Koninklijke Philips (NYSE:PHG) Issues Quarterly Earnings Results

Koninklijke Philips (NYSE:PHG) released its earnings results on Tuesday. The technology company reported $0.70 EPS for the quarter, topping the consensus estimate of $0.50 by $0.20, FiscalAI reports. Koninklijke Philips had a return on equity of 13.75% and a net margin of 5.09%.The business had revenue of $5.98 billion for the quarter, compared to the consensus estimate of $5.03 billion.

Here are the key takeaways from Koninklijke Philips’ conference call:

• Delivered a strong Q4 and full-year 2025 — Q4 order intake +7%, Q4 comparable sales +7%, Q4 adjusted EBITDA margin up 160 bps; guided 2026 comparable sales of 3–4.5% and adjusted EBITDA margin of 12.5–13% with a mid‑term target of mid‑single‑digit CAGR and mid‑teens margins by 2028.
• Innovation and M&A are strategic growth drivers — launched the helium‑free 3T MRI 7500, an always‑on spectral CT and LumiGuide AI navigation, and closed the SpectraWave acquisition to strengthen intravascular imaging and cardiology leadership.
• Ongoing trade headwinds remain a material risk — incremental tariffs are expected to net ~EUR 250–300 million impact in 2026 (net of mitigations), prompting a new EUR 1.5 billion productivity program while Q1 2026 margins are expected to be slightly down versus year‑ago.
• Personal Health outperformed, supporting margin expansion — Q4 PH sales +14% and Q4 PH adjusted EBITDA margin rose to 23% (up 500 bps), driven by market‑share gains and strong demand for OneBlade, premium shavers, IPL and DiamondClean products.
• Strong cash and balance‑sheet dynamics provide financial flexibility — Q4 free cash flow EUR 1.2 billion, improved leverage to ~1.7x net debt/adjusted EBITDA, and management offers dividend in cash or shares while maintaining investment‑grade focus.

Koninklijke Philips Stock Up 0.3%

Shares of PHG stock opened at $32.18 on Thursday. The company’s fifty day simple moving average is $28.35 and its two-hundred day simple moving average is $27.94. Koninklijke Philips has a 52 week low of $21.48 and a 52 week high of $33.44. The stock has a market cap of $30.98 billion, a P/E ratio of 30.34, a PEG ratio of 0.93 and a beta of 0.79. The company has a quick ratio of 0.86, a current ratio of 1.32 and a debt-to-equity ratio of 0.68.

Koninklijke Philips Increases Dividend

The business also recently declared an annual dividend, which will be paid on Wednesday, June 3rd. Shareholders of record on Wednesday, May 13th will be paid a $1.013 dividend. This represents a yield of 318.0%. The ex-dividend date is Wednesday, May 13th. This is an increase from Koninklijke Philips’s previous annual dividend of $0.89. Koninklijke Philips’s dividend payout ratio is presently 410.00%.

Analyst Ratings Changes

Several research analysts have issued reports on PHG shares. Zacks Research cut Koninklijke Philips from a “hold” rating to a “strong sell” rating in a research report on Wednesday, January 14th. Wall Street Zen raised shares of Koninklijke Philips from a “hold” rating to a “buy” rating in a report on Saturday, January 10th. Royal Bank Of Canada assumed coverage on shares of Koninklijke Philips in a research note on Wednesday, December 17th. They set a “sector perform” rating on the stock. Weiss Ratings raised Koninklijke Philips from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, January 12th. Finally, Sanford C. Bernstein upgraded Koninklijke Philips to a “hold” rating in a research report on Wednesday, December 17th. Two analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold”.

Hedge Funds Weigh In On Koninklijke Philips

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in PHG. Lido Advisors LLC grew its holdings in Koninklijke Philips by 3.7% during the 4th quarter. Lido Advisors LLC now owns 9,062 shares of the technology company’s stock valued at $247,000 after buying an additional 323 shares in the last quarter. Rhumbline Advisers raised its stake in Koninklijke Philips by 1.3% during the second quarter. Rhumbline Advisers now owns 29,306 shares of the technology company’s stock valued at $703,000 after purchasing an additional 388 shares in the last quarter. EverSource Wealth Advisors LLC lifted its position in Koninklijke Philips by 5.4% during the fourth quarter. EverSource Wealth Advisors LLC now owns 7,759 shares of the technology company’s stock valued at $210,000 after purchasing an additional 399 shares during the last quarter. Franklin Resources Inc. grew its stake in shares of Koninklijke Philips by 3.9% in the 3rd quarter. Franklin Resources Inc. now owns 11,592 shares of the technology company’s stock worth $316,000 after buying an additional 439 shares in the last quarter. Finally, Kitching Partners LLC grew its stake in shares of Koninklijke Philips by 4.2% in the 2nd quarter. Kitching Partners LLC now owns 11,259 shares of the technology company’s stock worth $270,000 after buying an additional 457 shares in the last quarter. 13.67% of the stock is owned by institutional investors.

Koninklijke Philips News Roundup

Here are the key news stories impacting Koninklijke Philips this week:

• Positive Sentiment: Q4 beat and upbeat 2026 outlook — Philips reported stronger sales, double‑digit EBITA growth and a sizable rise in operating profit, and management outlined 2026 sales growth of roughly 3%–4.5% with margin expansion, which supported investor optimism. Philips (PHG) soars to 52-week high on strong earnings, upbeat outlook
• Positive Sentiment: Dividend increase — Philips raised its annual dividend to $1.013 per share (about a 14.3% increase vs prior), signaling confidence in cash generation and returning capital to shareholders. (Company announcement)
• Positive Sentiment: New pediatric MRI product — Philips launched the InkSpace Imaging Snuggle™ flexible pediatric 3.0T MRI coil, a product win that can help drive competitive positioning in imaging. Philips introduces InkSpace Imaging’s Snuggle pediatric MRI coil
• Positive Sentiment: Research grant / long‑term innovation — Philips is coordinating the SEISMIC consortium awarded EUR 23.5m from the EU IHI to advance minimally invasive neurosurgery imaging and techniques, supporting future addressable markets. SEISMIC consortium secures EUR 23.5 million IHI grant
• Positive Sentiment: Drop in short interest — Short interest fell ~37% in late January, reducing immediate downside pressure and potentially amplifying upward moves. (Market data)
• Neutral Sentiment: Earnings materials and call transcripts are available — For detail on drivers and management commentary see the earnings presentation and full call transcript. Q4 results — earnings call presentation Q4 earnings call transcript
• Negative Sentiment: EPS and net income fall year‑over‑year — Despite operational margin improvement, reported net income and diluted EPS fell sharply year‑over‑year (management cited one‑offs and tax/exceptional items), a factor that caused some early selling and warrants scrutiny when modeling 2026 EPS. Q4 2025 earnings: revenue up, operating profit surges but EPS falls
• Negative Sentiment: Mixed near‑term market reaction — Some coverage noted an initial share dip after the print despite the operational beat, reflecting investor focus on EPS volatility and how much advancement in margins is sustainable. Philips posts earnings in Q4, revenues increase y/y, shares dip

About Koninklijke Philips

Koninklijke Philips N.V. (NYSE: PHG), commonly known as Philips, is a Dutch multinational company focused on health technology. Founded in Eindhoven in 1891, the company evolved from a diversified electronics manufacturer into a specialist in healthcare products, systems and services. Philips is legally registered in the Netherlands and operates globally, supplying equipment and solutions to hospitals, clinics, healthcare providers and consumers across Europe, the Americas and Asia.

Philips’ principal activities center on medical technologies and personal health.