In the third quarter of the year, Philips registered sales equal to 5.5 billion euro, remaining flat year-on-year. EBITA amounted to a loss of 7 million euro, primarily impacted by charges related to IP litigation and the voluntary production suspension at the Cleveland facility. EBITA included 79 million euro for restructuring and acquisition-related charges and 464 million euro for other incidentals. EBITA, excluding restructuring and acquisition-related charges and other items, amounted to 536 million euro, or 9.7% of sales, compared to 11.4% in Q3 2013. “We are facing sustained softness in a number of markets such as China and Russia. We were also confronted by an adverse jury verdict with a surprisingly high proposed award in the Masimo litigation, which we will appeal. On a positive note, production at our Cleveland facility is ramping up”, said Frans van Houten, CEO of Philips.
