AMSTERDAM—Royal Philips NV said Monday that second-quarter net
profit rose 13% as the Dutch electronics company benefited from a
sharp increase in sales prompted by a weaker euro.
Philips said net profit for the three months ended June 30 was
€274 million ($301 million), up from €243 million in the same
period a year earlier. Sales rose 20% to €5.97 billion, up from
€4.97 billion a year ago. The results beat analysts' expectations
and were fueled by the weaker euro against other global currencies,
which provided a sharp boost to sales. Comparable sales, which
exclude the impact of currency shifts, rose 3%, in part due to
improvements in North America, Central and Eastern Europe and
India.
The Amsterdam-based company, which makes everything from
hospital scanners to coffee machines, warned that it is
increasingly concerned about the global economy, largely due to a
slowdown in China, Russia and Latin America. For 2015 it continues
to expect modest sales growth, it said.
Philips reiterated that it aims to exit its 124-year-old
lighting business in the first six months of 2016, most likely
through an initial public offering. The company said costs related
to the separation of the division will total €200 million to €300
million this year, lower than its previous estimate of €300 million
to €400 million.
Write to Maarten van Tartwijk at maarten.vantartwijk@wsj.com
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