Philips Q4 core profit rose amid the pandemic

Respiratory equipments and appliances that allow remote care drove Philips higher

One of the largest technology companies in the world, Philips, unveiled its fiscal fourth-quarter earnings.

Philips officials stated that the company had adjusted earnings of €1.39 billion, while its sales went up 7% to €6 billion. The increase came in the second half of the year, as the hospitals rushed to buy respiratory equipment to cope with many COVID-19 cases. The need translated into a 24% jump in sales of its Connected Care division in the last quarter of 2020. For the full year, the sales went up 9%.

The Q4 actual results are slightly higher than what the company was expecting. Philips was looking for earnings of €1.12 billion, and sales of €5.91 billion.

For the future, Philips is looking for “low-single-digit comparable sales growth” as the demand for COVID-19-related equipment is expected to decrease.

Following the news, Philips stock price gained 1.12%.

Sources: cnbc.com