Improved Q1 results at Philips
Philips has posted positive results for the first quarter of 2012 aided by strong sales and gains from the sale of assets.
Comparable sales in the company’s lighting division increased 2 per cent year-on-year with LED-based sales growing 22 per cent compared to Q1 2011. The LED sector now represents 16 per cent of the company’s total lighting sales.
Commenting on the results, Frans van Houten, CEO of Philips said: “After a declining trend over the past seven quarters, I am quite pleased with the sequential performance improvement at Lighting, as organisational changes and operational improvements began to show positive results.”
EBITA, excluding restructuring and acquisition-related charges and a loss on the sales of assets of EUR 49 million in total was EUR 110 million or 5.5 per cent of sales (Q1 2011: EUR 198 million, or 10.4 per cent of sales).
The company attributed the year-on-year EBITA decrease to an increase in the price of raw materials in 2011 and ‘operational performance issues’ at Lumileds and Consumer Luminaires.
In addition, increased restructuring and acquisition-related charges of EUR 24 million and a EUR 25 million loss on the sales of assets impacted EBITA.
Restructuring and acquisition related charges in Q2 2012 are expected to total approximately EUR 40 million.