Philips (PHG.US) Q4 Results Disappoint As China Sales Slump
1min read Dutch medical technology company Philips (PHG.US) said on Wednesday it expects comparable sales to grow 1% to 3% in 2025. The company's sales in the last quarter of last year missed market expectations, partly due to a double-digit decline in China.Philips said the forecast included a decline in China sales in the mid- to high single-digit percentage range, as well as the impact of tariffs recently announced in the US and China.Data showed Philips' total sales in the fourth quarter of 2024 were 5.04 billion euros ($5.27 billion), below analysts' average estimate of 5.07 billion euros; adjusted EBITA was 679 million euros, slightly below analysts' expectations of 683 million euros.Philips cut its 2024 sales forecast in October after a sharp decline in demand in China in the third quarter of last year. The group sells everything from toothbrushes to medical imaging systems.Philips CEO Roy Jakobs said in January he expected China's revenue to fall to around 10% from above 13% at the start of the decade.Philips has more than 7,000 employees in the Netherlands.The company proposed an annual dividend of 0.85 euros per share, in line with the dividend paid in 2023.
