Amsterdam, February 10, 2026
Full year and Q4 highlights
- Comparable order intake growth 6% in 2025; up 7% in Q4
- Group sales of EUR 17.8 billion in 2025, EUR 5.1 billion in Q4; comparable sales growth 2% in 2025, 7% in Q4
- Income from operations was EUR 1,424 million in 2025; EUR 540 million in Q4
- Adjusted EBITA margin increased 80 basis points to 12.3% of sales in 2025; up 160 basis points to 15.1% in Q4
- Operating cash flow of EUR 1,172 million in 2025; EUR 1,391 million in Q4
- Free cash flow of EUR 512 million in 2025; EUR 1,200 million in Q4
- Productivity savings of EUR 0.8 billion in 2025; delivered 2023-2025 target of EUR 2.5 billion
- Proposed 2025 dividend of EUR 0.85 per share, in shares or cash at the option of the shareholder
- Outlook for 2026 published
Capital Markets Day
- Philips sets out plan to drive profitable growth to deliver sustainable value, including new, integrated 2030 Impact Ambitions. Plan comprises three pillars: segment-specific growth strategies, innovation as a key growth driver and continued disciplined execution
- Philips publishes 2026-2028 financial targets, including mid-single-digit comparable sales growth CAGR over the period and mid-teens Adjusted EBITA margin in 2028
Roy Jakobs, CEO of Royal Philips:
“In 2025, we delivered on our commitments as we scaled better care for more people. We strengthened our company while navigating a dynamic macro-environment. We ended the year with strong order growth and sales, robust margin expansion despite tariffs, solid cash generation, and we exit the year with a robust balance sheet.
Over the past three years, we have strengthened Philips at its core. Our employees live our culture of impact with care, guided by an expert leadership team. We prioritized quality, built supply chain resilience, and simplified how we operate. This focus delivered customer-driven innovation. We launched the new Azurion neuro biplane platform to advance minimally invasive diagnosis and treatment for neurovascular patients. We presented our latest innovations in 3.0T helium-free MR. We introduced centralized patient monitoring designed for enterprise-scale care. We expanded our OneBlade platform into an all-body solution. We remained true to our purpose, and delivered on our promise to create value with sustainable impact.
Today we enter our next phase of driving profitable growth. Our unique platform-based innovations in healthcare and self-care, combined with our strong execution capability and fully integrated impact ambitions, provide Philips with a strong growth foundation in a world where data and AI are rapidly transforming care. These structural advantages enable us to move forward with confidence.
Our talented, passionate team is energized and executing with purpose and discipline as we drive meaningful impact for patients, consumers and health systems.”
Group and segment performance
For the quarter, comparable order intake increased 7%, supported by growth in both Diagnosis & Treatment and Connected Care and continued strong performance in North America. Group comparable sales increased 7%, with growth in all segments.
Adjusted EBITA margin increased strongly by 160 basis points to 15.1% in the quarter, driven by higher sales, gross margin from recently launched innovations, and productivity, more than offsetting the impact from incremental tariffs. Free cash flow was EUR 1,200 million.
For the full year, comparable order intake increased 6% and comparable sales growth was 2%. Adjusted EBITA increased 80 basis points to 12.3%, driven by underlying gross margin and strong productivity, which more than offset the impact from increased tariffs after substantial mitigations. Free cash flow was EUR 512 million. Free cash flow included a EUR 1,025 million payment for Respironics recall-related medical monitoring and personal injury settlements in the US.
Diagnosis & Treatment comparable sales increased 4% in Q4. Adjusted EBITA margin was 11.8% in Q4, down 30 basis points, mainly due to tariffs and partly offset by higher gross margin from innovation and productivity. For the full year, the Diagnosis & Treatment Businesses recorded 0% comparable sales growth and an Adjusted EBITA margin of 11.7%.
Connected Care comparable sales increased 7% in Q4. Adjusted EBITA margin improved 150 basis points to 16.5% in Q4, driven by operating leverage, improved gross margin and productivity, and partly offset by tariffs. For the full year, the Connected Care Businesses recorded a 3% comparable sales increase, and Adjusted EBITA margin increased to 10.7%.
Personal Health comparable sales increased 14% in Q4. Adjusted EBITA margin increased 500 basis points to 23.0% in Q4, driven by higher sales and productivity, and partly offset by tariffs. For the full year, Personal Health comparable sales were 8%, and Adjusted EBITA margin increased to 18.0%.
Innovation highlights
- At RSNA, Philips presented three world-first innovations, including the world’s first BlueSeal helium-free 3.0T MR magnet [1]; Philips Verida, the world’s first detector-based Spectral CT fully powered by AI, …