Philips : maakt cijfers eerste kwartaal 2017 bekend

Kerncijfers eerste kwartaal

• De omzet steeg naar EUR 5,7 miljard, met een vergelijkbare omzetgroei van 3% voor het HealthTech-portfolio en 2% op groepsniveau
• Het nettoresultaat bedroeg EUR 259 miljoen, vergeleken met EUR 37 miljoen in het eerste kwartaal van 2016
• Het bedrijfsresultaat (EBIT) bedroeg EUR 348 miljoen, vergeleken met EUR 199 miljoen in het eerste kwartaal vorig jaar
• De EBITA steeg naar EUR 437 miljoen, ofwel 7,6% van de omzet, tegenover EUR 290 miljoen, ofwel 5,3% van de omzet, in het eerste kwartaal van 2016
• De gecorrigeerde EBITA nam toe naar EUR 442 miljoen, oftewel 7,7% van de omzet, tegenover EUR 374 miljoen, oftewel 6,8% van de omzet, in het eerste kwartaal vorig jaar
• De operationele kasstroom was EUR 343 miljoen, tegenover EUR 10 miljoen in het eerste kwartaal van 2016, en een vrije kasstroom van EUR 295 miljoen, vergeleken met een kasuitstroom van EUR 177 miljoen in het eerste kwartaal van 2016

Frans van Houten, CEO:

'We zijn het jaar gedegen gestart met een vergelijkbare omzetgroei van 2% op groepsniveau en een verbetering van de gecorrigeerde EBITA-marge met 90 basispunten. Ondanks aanhoudende volatiliteit binnen de markten waarin we actief zijn, groeide ons HealthTech-portfolio met 3% en zijn de operationele resultaten verder verbeterd, hetgeen heeft geleid tot een verbetering van de gecorrigeerde EBITA-marge met 80 basispunten.

Onze activiteiten op het gebied van Diagnosis & Treatment en Personal Health boekten forse margeverbeteringen, terwijl bij Connected Care & Health Informatics sprake is van een schommelend omzetpatroon dat kenmerkend is voor grote contracten op het vlak van ziekenhuisinformatica. De vergelijkbare orderontvangst nam toe met 2%, voornamelijk door een middelhoge eencijferige groei van onze activiteiten op het gebied van Diagnosis & Treatment.

In het bijzonder levendige eerste kwartaal brachten we, in lijn met ons strategisch plan, ons belang in Philips Lighting terug naar 55%. We hebben onze positie als toonaangevende aanbieder van zorgtechnologie verder versterkt doordat we diverse baanbrekende innovaties hebben geïntroduceerd, strategische allianties zijn aangegaan en verschillende contracten voor geïntegreerde oplossingen in de wacht hebben gesleept. Het feit dat het aandeel Philips onlangs in de STOXX Europe 600 Index vanuit de categorie 'Industrial Goods & Services' is ingedeeld bij 'Health Care', vormt een bevestiging van onze transformatie tot aanbieder van gezondheidstechnologie.

Met de uitvoering van onze strategie blijven we werken aan verdere verbetering van onze onderliggende prestaties en realisatie van de doelstelling van 4-6% groei van de vergelijkbare omzet. Ook willen we de gecorrigeerde EBITA-marge met gemiddeld 100 basispunten per jaar verbeteren. Onze vooruitzichten voor het jaar blijven ongewijzigd, waarbij we verwachten dat verdere groei van de vergelijkbare omzet en verbetering van onze operationele resultaten met name in de tweede helft van het jaar zichtbaar worden.'

HealthTech

In the first quarter, the Personal Health businesses increased sales by 5% on a comparable basis, with growth across the portfolio as Health & Wellness and Sleep & Respiratory Care recorded high-single-digit growth; the Adjusted EBITA margin improved by 150 basis points. The Diagnosis & Treatment businesses posted comparable sales growth of 2%, and the Adjusted EBITA margin improved by 190 basis points, driven by Diagnostic Imaging. In the Connected Care & Health Informatics businesses, comparable sales increased 1%, while the Adjusted EBITA margin was 30 basis points lower than in the same period last year, mainly reflecting lower growth and higher channel investments.

The continued focus and investments in R&D led to a number of breakthrough innovations and strategic collaborations:

• Philips reinforced its leadership in image-guided therapy solutions with the global launch of Philips Azurion, the next-generation image-guided therapy platform that enables clinicians to perform a wide range of routine and complex procedures, helping them to optimize interventional lab performance and provide superior care.
• Philips Volcano continued its strong performance as the business reached an important milestone with the results of two large clinical trials demonstrating the benefits of Philips' Instant Wave-Free Ratio (iFR) technology compared to Fractional Flow Reserve (FFR), the current standard, removing a critical barrier for the use and adoption of iFR to decide, guide and confirm appropriate therapies.
• B. Braun and Philips entered into a strategic alliance to innovate and accelerate growth in ultrasound-guided regional anesthesia and vascular access. The alliance launched Xperius, a new co-branded mobile ultrasound system specifically designed as the platform to support current and future integrated solutions in this fast-growing market.
• Building on its strategy to deliver relevant solutions and business models, Philips signed an agreement to acquire Australian Pharmacy Sleep Services (APSS), a pioneer in pharmacy sleep testing. APSS will complement Philips' sleep and respiratory care portfolio and will help to accelerate the business's home sleep testing offering through the pharmacy channel in Australia.
• At the International Dental Show in Germany, the world's leading trade fair for the dental sector, Philips revealed the Philips Sonicare DiamondClean Smart toothbrush and Philips Sonicare Breath care system with breath analyzer, an all-in-one connected oral care platform. Philips also presented the results of a new clinical study demonstrating the effectiveness of Philips Sonicare power toothbrushes and Philips AirFloss Ultra.
• Demonstrating the success of telehealth technologies, Emory Healthcare (US) achieved savings of USD 4.6 million over a period of 15 months by using Philips' eICU platform. Similarly, with the help of Philips' Intensive Ambulatory Care program, Banner Health (US) reduced hospitalizations for chronically ill patients with multiple conditions by nearly 50%, reducing overall cost of care by more than one third.
• Expanding its health informatics portfolio, Philips launched its IntelliSpace Enterprise Edition, an industry-first managed service solution for hospital-wide clinical informatics and data management. The high-performance, secure and scalable health informatics platform enables health systems to manage the growth and cost of their clinical enterprise with a pay-per-use model.
• Further strengthening its portfolio of imaging solutions, Philips received FDA 510(k) clearance for its ElastQ ultrasound imaging technology for non-invasive assessment of liver conditions. Philips also launched Access CT, a new CT system designed for healthcare organizations seeking to establish or enhance CT imaging capabilities at affordable cost.

Cost savings

In the first quarter, procurement savings amounted to EUR 41 million. Other productivity programs resulted in savings of EUR 54 million.

Philips Lighting

In the first quarter, the Adjusted EBITA margin improved by 130 basis points to 8.5% of sales, while comparable sales were flat, and free cash flow amounted to EUR 2 million. Full details about the financial performance of Philips Lighting in the first quarter were published on April 21, 2017. The related report can be accessed here.

On February 8, 2017, Philips sold 26 million shares in Philips Lighting, of which 3.5 million shares were acquired by Philips Lighting (and will be cancelled). Philips' shareholding in Philips Lighting decreased to 55.18% of Philips Lighting's issued and outstanding share capital, down from 71.225% prior to the transaction. Philips continues to consolidate the financial results of Philips Lighting and maintains its aim of fully selling down over the coming years.

Philips Group other

As previously reported, Philips continues to be in discussions on a civil matter with the US Department of Justice representing the FDA, arising from past inspections by the FDA in and prior to 2015, focusing primarily on the external defibrillator business in the US.

Financing

On January 20, 2017, Philips completed the redemption of the outstanding 5.750% Notes due 2018 with an aggregate principal amount of USD 1.250 billion. The transaction resulted in a cash outflow in the first quarter of 2017 of EUR 1.247 billion excluding accrued interest. The transaction contributed to Philips' plan to reduce its annual interest expenses by approximately EUR 100 million.

Quarterly Report

First Quarter Results 2017 - Quarterly Report

Presentation

First Quarter Results 2017 - Quarterly Results Presentation

Conference call and audio webcast

A conference call with Frans van Houten, CEO, and Abhijit Bhattacharya, CFO, to discuss the results will start at 10:00AM CET, April 24, 2017. A live audio webcast of the conference call will be available through the link below.

Q1 2017 - First Quarter 2017 Results conference call audio webcast

More information about Frans van Houten and Abhijit Bhattacharya

Click here for Mr. van Houten's CV and images

Click here for Mr. Bhattacharya's CV and images