100.0% -80.3% -100.0%

Purchase of intangible assets -20.6 -34.5 -55.1 -14.7 -69.8 -36.6 -51.2 -106.3 -9.2 -83.4 -92.6 -29.3 -121.8 -86.4 -115.6 -208.2 -55.5% 141.9% 68.1% 99.4% 74.7% 136.2% 125.7% 95.8%
Disposal of intangible assets 6.5 0.8 7.3 -0.2 7.1 59.6 59.5 66.7 17.2 -0.3 16.9 7.6 24.5 -1.6 6.0 22.9 165.3% n.m. 133.1% n.m. 245.7% n.m. -89.9% -65.6%
Purchase of property, plant and equipment -228.0 -167.6 -395.6 -215.4 -611.0 -299.4 -514.8 -910.4 -208.7 -165.0 -373.8 -192.7 -566.5 -246.4 -439.1 -812.9 -8.5% -1.5% -5.5% -10.6% -7.3% -17.7% -14.7% -10.7%
Disposal of property, plant and equipment 10.5 2.4 12.9 8.6 21.5 9.9 18.5 31.4 2.9 3.5 6.4 -1.1 5.3 25.4 24.3 30.7 -72.3% 43.2% -50.5% n.m. -75.4% 155.9% 31.2% -2.3%
Acquisitions -0.5 0.0 -0.2 0.0 -0.5 0.5 0.5 0.0 -0.5 -9.7 -10.2 -56.4 -66.6 -4,953.3 -5,009.7 -5,019.8 1.4% >1.000% >1.000% n.m. >1.000% n.m. n.m. >1.000%
Divestments 0.0 0.0 0.0 -1.0 -1.0 3,130.1 3,129.0 3,129.0 -1.4 -90.6 -92.1 -5.7 -97.8 -12.4 -18.2 -110.2 >1.000% n.m. n.m. 452.4% >1.000% n.m. n.m. n.m.
Changes/ Purchase of financial assets -13.2 -7.2 -20.5 -20.2 -40.5 -33.8 -54.0 -74.3 -37.0 -127.4 -164.4 -4.0 -168.5 -21.0 -32.4 -196.3 181.1% >1.000% 701.5% -79.9% 316.0% -38.0% -39.9% 164.1%
Disposal of financial assets 32.7 6.4 39.1 24.4 63.5 -8.2 16.2 55.3 7.7 2.8 10.4 72.4 82.8 56.7 129.0 139.5 -76.6% -56.8% -73.4% 196.8% 30.4% n.m. 696.7% 152.1%
Payments for investments in non-financial assets 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0 -399.9 -499.9 0.0 -499.9 0.0 0.0 -499.9 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Disposal of non-financial non-operative assets 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 501.5 501.5 501.5 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Net cash flows from investing activities -212.6 -199.6 -412.2 -218.5 -630.7 2,822.1 2,603.6 2,191.4 -329.1 -870.1 -1,199.2 -209.2 -1,408.4 -4,744.4 -4,953.6 -6,152.8 54.8% 335.9% 190.9% -4.2% 123.3% n.m. n.m. n.m.
thereof: from discontinued operations -3.7 -1.8 -5.5 -3.6 -9.1 3,050.6 3,047.0 3,041.5 -4.8 -106.9 -111.7 -6.4 -118.1 -11.3 -17.7 -129.4 29.4% >1.000% >1.000% 77.9% >1.000% n.m. n.m. n.m.

Dividend payments -1.6 -164.9 -166.5 0.9 -165.6 -9.2 -8.2 -174.7 0.0 -172.9 -172.9 -0.2 -173.1 -0.1 -0.3 -173.2 -100.0% 4.9% 3.8% n.m. 4.5% -98.5% -96.1% -0.9%
Profit transferred to E.Merck -62.6 -530.8 -593.4 0.0 -593.4 0.0 0.0 -593.4 -61.5 -453.9 -515.4 0.0 -515.4 0.0 0.0 -515.4 -1.9% -14.4% -13.1% n.m. -13.1% n.m. n.m. -13.1%
Changes in financial liabilities to E.Merck -108.5 375.1 266.6 -28.9 237.8 -181.7 -210.6 56.0 9.0 396.7 405.7 -193.8 212.0 -224.4 -418.2 -12.4 n.m. 5.7% 52.2% 571.5% -10.8% 23.5% 98.6% n.m.
Other changes in net equity -0.1 -0.4 -0.5 -0.3 -0.8 0.5 0.2 -0.3 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -46.2% n.m. n.m. n.m. n.m. -100.0% -97.0% n.m.
Changes in current and non-current financial liabilities 170.0 25.5 195.5 -258.4 -62.9 -2,049.4 -2,307.8 -2,112.3 49.2 1,473.8 1,523.1 1,128.0 2,651.1 -48.2 1,079.8 2,602.9 -71.0% >1.000% 679.1% n.m. n.m. -97.6% n.m. n.m.
Other changes from financing activities 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 0.0 0.0 0.1 630.9% n.m. n.m. >1.000% n.m. n.m. >1.000% >1.000%
Net cash flows from financing activities -2.9 -295.5 -298.3 -286.6 -584.9 -2,239.8 -2,526.4 -2,824.7 -3.2 1,243.8 1,240.5 934.1 2,174.7 -272.7 661.4 1,901.9 12.5% n.m. n.m. n.m. n.m. -87.8% n.m. n.m.
thereof: from discontinued operations 24.9 14.1 39.0 6.4 45.4 -40.8 -34.5 4.5 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -100.0% -100.0% -100.0% -100.0% -100.0% -100.0% -100.0% -100.0%

Changes in cash and cash equivalents 164.8 -127.8 37.0 226.2 263.1 1,322.9 1,549.1 1,586.1 160.2 1,116.3 1,276.5 1,655.5 2,932.0 -4,326.7 -2,671.2 -1,394.7 -2.8% n.m. >1.000% 632.0% >1.000% n.m. n.m. n.m.
Changes in cash and cash equivalents due to currency
-6.5 3.0 -3.5 -3.6 -7.1 2.6 -1.0 -4.6 9.4 -5.7 3.7 5.4 9.2 -4.1 1.3 5.0 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
translation
Cash and cash equivalents as of January 1st 588.7 0.0 588.7 0.0 588.7 0.0 0.0 588.7 2,170.3 0.0 2,170.3 0.0 2,170.3 0.0 0.0 2,170.3 268.7% n.m. 268.7% n.m. 268.7% n.m. n.m. 268.7%
Cash and cash equivalents 746.9 -138.1 608.8 224.0 832.8 1,337.4 1,561.4 2,170.2 2,340.0 1,110.6 3,450.5 1,661.0 5,111.5 -4,330.9 -2,669.9 780.6 213.3% n.m. 466.8% 641.6% 513.8% n.m. n.m. -64.0%
Changes in cash and cash equivalents due to change in scope
of consolidation 0.0 -13.3 -13.3 1.4 -11.9 11.9 13.3 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 n.m. -100.0% -100.0% -100.0% -100.0% n.m. n.m. n.m.

Business Free Cash Flow

EBITDA pre 967.1 920.0 1,887.1 963.3 2,850.4 949.6 1,912.9 3,800.0 928.5 1,139.3 2,067.8 1,111.3 3,179.1 1,205.7 2,316.9 4,384.8 -4.0% 23.8% 9.6% 15.4% 11.5% 27.0% 21.1% 15.4%
CAPEX on PPE and Software -128.8 -177.4 -306.3 -223.4 -529.7 -402.5 -625.9 -932.1 -125.7 -193.2 -318.9 -209.6 -528.5 -497.9 -707.5 -1,026.4 -2.5% 8.9% 4.1% -6.2% -0.2% 23.7% 13.0% 10.1%
Changes in inventory -69.2 -116.2 -185.4 -106.0 -291.4 76.9 -29.1 -214.5 -172.9 -95.9 -268.8 -101.9 -370.6 -206.9 -308.7 -577.5 149.9% -17.5% 45.0% -3.9% 27.2% n.m. >1.000% 169.3%
Changes in trade accounts receivable -50.7 -112.4 -163.1 76.9 -86.2 -59.0 17.9 -145.2 -58.9 -116.1 -175.0 -33.6 -208.6 -50.8 -84.4 -259.4 16.0% 3.3% 7.3% n.m. 141.9% -13.9% n.m. 78.6%
Leasing payments 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -26.0 -33.1 -59.2 -34.8 -94.0 -41.8 -76.7 -135.8 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Adjustments Business Free Cash Flow 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 346.2 346.2 346.2 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.
Business Free Cash Flow 718.3 514.0 1,232.4 710.8 1,943.2 565.0 1,275.8 2,508.2 545.0 701.0 1,246.0 731.4 1,977.5 754.4 1,485.9 2,731.9 -24.1% 36.4% 1.1% 2.9% 1.8% 33.5% 16.5% 8.9%
Healthcare 298.6 231.7 530.2 254.2 784.4 240.4 494.6 1,024.9 222.1 345.8 567.8 310.7 878.5 373.4 684.0 1,251.8 -25.6% 49.3% 7.1% 22.2% 12.0% 55.3% 38.3% 22.1%
Life Science 375.1 268.6 643.7 410.8 1,054.5 338.2 749.0 1,392.7 268.2 323.2 591.4 410.1 1,001.5 373.3 783.4 1,374.8 -28.5% 20.3% -8.1% -0.2% -5.0% 10.4% 4.6% -1.3%
Performance Materials 137.4 142.5 279.9 152.4 432.2 155.4 307.7 587.6 172.4 153.2 325.6 120.7 446.3 195.1 315.8 641.4 25.5% 7.5% 16.3% -20.8% 3.2% 25.6% 2.6% 9.1%
Corporate & Others -92.6 -128.8 -221.4 -106.6 -328.0 -169.0 -275.6 -497.0 -117.6 -121.2 -238.8 -110.0 -348.8 -187.3 -297.3 -536.1 27.0% -5.9% 7.8% 3.2% 6.3% 10.8% 7.9% 7.9%
Balance Sheet Merck KGaA, Darmstadt, Germany
Group 2018 2019 Shares of Totals Shares of Totals
€ million 31-Mar 30-Jun 30-Sep 31. Dez 31-Mar 30-Jun 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 31. Dez 31-Mar 30-Jun 30-Sep 31-Dec
Current assets 7,807.4 8,179.4 8,354.9 9,235.7 10,512.5 11,693.9 13,517.6 9,003.3 22.2% 22.8% 23.4% 25.0% 27.2% 29.6% 32.1% 20.6%
Cash and cash equivalents 746.9 608.8 832.8 2,170.3 2,339.6 3,450.5 5,111.5 780.6 2.1% 1.7% 2.3% 5.9% 6.0% 8.7% 12.2% 1.8%
Other current financial assets 117.2 130.9 73.3 28.6 64.5 153.7 275.5 57.1 0.3% 0.4% 0.2% 0.1% 0.2% 0.4% 0.7% 0.1%
Trade and other current receivables 3,107.3 3,125.9 3,164.6 3,225.9 3,616.1 3,467.8 3,439.9 3,487.6 8.8% 8.7% 8.9% 8.7% 9.3% 8.8% 8.2% 8.0%
Inventories 2,703.6 2,708.5 2,814.5 2,764.3 2,937.2 3,033.1 3,134.9 3,341.8 7.7% 7.6% 7.9% 7.5% 7.6% 7.7% 7.5% 7.6%
Contract assets 27.6 56.8 64.8 51.6 42.4 71.6 68.5 156.1 0.1% 0.2% 0.2% 0.1% 0.1% 0.2% 0.2% 0.4%
Other current non-financial assets 514.9 495.4 423.4 535.5 1,083.9 1,212.8 1,162.5 591.1 1.5% 1.4% 1.2% 1.5% 2.8% 3.1% 2.8% 1.3%
Income tax receivables 589.9 430.5 353.8 459.5 428.9 304.5 324.7 589.1 1.7% 1.2% 1.0% 1.2% 1.1% 0.8% 0.8% 1.3%
Assets held for sale 0.0 622.6 627.7 0.0 0.0 0.0 0.0 0.0 0.0% 1.7% 1.8% 0.0% 0.0% 0.0% 0.0% 0.0%

Non-current assets 27,367.7 27,648.8 27,385.4 27,652.3 28,204.4 27,874.0 28,549.9 34,807.7 77.8% 77.2% 76.6% 75.0% 72.8% 70.4% 67.9% 79.4%
Goodwill 13,281.7 13,613.7 13,597.3 13,764.3 13,966.1 13,840.8 14,309.4 17,141.4 37.8% 38.0% 38.0% 37.3% 36.1% 35.0% 34.0% 39.1%
Intangible assets other than goodwill 7,879.9 7,882.9 7,586.0 7,236.6 7,051.6 6,769.8 6,730.4 9,174.6 22.4% 22.0% 21.2% 19.6% 18.2% 17.1% 16.0% 20.9%
Property, plant and equipment 4,468.0 4,483.0 4,548.9 4,811.4 5,290.8 5,250.7 5,376.3 6,213.3 12.7% 12.5% 12.7% 13.0% 13.7% 13.3% 12.8% 14.2%
Investments at equity 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Other non-current financial assets 528.0 489.0 516.1 656.0 595.1 656.7 641.1 738.3 1.5% 1.4% 1.4% 1.8% 1.5% 1.7% 1.5% 1.7%
Other non-current receivables 24.5 2.4 12.3 17.3 14.1 13.3 14.3 22.3 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.1%
Other non-current non-financial assets 102.8 106.6 91.4 75.2 81.4 87.8 89.4 96.6 0.3% 0.3% 0.3% 0.2% 0.2% 0.2% 0.2% 0.2%
Deferred tax assets 1,082.8 1,071.1 1,033.5 1,091.4 1,205.3 1,254.9 1,389.0 1,421.2 3.1% 3.0% 2.9% 3.0% 3.1% 3.2% 3.3% 3.2%

Total assets 35,175.1 35,828.1 35,740.3 36,888.0 38,716.8 39,567.9 42,067.4 43,811.0 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

Current liabilities 8,532.7 8,267.1 8,966.5 8,517.4 11,194.4 10,494.3 9,655.1 11,841.6 24.3% 23.1% 25.1% 23.1% 28.9% 26.5% 23.0% 27.0%
Current financial debt 2,857.6 3,312.8 3,966.3 2,214.8 4,442.8 4,932.9 3,930.3 4,550.4 8.1% 9.2% 11.1% 6.0% 11.5% 12.5% 9.3% 10.4%
Trade and other current payables 1,629.4 1,636.8 1,625.0 1,766.2 1,632.8 1,737.0 1,736.3 2,053.8 4.6% 4.6% 4.5% 4.8% 4.2% 4.4% 4.1% 4.7%
Refund liabilities 443.0 437.7 431.6 472.1 541.3 564.8 587.4 564.6 1.3% 1.2% 1.2% 1.3% 1.4% 1.4% 1.4% 1.3%
Other current financial liabilities 928.4 429.9 399.0 1,077.3 1,384.6 543.2 629.9 1,126.5 2.6% 1.2% 1.1% 2.9% 3.6% 1.4% 1.5% 2.6%
Other current non-financial liabilities 1,185.3 1,035.7 1,100.7 1,211.0 1,322.9 1,064.8 1,099.5 1,211.2 3.4% 2.9% 3.1% 3.3% 3.4% 2.7% 2.6% 2.8%
Income tax liabilities 1,044.5 862.7 895.6 1,175.6 1,279.4 1,106.7 1,126.4 1,401.9 3.0% 2.4% 2.5% 3.2% 3.3% 2.8% 2.7% 3.2%
Current provisions 444.5 390.7 388.6 600.3 590.5 544.9 545.3 933.2 1.3% 1.1% 1.1% 1.6% 1.5% 1.4% 1.3% 2.1%
Liabilities included in disposal groups classified as h 0.0 160.9 159.6 0.0 0.0 0.0 0.0 0.0 0.0% 0.4% 0.4% 0.0% 0.0% 0.0% 0.0% 0.0%

Non-current liabilities 12,537.9 12,666.7 11,426.7 11,137.6 9,846.7 11,499.4 14,230.1 14,055.6 35.6% 35.4% 32.0% 30.2% 25.4% 29.1% 33.8% 32.1%
Non-current financial debt 7,939.2 8,089.9 7,095.4 6,680.7 5,047.2 6,497.2 8,614.2 8,643.8 22.6% 22.6% 19.9% 18.1% 13.0% 16.4% 20.5% 19.7%
Other non-current financial liabilities 30.4 35.0 30.7 33.3 36.5 34.2 32.8 43.4 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1%
Other non-current non-financial liabilities 247.3 196.5 54.0 19.0 225.7 225.6 225.4 93.2 0.7% 0.5% 0.2% 0.1% 0.6% 0.6% 0.5% 0.2%
Non-current provisions 747.2 764.5 800.5 780.3 864.4 829.0 886.5 490.5 2.1% 2.1% 2.2% 2.1% 2.2% 2.1% 2.1% 1.1%
Prov. for pensions / oth. post-employment benefits 2,163.5 2,155.4 2,088.7 2,336.5 2,454.6 2,750.8 3,288.0 2,956.8 6.2% 6.0% 5.8% 6.3% 6.3% 7.0% 7.8% 6.7%
Deferred tax liabilities 1,410.3 1,425.3 1,357.4 1,287.9 1,218.3 1,162.5 1,183.2 1,828.0 4.0% 4.0% 3.8% 3.5% 3.1% 2.9% 2.8% 4.2%

Net equity 14,104.5 14,894.3 15,347.1 17,233.0 17,675.8 17,574.3 18,182.3 17,913.8 40.1% 41.6% 42.9% 46.7% 45.7% 44.4% 43.2% 40.9%
Equity capital 565.2 565.2 565.2 565.2 565.2 565.2 565.2 565.2 1.6% 1.6% 1.6% 1.5% 1.5% 1.4% 1.3% 1.3%
Capital reserves 3,813.7 3,813.7 3,813.7 3,813.7 3,813.7 3,813.7 3,813.7 3,813.7 10.8% 10.6% 10.7% 10.3% 9.9% 9.6% 9.1% 8.7%
Retained earnings 9,020.0 9,070.1 9,532.3 11,191.7 11,294.2 11,410.2 11,313.8 11,507.0 25.6% 25.3% 26.7% 30.3% 29.2% 28.8% 26.9% 26.3%
Gain/losses recognized immediately in equity 645.6 1,384.5 1,371.6 1,629.0 1,967.3 1,761.0 2,465.7 1,979.6 1.8% 3.9% 3.8% 4.4% 5.1% 4.5% 5.9% 4.5%
Non-controlling interest 60.0 60.8 64.3 33.4 35.4 24.1 23.8 48.3 0.2% 0.2% 0.2% 0.1% 0.1% 0.1% 0.1% 0.1%

Total liabilities and stockholders' equity 35,175.1 35,828.1 35,740.3 36,888.0 38,716.8 39,567.9 42,067.4 43,811.0 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

2018 2019 Shares of Totals Shares of Totals

31-Mar 30-Jun 30-Sep 31. Dez 31-Mar 30-Jun 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 31. Dez 31-Mar 30-Jun 30-Sep 31-Dec
Financial debt 10,796.8 11,402.7 11,061.7 8,895.5 9,490.0 11,430.1 12,544.5 13,194.2 30.7% 31.8% 31.0% 24.1% 24.5% 28.9% 29.8% 30.1%
Net financial debt 9,977.6 10,674.1 10,168.2 6,700.7 7,089.4 7,829.4 7,320.0 12,363.2 28.4% 29.8% 28.5% 18.2% 18.3% 19.8% 17.4% 28.2%
Income Statement Merck KGaA, Darmstadt, Germany
Group 2018 2019 Change YoY
€ million Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY Q1 Q2 H1 Q3 9M Q4 H2 FY

Financial result -61.2 -64.6 -125.8 -55.9 -181.7 -84.2 -140.1 -265.9 -112.6 -61.1 -173.7 -134.9 -308.5 -76.1 -210.9 -384.6 83.9% -5.4% 38.1% 141.1% 69.8% -9.7% 50.5% 44.6%
Interest result -56.7 -46.2 -103.0 -59.3 -162.2 -49.7 -108.9 -211.9 -57.6 -55.5 -113.0 -85.4 -198.5 -93.8 -179.2 -292.3 1.4% 20.0% 9.8% 44.2% 22.3% 88.8% 64.5% 37.9%
Interest income 6.9 17.9 24.8 11.2 36.0 19.4 30.6 55.5 6.7 22.0 28.6 6.9 35.6 30.1 37.1 65.7 -3.8% 22.7% 15.3% -38.1% -1.3% 55.2% 21.0% 18.5%
Interest expenses -63.7 -64.1 -127.8 -70.5 -198.3 -69.1 -139.6 -267.4 -64.2 -77.5 -141.7 -92.4 -234.1 -123.9 -216.3 -358.0 0.9% 20.8% 10.9% 31.1% 18.0% 79.4% 55.0% 33.9%
Result from financial investments 0.4 0.5 0.9 3.0 3.9 -1.6 1.4 2.3 -0.4 -0.5 -0.9 0.2 -0.6 0.5 0.7 -0.1 n.m. n.m. n.m. -92.4% n.m. n.m. -48.2% n.m.
Currency difference - financing 4.7 3.7 8.4 5.5 13.8 0.6 6.0 14.4 -37.7 2.3 -35.4 3.1 -32.3 -0.7 2.5 -33.0 n.m. -37.8% n.m. -42.5% n.m. n.m. -59.2% n.m.
Interest quota - pensions and other provi -9.6 -22.5 -32.1 -5.1 -37.2 -33.5 -38.6 -70.7 -17.0 -6.8 -23.8 -52.8 -76.6 18.0 -34.8 -58.6 76.7% -69.8% -26.0% >1.000% 105.8% n.m. -9.9% -17.2%
Others 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -0.6 -0.6 0.0 -0.6 0.0 0.0 -0.6 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.