⁍ Philips PHG.AS saw sales and profits jump in the third quarter.
⁍ Pandemic spurred demand for hospital equipment needed to help patients battling the disease.
⁍ Amsterdam-based Philips on Monday said comparable sales rose 10%.
– Royal Philips Electronics posted strong third-quarter sales and profits Monday, helped by a surge in demand for ventilators and other medical equipment used to treat the H1N1 virus. The company’s comparable sales rose 10% to $5.8 billion in the July-September period, while core profits jumped by a third to 769 million euros, reports Reuters. Like other companies, Philips was hit hard by the H1N1 outbreak in the first half of 2020, but CEO Frans van Houten says the company is now seeing a “structural change” in hospitals, with increased demand for remote monitoring of patients. “There is a structural higher demand for the healthcare informatics that Philips has already invested in for several years and now we see the validation of that strategy,” he says. The company expects sales to grow 5% to 6% per year between 2021 and 2025, with its profit margin reaching the “high teens” by 2025, it says.
Source: https://www.reuters.com/article/us-philips-results/philips-growth-spurred-by-covid-19-demand-and-distant-care-idUSKBN2740G7