Philips (PHG) Q1 net profit fell to €137M ($189M) from €162M a year earlier as sales dropped 5% to €5.02B, hurt by currency losses, a decline in sales at the company’s health-care business, and headwinds in China and Russia.
Adjusted EBITA fell 13% to €368M, missing consensus of €413M.
CEO Frans Van Houten said 2014 “will be a challenging year,” but the company remains “very confident” of achieving its 2016 targets. Van Houten believes that Europe has “fully bottomed out” and is starting to pick up.
However, Chinese sales had less momentum, Van Houten said, and grew just 5% in Q1. (PR)
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April 22nd, 2014 at 6:52 am
Philips net profit falls 14%
02:50 AM ET · PHG