Signify reported full-year 2025 sales of EUR 5.8 billion, operational profitability of 8.9%, and free cash flow of EUR 440 million. The installed base of connected light points increased to 167 million by the end of 2025, with FY 25 sales of EUR 5,765 million and an adjusted EBITA margin of 8.9%. Net income was EUR 259 million, with a proposal for a cash dividend of EUR 1.57 per share over 2025. Signify is initiating a cost reduction program of EUR 180 million and pausing share repurchases during a portfolio and strategy review.

Signify’s performance in 2025 showcased business resilience amidst reduced demand and pricing pressure. The full-year results were mixed, with growth in the US Professional business but decline in Europe. Connected lighting saw strong growth, offsetting declines in non-connected areas. Adjusted EBITA was 8.9% for the year, with strong cash flow of EUR 440 million. A cost reduction program of EUR 180 million and a pause in share repurchases for capital reduction purposes are planned.

Signify completed its Brighter Lives, Better World 2025 sustainability program, exceeding targets for reducing greenhouse gas emissions, circular revenues, and brighter lives revenues. The company maintained a 27% representation of women in leadership, falling short of the 34% target. A cost reduction program of EUR 180 million will be implemented to reset the cost base and drive productivity improvements, with savings expected through 2026.

Anticipating challenging conditions in 2026, Signify is not providing full-year sales guidance at this stage. An adjusted EBITA margin of 7.5-8.5% and free cash flow generation of 6.5-7.5% of sales are expected. The company will focus on strengthening commercial and operational excellence, maintaining cost competitiveness, and conducting a full strategy and portfolio review. A conference call for analysts and investors will discuss the 2025 results.

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