SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

____________________________________________________________________________

FORM 6-K

____________________________________________________________________________

REPORT OF FOREIGN ISSUER

Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934

February 19, 2025

____________________________________________________________________________

(Exact name of registrant as specified in its charter)

____________________________________________________________________________

Royal Philips

(Translation of registrant’s name into English)

The Netherlands

(Jurisdiction of incorporation or organization)

Breitner Center, Amstelplein 2, 1096 BC Amsterdam, The Netherlands

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ☒Form 40-F ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule101(b)(1): ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule101(b)(7): ☐

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the

Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes ☐No ☒

Name and address of person authorized to receive notices and communications from the Securities and Exchange Commission:

M.J. van Ginneken

Koninklijke Philips N.V.

Amstelplein 2

1096 BC Amsterdam – The Netherlands

This report comprises a copy of the following report:

“Philips’ Fourth Quarter Results 2024”, dated February 19, 2025.

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf, by the

undersigned, thereunto duly authorized at Amsterdam, on the 19th day of February 2025.

/s/ M.J. van Ginneken

(Chief Legal Officer)

Philips delivers growth, improved profitability, and strong cash flow in Q4 and 2024;

continues solid execution of its three-year plan

Amsterdam, February 19, 2025

Full Year and Q4 Group performance highlights

•Sales of EUR 18.0 billion in 2024, comparable sales growth 1%; EUR 5.0 billion in Q4, comparable sales growth 1%,

despite double-digit decline in China

•Comparable order intake increased 1% in 2024; up 2% in Q4, despite double-digit decline in China

•Income from operations was EUR 529 million in 2024; EUR 199 million in Q4

•Adjusted EBITA margin increased 90 basis points to 11.5% of sales in 2024; up 60 basis points to 13.5% in Q4

•Net cash flow from operating activities was EUR 1,569 million in 2024; EUR 1,459 million in Q4

•Free cash flow was EUR 906 million in 2024; EUR 1,285 million in Q4

•Finalized Philips Respironics recall-related medical monitoring and personal injury settlements in US 

•Proposed dividend maintained at EUR 0.85 per share, in shares or cash

•Increased productivity savings target for 2023-2025 from EUR 2 billion to EUR 2.5 billion, EUR 800 million in 2025

•Outlook for 2025 published

Roy Jakobs, CEO of Royal Philips:

“We delivered better care for more people by enhancing execution and focusing on driving

improvements in profitability and cash flow, as well as order and sales growth. We strengthened our

fundamentals and resolved significant US litigation relating to the Respironics recall.

Despite double-digit declines in demand in both consumer and health systems in China, we returned

to positive order growth and continued to drive margin expansion and cash-flow generation. With our

strong balance sheet we are pleased to offer shareholders the option to receive the dividend in shares

or cash.

Within a persistently challenging macro environment, our focus remains on executing our value

creation plan, bringing industry-leading innovations to the market and driving a simplified, more agile

operating model. We strengthened our team and culture of impact with care, with patient safety and

quality as our number one priority.

Looking ahead, we remain confident in our long-term plan and will continue to work closely with

customers as we build on our strong innovation pipeline and focus on execution excellence to drive

profitable growth."

Group and segment performance

Comparable order intake increased 2% in the quarter, with strong performance in the North America and Growth geographies, partly offset by a

double-digit decline in demand in China. Group comparable sales increased 1% in the quarter, with solid growth of 5% in the rest of the world,

largely offset by a double-digit decline in China, where market conditions are expected to remain uncertain.

Adjusted EBITA increased 60 basis points to 13.5% in Q4, driven by operational improvements and productivity measures. Free cash flow increased to

EUR 1.3 billion in the quarter, driven by Respironics insurance proceeds, partly offset by phasing in working capital.

For the full year, comparable order intake and sales increased 1%, up 4% excluding China. Adjusted EBITA increased 90 basis points to 11.5% and

free cash flow was EUR 0.9 billion.

Diagnosis & Treatment comparable sales decreased 1% in Q4, due to a double-digit decline in China, offsetting solid growth elsewhere. Adjusted

EBITA margin was 12.1% in Q4, driven by productivity, mix and pricing. For the full year, the Diagnosis & Treatment businesses recorded 1% comparable

sales growth, on the back of 11% growth in 2023, and an Adjusted EBITA margin of 11.6%.

Connected Care comparable sales increased 7% in Q4, on the back of a low comparison base. Adjusted EBITA margin was 15.0% in Q4, in line with last

year. For the full year, the Connected Care businesses recorded a 2% comparable sales increase and an Adjusted EBITA margin of 9.6%.

Personal Health comparable sales decreased 2% in Q4 due to a double-digit decline in China, more than offsetting a strong performance elsewhere.

Adjusted EBITA margin was 18.0% in Q4, including lower sales in China. For the full year, Personal Health comparable sales decreased 1% and the

Adjusted EBITA margin was 16.7%.

Innovation highlights 

•FDA clearance of the Philips CT 5300, featuring AI-based reconstruction software to reduce radiation dose and improve image quality, and of the

Philips Spectral CT 7500 RT, enabling personalized radiation therapy planning.

•Expansion of Philips' strategic collaboration with Amazon Web Services to offer an integrated diagnostics portfolio in the cloud, such as AI advanced

visualization solutions that unify diagnostic workflows, improve access to critical insights, and drive better outcomes across clinical specialties, including

radiology, digital pathology and cardiology.

•Philips and Mayo Clinic will collaborate using their proprietary AI technologies to target breakthroughs in ease-of-use and efficiency to bring high-

quality diagnostic MRI and better care to patients with heart disease. Philips also announced partnerships with Hôpital Fondation Rothschild in Paris for

imaging platforms and health informatics and with Erasmus Medical Center in Rotterdam for ultrasound solutions and services.

•Together with its clinical partners, Philips continues to advance minimally invasive procedures to treat patients based on new technologies and

methods, enrolling the first patients in the THOR clinical trial, which integrates two critical peripheral artery disease treatments into a single device.

Achieving a significant milestone in the WE-TRUST clinical trial, Philips has now included one-third of the targeted 564 patients to evaluate how a new

imaging method could impact workflow and improve outcomes for stroke patients.

•Philips renewed its mid-range Sonicare electric toothbrushes, Series 5000-7000, in Europe and launched new localized products in China, including

the On-The-Go Compact Shaver, which earned a top ranking for new product sales from leading online retailer JD.com.

•Peer-reviewed life cycle assessment results were published in the leading sector publication Radiology, following close collaboration between the

Vanderbilt University Medical Center radiology department and Philips. The analysis underscores the importance of joining forces to tackle significant

operational and sustainability challenges, such as reducing the cost of care and reducing carbon footprint.

Leadership and culture

Philips is strengthening its culture of impact with care, acting with integrity with patient safety and quality as the number one priority. Philips continues to

simplify its operating model, with end-to-end Businesses holding single accountability, supported by leaner central Functions and strong customer-facing

organizations in the Regions and countries.

Since the start of the three-year plan, 75% of executive hires across the company have come from a health technology background. Recent appointments

to the Executive Committee include leaders for Precision Diagnosis, International Region, and Greater China Region, plus a new Chief Financial Officer on

the Board of Management.

Productivity

Productivity initiatives are ahead of plan and delivered savings of EUR 163 million in Q4: operating model savings of EUR 47 million, procurement savings

of EUR 56 million, and other programs savings of EUR 59 million. Since 2023, productivity initiatives have delivered savings of more than EUR 1.7 billion.

Philips is raising its productivity savings target for the 2023-2025 period from EUR 2 billion to EUR 2.5 billion, driven by cost efficiencies and further

simplification of its operating model, with EUR 800 million to be delivered in 2025.

Outlook

Philips remains focused on successfully executing its three-year plan to drive operational improvements and create value with sustainable impact, within a

challenging macro environment. For 2025, Philips expects:

•1%-3% comparable sales growth, including a mid- to high-single-digit decline in China

•Adjusted EBITA margin increasing 30-80 bps to 11.8%-12.3%

•Free cash flow before payment of the USD 1.1 billion cash-out relating to the US medical monitoring and personal injury settlements will be at the

lower end of the range of EUR 1.4 billion to EUR 1.6 billion. Net of this cash-out, free cash flow will be EUR 0.4 billion to EUR 0.6 billion.

We anticipate comparable sales growth to be back-end-loaded in the year, with a mid-single-digit decline in Q1 mainly due to lower demand in China

and royalties phasing, with correspondingly lower Adjusted EBITA margin.

The outlook includes the impact of the recently announced US-China tariffs. It excludes ongoing Philips Respironics-related legal proceedings, including

the investigation by the US Department of Justice.

Respironics Recall

In December 2024, Philips Respironics obtained final approval for the recall-related medical monitoring settlement, and in February 2025, the personal

injury settlement became final following a successful registration process. The aggregate amount of the settlements is USD 1.1 billion; payment is

expected in the first half of 2025.

Capital allocation

Philips intends to submit to the 2025 Annual General Meeting of Shareholders a proposal to declare a dividend of EUR 0.85 per common share, in shares

or cash at the option of the shareholder, with a maximum of 50% of the total dividend distribution to all shareholders being available for payment in

cash. If more than 50% of the total dividend is requested by the shareholders to be paid out in cash, those shareholders who have chosen to receive their

dividend in cash will receive their cash dividend on a pro-rata basis, the remainder being paid out in shares.

Conference call and video webcast

Roy Jakobs, CEO, and Charlotte Hanneman, CFO, will host a conference call for investors and analysts at 9:00 am CET today to discuss the full year 2024

results. A live webcast of the conference call will be available on the Philips Investor Relations website and can be accessed here.

About Royal Philips

Royal Philips (NYSE: PHG, AEX: PHIA) is a leading health technology company focused on improving people’s health and well-being through meaningful

innovation. Philips’ patient- and people-centric innovation leverages advanced technology and deep clinical and consumer insights to deliver personal

health solutions for consumers and professional health solutions for healthcare providers and their patients in the hospital and the home.

Headquartered in the Netherlands, the company is a leader in diagnostic imaging, ultrasound, image-guided therapy, monitoring and enterprise

informatics, as well as in personal health. Philips generated 2024 sales of EUR 18 billion and employs approximately 67,800 employees with sales and

services in more than 100 countries. News about Philips can be found at www.philips.com/newscenter.

Fourth quarter highlights

Key data in millions of EUR unless otherwise stated*

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

information

2Effective Q1 2024, Philips has revised the order intake policy for the software

businesses. Refer to Forward-looking statements and other important

information.

3Comparable order intake is presented when discussing the Philips Group's

4Shareholders refers to shareholders of Koninklijke Philips N.V. Per share

reflect the issuance of shares for the share dividend with respect to 2023

•Comparable sales increased by 1%, including a double-digit decline

in China. Growth was driven by Connected Care while the Diagnosis

& Treatment and Personal Health segments showed a decline, mainly

due to lower demand from consumers and health systems in China.

•Income from operations increased to EUR 199 million, mainly driven

by higher gross margin, operational improvements, lower Respironics

consent decree charges and field action running costs, partly offset

by higher impairment charges in relation to intangible assets.

•Adjusted EBITA increased to EUR 679 million and the margin

improved to 13.5%, mainly driven by operational improvements and

•Restructuring, acquisition-related and other items amounted to     

EUR 286 million, compared with EUR 548 million in Q4 2023. Q4

2024 includes EUR 118 million restructuring and acquisition-related

charges, EUR 92 million related to quality actions, EUR 48 million

Respironics consent decree charges, and EUR 26 million Respironics

•Income tax expense increased by EUR 581 million year-on-year, due

to de-recognition of deferred tax assets in the US and higher income

before tax in Q4 2024, as well as the recognition of historical tax

credits in Q4 2023.

•Net income decreased, mainly due to higher tax expenses, partly

offset by higher gross margin and lower restructuring, acquisition-

related charges and other items.

Sales per geographic area1 in millions of EUR unless otherwise stated*

1Sales per geographic area is reported based on country of destination.

2Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales in Mature geographies showed mid-single-digit

growth with strong contributions from all Regions. Growth

geographies decreased by 9% as a result of the double-digit decline

in China, partly offset by an increase in other Growth geographies.

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Net cash flows from operating activities increased, mainly driven by

the EUR 367 million Respironics insurance proceeds, partly offset by

lower working capital inflows.

•Treasury shares transactions includes share repurchases to cover

obligations arising from long-term incentive plans.

•Changes in debt in Q4 2024 mainly included a EUR 346 million bond

redemption.

•Other cash flow items reflects the foreign currency impact on the

cash balance.

Composition of net debt to group equity1 in millions of EUR unless otherwise

stated

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales decreased by 1%, mainly due to a double-digit

decline in China, offsetting solid growth elsewhere. Growth in Image

Guided Therapy was offset by a decline in Precision Diagnosis. 

•Mature geographies showed mid-single-digit growth, driven by

North America and Western Europe. Growth geographies decreased

mainly due to the decline in China.

•Income from operations was impacted by the impairment of

intangible assets amounting to EUR 132 million in Q4 2024.

•Adjusted EBITA increased to EUR 295 million and the margin

improved to 12.1%, mainly driven by productivity, mix and pricing.

•Restructuring, acquisition-related and other items amounted to EUR

136 million, compared with EUR 96 million in Q4 2023. Q4 2024

includes EUR 97 million restructuring and acquisition-related charges

and EUR 39 million related to quality actions.

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales increased by 7%, on the back of a low comparison

base due to the impact of a provision against sales taken in Q4 2023

related to the Respironics recall remediation.

•Mature geographies showed high-single-digit growth. Growth

geographies showed a low-single-digit decline.

•Adjusted EBITA increased to EUR 214 million and the margin was in

line with last year.

•Restructuring, acquisition-related and other items amounted to EUR

126 million, compared with EUR 490 million in Q4 2023. Q4 2024

includes EUR 53 million related to quality actions, EUR 48 million

Respironics consent decree charges and EUR 26 million Respironics

1Non-IFRS financial measure. Refer to Reconciliation of non-IFRS information

•Comparable sales decreased by 2%, mainly due to the double-digit

decline in China as a result of subdued consumer sentiment. 

•Adjusted EBITA decreased to EUR 185 million and the margin

decreased to 18.0%, mainly due to lower sales in China.

•Restructuring, acquisition-related and other items amounted to     

EUR 5 million in Q4 2024.

Other

Key data in millions of EUR

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Sales increased by EUR 10 million, mainly driven by higher royalty

income.

•Adjusted EBITA improved by EUR 10 million, mainly driven by higher

royalty income.

•Restructuring, acquisition-related and other items amounted to     

EUR 19 million, compared with EUR 40 million in Q4 2023.

Proposed dividend distribution

A proposal will be submitted to the Annual General Meeting of Shareholders, to be held on May 8, 2025, to declare a distribution of EUR 0.85 per

common share, in shares or cash at the option of the shareholder, against retained earnings.

If the above dividend proposal is adopted, the shares will be traded ex-dividend at the Euronext Amsterdam as of May 12, 2025, and at the New York

Stock Exchange as of May 13, 2025. In compliance with the listing requirements of Euronext Amsterdam and the New York Stock Exchange, the dividend

record date will be May 13, 2025.

Shareholders will be given the opportunity to make their choice between shares and cash between May 14 and June 2, 2025, for shares traded at the

New York Stock Exchange, and between May 14 and June 3, 2025, for shares traded at Euronext Amsterdam. If no choice is made during this election

period, the dividend will be distributed in shares.

Of the total dividend distribution to all shareholders (up to EUR 786 million), a maximum of 50% will be available for payment in cash. If shareholders in

total elect to receive an aggregate amount of cash dividend that exceeds the maximum percentage of the total dividend amount, those shareholders who

elected to receive their dividend in cash will receive their cash dividend on a pro-rata basis, the remainder being distributed in shares.

The number of share dividend rights entitled to one new common share will be determined based on the volume weighted average price of all traded

common shares of Koninklijke Philips N.V. at Euronext Amsterdam on May 30, June 2 and June 3, 2025. The company will calculate the number of share

dividend rights entitled to one new common share (the ratio), such that the gross dividend in shares will be approximately equal to EUR 0.85. The ratio

and the number of shares to be issued will be announced on June 5, 2025. Delivery of new common shares and payment of the dividend, with

settlement of fractions in cash, if required, will take place from June 6, 2025.

Further details will be given in the agenda with explanatory notes for the 2025 Annual General Meeting of Shareholders. All dates mentioned remain

provisional until then.

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

2Effective Q1 2024, Philips has revised the order intake policy for the software

businesses. Refer to Forward-looking statements and other important

information.

3Comparable order intake is presented when discussing the Philips Group's

4Shareholders refers to shareholders of Koninklijke Philips N.V. Per share

reflect the issuance of shares for the share dividend with respect to 2023.

•Comparable sales increased by 1% on the back of mid-single-digit

growth in 2023. A double-digit decline in China due to the lower

demand from consumers and health systems was more than offset

by the solid growth in the rest of the world.

•Income from operations increased by EUR 644 million, mainly driven

by higher gross margin, and lower charges in restructuring,

acquisition-related and other items, partially offset by higher

impairment charges.

•Adjusted EBITA increased to EUR 2,077 million and the margin

improved to 11.5%, mainly driven by operational improvements and

•Restructuring, acquisition-related and other items amounted to EUR

1,156 million, compared with EUR 1,738 million in 2023. 2024

includes EUR 984 million for the Respironics litigation provision, EUR

326 million restructuring and acquisition-related charges, EUR 133

million Respironics field-action running costs, EUR 123 million related

to quality actions, and EUR 113 million Respironics consent decree

charges, partially offset by EUR 538 million Respironics insurance

income related to the product liability claims.

•Investments in associates includes share of results of associates and

impairments, and it decreased by EUR 26 million, mainly due to

higher impairment losses.

•Income tax expense increased by EUR 1,036 million year-on-year,

mainly due to de-recognition of deferred tax assets in the US and

higher income before tax in 2024, as well as the recognition of

historical tax credits in 2023.

•Net income decreased in comparison with 2023, mainly due to

higher tax expenses, partly offset by higher gross margin and lower

restructuring, acquisition-related and other items.

Sales per geographic area1 in millions of EUR unless otherwise stated

1Sales per geographic area is reported based on country of destination.

2Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales in Mature geographies showed low-single-digit

growth, mainly driven by Western Europe and North America, partly

offset by Other mature geographies. Growth geographies decreased

by 2% as a result of the decline in China, partly offset by an increase

in other Growth geographies.

1Non-IFRS financial measure. Refer to the  Reconciliation of non-IFRS

•Net cash flows from operating activities decreased, mainly due to the

payments in connection with the Respironics economic loss

settlement in the US and working capital outflows, partly offset by

the Respironics insurance proceeds.

•Net capital expenditures were higher in 2024 as cash proceeds from

the sale of real estate were favorably impacting 2023 results.

•Other cash flows from investing activities in 2024 mainly includes

proceeds from divested businesses. The cash outflows in 2023 were

mainly a result of a cash payment with respect to foreign exchange

derivative contracts. 

•Treasury shares transactions includes share repurchases as part of the

EUR 1.5 billion share repurchase program for capital reduction

purposes that was announced on July 26, 2021, and completed on

April 12, 2024, and share repurchases for long-term incentive plans,

as well as related withholding tax.

•Changes in debt mainly included the new bond issuance of EUR 700

million, which was offset by a bond redemption of EUR 547 million

and other debt repayments.

•Other cash flow items reflects foreign currency impact on the cash

balance.

Composition of net debt to group equity in millions of EUR unless

otherwise stated

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•The net debt to group equity ratio decreased, mainly due to the

increase in cash and cash equivalents in 2024.

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales increased by 1% on the back of double-digit

growth in 2023. Growth in Image Guided Therapy was partly offset

by a decline in Precision Diagnosis.

•Comparable sales in Mature geographies showed mid-single-digit

growth, mainly driven by North America. Growth geographies

showed a low-single-digit decline, due to China, partly offset by an

increase in other Growth geographies.

•Adjusted EBITA decreased to EUR 1,018 million and the margin was

in line with last year.

•Restructuring, acquisition-related and other items amounted to EUR

202 million, compared with EUR 210 million in 2023. 2024 includes

EUR 157 million in restructuring and acquisition charges and EUR 45

million related to quality actions.

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales increased by 2%, mainly driven by growth in

Enterprise Informatics and Sleep & Respiratory Care, which was

partially offset by a decline in Monitoring on the back of strong

double-digit growth in 2023.

•Mature geographies showed low-single-digit growth, driven by

double-digit growth in Western Europe and low-single-digit growth

in North America. Comparable sales in Growth geographies declined

due to China. 

•Adjusted EBITA increased to EUR 494 million and the margin

improved to 9.6%, driven by productivity measures and pricing

actions. 

•Restructuring, acquisition-related and other items were EUR 818

million, compared with EUR 1,390 million in 2023. 2024 includes

EUR 984 million for the Respironics litigation provision, EUR 133

million Respironics field-action running costs, EUR 113 million

Respironics consent decree charges, EUR 78 million related to quality

actions, and EUR 53 million restructuring and acquisition-related

charges, partly offset by EUR 538 million in insurance income related

to the Respironics product liability claims.

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Comparable sales decreased by 1%, mainly due to a low-single-digit

decline in Growth geographies due to China, which was partially

offset by low-single-digit growth in Mature geographies.

•Adjusted EBITA was EUR 584 million and the margin increased to

16.7%, driven by operational improvements and productivity

measures, largely offset by lower sales in China.

•Restructuring, acquisition-related and other items amounted to EUR

25 million, compared with EUR 31 million in 2023.

Other

1Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

•Sales increased by EUR 7 million, mainly driven by higher royalty

income.

•Adjusted EBITA increased by EUR 55 million, mainly driven by higher

royalty income and lower costs.

•Restructuring, acquisition-related and other items amounted to EUR

111 million, compared with EUR 108 million in 2023. 

and other information

This document and the related oral presentation, including responses

to questions following the presentation, contain certain forward-

looking statements with respect to the financial condition, results of

operations and business of Philips and certain of the plans and

objectives of Philips with respect to these items. Examples of forward-

looking statements include statements made about our strategy,

estimates of sales growth, future Adjusted EBITA*), future restructuring

and acquisition-related charges and other costs, future developments in

Philips’ organic business and the completion of acquisitions and

divestments. Forward-looking statements can be identified generally as

those containing words such as “anticipates”, “assumes”, “believes”,

“estimates”, “expects”, “should”, “will”, “will likely result”,

“forecast”, “outlook”, “projects”, “may” or similar expressions. By

their nature, these statements involve risk and uncertainty because they

relate to future events and circumstances and there are many factors

that could cause actual results and developments to differ materially

from those expressed or implied by these statements.

These factors include but are not limited to: macro-economic and

geopolitical changes, including protectionism measures such as

announced and proposed tariffs and retaliatory trade measures in

response thereto; Philips’ ability to keep pace with the changing health

technology environment; Philips’ ability to gain leadership in health

informatics and artificial intelligence in response to developments in the

health technology industry; integration of acquisitions and their delivery

on business plans and value creation expectations; ability to meet

expectations with respect to ESG-related matters; securing and

maintaining Philips’ intellectual property rights, and unauthorized use

of third-party intellectual property rights; failure of products and

services to meet quality or security standards, adversely affecting

patient safety and customer operations; the resilience of our supply

chain; challenges in simplifying our organization and our ways of

working; attracting and retaining personnel; breach of cybersecurity;

challenges in driving operational excellence and speed in bringing

innovations to market; treasury and financing risks; tax risks; reliability

of internal controls; compliance with regulations and standards

involving quality, product safety, (cyber) security and artificial

intelligence; and compliance with business conduct rules and

regulations including privacy, existing and upcoming ESG disclosure

and due diligence requirements. As a result, Philips’ actual future

results may differ materially from the plans, goals and expectations set

forth in such forward-looking statements. For a discussion of factors

that could cause future results to differ from such forward-looking

statements, see also the Risk management chapter included in the

Annual Report 2023. Reference is also made to section Risk

management in the Philips semi-annual report 2024.

Third-party market share data

Statements regarding market share contained in this document,

including those regarding Philips’ competitive position, are based on

outside sources such as specialized research institutes, as well as

industry and dealer panels, in combination with management

estimates. Where information is not yet available to Philips, market

share statements may also be based on estimates and projections

prepared by management and/or based on outside sources of

information. Management’s estimates of rankings are based on order

intake or sales, depending on the business.

Market Abuse Regulation

This press release contains inside information within the meaning of

Article 7(1) of the EU Market Abuse Regulation.

Use of non-IFRS information

In presenting and discussing the Philips Group’s financial position,

operating results and cash flows, management uses certain non-IFRS

financial measures. These non-IFRS financial measures should not be

viewed in isolation as alternatives to the equivalent IFRS measure and

should be used in conjunction with the most directly comparable IFRS

measures. Non-IFRS financial measures do not have standardized

meaning under IFRS and therefore may not be comparable to similar

measures presented by other issuers. A reconciliation of these non-IFRS

measures to the most directly comparable IFRS measures is contained in

this document. Further information on non-IFRS measures can be

found in the Annual Report 2023.

Presentation

All amounts are in millions of euros unless otherwise stated. Due to

rounding, amounts may not add up precisely to totals provided. All

reported data is unaudited. Financial reporting is in accordance with

the accounting policies as stated in the Annual Report 2023. Prior-

period amounts have been reclassified to conform to the current-period

presentation; this includes immaterial organizational changes.

Effective Q1 2024, Philips has revised the order intake policy to reflect

the full contract value for software contracts that start generating

revenue within an 18-month horizon, instead of only the next 18-

months-to-revenue horizon. This change has been implemented to

better align with the specific business model of our software

businesses, simplify the order intake process, and better align with

peers. Prior-period comparable order intake percentages have been

restated accordingly. This revision has not resulted in any material

changes to the order intake percentages for the periods presented.

Per share calculations have been adjusted retrospectively for all periods

presented to reflect the issuance of shares in the second quarter of

2024 in connection with the 2023 share dividend.

*Non-IFRS financial measure. Refer to the Reconciliation of non-IFRS

Condensed consolidated statements of income

In millions of EUR unless otherwise stated*

1Shareholders refers to shareholders of Koninklijke Philips N.V. 

Philips Group

Earnings per common share attributable to shareholders of Koninklijke Philips N.V.

1Per share calculations have been adjusted retrospectively for all periods presented to reflect the issuance of shares for the share dividend with respect to 2023.

comprehensive income

Condensed consolidated balance sheets

Condensed consolidated statements of cash flows

changes in equity

Reconciliation of non-IFRS information

Certain non-IFRS financial measures are presented when discussing the

Philips Group’s performance:

•Comparable sales growth

•Adjusted income from continuing operations attributable to

shareholders

•Adjusted income from continuing operations attributable to

shareholders per common share (in EUR) - diluted (Adjusted EPS)

•EBITA

•Adjusted EBITA

•Adjusted EBITDA

•Free cash flow

•Net debt : group equity ratio

For the definitions of the non-IFRS financial measures listed above, refer

to chapter 13.5, Reconciliation of non-IFRS information, of the Annual

Report 2023 and to the Forward-looking statements and other

important information.

Comparable order intake is not a financial measure, but is presented

when discussing the Philips Group’s performance. Effective Q1 2024,

Philips has revised the order intake policy for the software business.

Refer to Forward-looking statements and other important information.

Sales growth composition in %

Adjusted income from continuing operations attributable to shareholders1 in millions of EUR unless otherwise stated*