Philips swings back to profit in first quarter


19 Apr 201021 Views

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Global electronics giant Philips has swung back to profit during its first quarter, reporting net earnings of €201m, compared to the loss of €59m it reported during the same quarter in 2009.

Analysts had been expecting net profit in the region of €80m.

Q1 earnings at the Dutch firm were driven by an 11.4pc rise in sales to €5.7bn, with sales growing 22pc in emerging markets and lighting sales rising 18pc.

Philips president and CEO Gerard Kleisterlee said he believed the company’s results in recent quarters have started to show the potential of its business portfolio.

However, despite the group returning to profit in the first quarter, Kleisterlee cautioned “economic uncertainty remains high and consumer confidence low”.

“At the same time, some key markets such as the construction sector have yet to recover,” he added.

“However, our strong fundamentals, sound strategy and ability to adapt swiftly to changing market circumstances have put us in a good position for continued success,” Kleisterlee said.

Article courtesy of Businessandleadership.com