Philips Electronics reports profit in Q4
Royal Philips Electronics NV, the world's largest maker of lights, reported a net profit of 251 million euros ($355 million) for the fourth quarter on Monday, helped by lower one-time charges and by job cuts.
The net profit reverses a loss of euro1.18 billion in the same period a year ago, which included 629 million euros in impairment charges on assets. Fourth quarter sales fell 3.4 percent to euro7.26 billion.
Philips has shed 5,474 jobs in the past year and now employs around 116,000.
Chief Executive Gerard Kleisterlee said operating profit margins, excluding restructuring charges, were above 12 percent, their highest level in a decade.
Shares rose 4.7 percent in early Amsterdam trading to 21.285 euros.
The results "were better than expected on most counts," analyst Eric de Graaf of Petercam Bank wrote in a note on the earnings.
Though sales declined at Philips' consumer products and lighting divisions, De Graaf said they were still better than expected, and "margins were better...all across the board.”