Philips says it’s maintaining momentum with third quarter results 

AMSTERDAM – Royal Philips’ Connected Care business, which includes Sleep & Respiratory Care, saw comparable sales growth of 5.1% in the third quarter of 2025. 

Adjusted EBITA margin improved 410 bps to 11.4%, driven by increased sales and productivity, partially offset by tariffs. 

The company, as a whole, saw sales of EUR 4.3 billion for the third quarter of 2025, a 3% comparable increase. 

Other results for the Group: 

• Comparable order intake growth of 8% 
• Income from operations was EUR 330 million 
• Adjusted EBITA margin increased by 50 basis points to 12.3% of sales 
• Operating cash flow of EUR 327 million, with a free cash flow of EUR 172 million 

“In this quarter we maintained our momentum, with AI-powered innovations and long-term partnerships making a real difference for patients and consumers,” said Roy Jakobs, CEO of Royal Philips. “We drove strong order intake and accelerated sales growth, with sustained strength in North America. We expanded margin through innovation, focused execution and cost discipline, remaining firmly on-track as we navigate an uncertain macro environment including tariffs. We are taking disciplined action to achieve the highest standards in patient safety and quality, which remains our number one priority.” 

Philips reiterated its confidence in delivering its full-year 2025 outlook: 

• Comparable sales growth: 1%-3% 
• Adjusted EBITA margin: 11.3%-11.8%, now expected toward the upper end of the range. 
• Free cash flow: EUR 0.2 billion to 0.4 billion (including the payout in the first quarter of 2025 of EUR 1,025 million Philips Respironics recall-related medical monitoring and personal injury settlements in the US.) 

This outlook excludes ongoing Philips Respironics-related proceedings, including the investigation by the U.S. Department of Justice.