Philips Forecasts Modest 2025 Growth Amid China We…
From Financial Modeling Prep: 2025-02-19 05:51:09
Dutch healthcare tech giant Philips projects 1-3% sales growth for 2025 despite challenges from China and U.S.-China tariffs. Q4 2024 sales were €5.04 billion, missing expectations. Adjusted EBITA was €679 million, slightly below forecast. Annual dividend proposed at €0.85 per share, consistent with 2023 payout.
China sales decline, expecting mid- to high-single-digit drop in 2025. Revenue share shrinks from over 13% to about 10% in the past decade. Philips employs over 7,000 people in China, a critical market despite demand slumps.
Trade tensions could impact profitability and growth, especially with tariffs on medical equipment. Supply chain costs could rise, affecting sales in U.S. and China.
Philips aims for modest growth in 2025, with healthcare and medical imaging leading revenue. Consumer electronics division may face macroeconomic challenges. Despite obstacles, Philips focuses on healthcare tech for long-term resilience and steady dividends. Investors monitor geopolitical risks and sales strategy.
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