Royal Philips NV on Monday reported a 57% rise in second-quarter net profit as it benefited from a strong performance of its health-technology operations and cost savings.
Net profit in the three months to the end of June was €431 million ($473 million), up from €274 million in the same period a year earlier. Adjusted earnings before interest and taxes, the company’s preferred measure of its operational performance, rose 9% to €544 million.
Sales dropped 2% to €5.86 billion, largely because of a decline at its lighting business which was spun off through an initial public offering in May. Comparable sales growth was 3%.
Philips reiterated its guidance for the remainder of this year, saying it expects earnings to improve in the second half. The company, however, said it was concerned about “increased risk due to volatility in some markets.”
Source : wsj.com