Koninklijke Philips N.V.

What does Philips own?
Philips owns the Philips brand for medical devices and healthcare solutions, the Sonicare brand for electric toothbrushes, and the Philips Hue smart lighting brand (operated under license from Signify). The company's medical device portfolio includes MRI systems, CT scanners, X-ray systems, ultrasound machines, patient monitors, defibrillators, and hospital informatics systems. Philips also sells personal health products including electric toothbrushes, male grooming products, and sleep apnea devices.

Is Philips publicly traded?
Yes, Koninklijke Philips N.V. is publicly traded on Euronext Amsterdam under ticker PHIA and on the New York Stock Exchange under ticker PHG. The company has 962,920,132 common shares outstanding as of December 31, 2025. Philips has a dispersed shareholder base with institutional investors holding the majority of shares. No single shareholder holds a controlling stake.

Who founded Philips?
Philips was founded in 1891 by Gerard Philips and his father Frederik Philips in Eindhoven, Netherlands. The company initially manufactured carbon-filament lamps. Anton Philips, Gerard's younger brother, joined the company in 1895 and led international expansion, establishing sales offices across Europe and in the United States.

Where is Philips headquartered?
Philips is headquartered in Amsterdam, Netherlands. The company's corporate office is located at Breitner Center, Claude Debussylaan 54, 1082 MD Amsterdam. Philips was originally based in Eindhoven, Netherlands, and relocated its headquarters to Amsterdam. The company has major operations in Germany, the United States, China, and India.

How many brands does Philips own?
Philips operates primarily under the Philips brand for medical devices and healthcare solutions. Its key consumer-facing sub-brands include Sonicare (electric toothbrushes) and Philips Hue (smart lighting, operated under license from Signify). The company's medical device products are sold under the Philips brand name.

Who owns Philips?
Philips is a publicly traded company with a dispersed shareholder base. Institutional investors hold the majority of shares, with no single controlling shareholder. The company is governed by a Board of Management led by CEO Roy Jakobs and a Supervisory Board chaired by Feike Sijbesma. Philips has no founding family or private equity controlling shareholder.

What is Philips's financial performance?
For FY2025, Philips reported sales of EUR 17.8 billion, a 1% decrease from EUR 18.0 billion in FY2024, with comparable sales growth of 2%. Adjusted EBITA was EUR 2,195 million with a margin of 12.3%, up 80 basis points. Income from operations was EUR 1,424 million, up from EUR 529 million. Free cash flow was EUR 512 million, impacted by a EUR 1,025 million Respironics settlement payment. For FY2026, Philips projects comparable sales growth of 3% to 4.5%, adjusted EBITA margin of 12.5% to 13.0%, and free cash flow of EUR 1.3 to 1.5 billion.

Philips was founded in 1891 by Gerard Philips and his father Frederik Philips in Eindhoven, Netherlands. The company initially manufactured carbon-filament lamps and was one of the first European light bulb manufacturers. Anton Philips, Gerard's younger brother, joined the company in 1895 and led international expansion, establishing sales offices across Europe and in the United States.

The company grew rapidly in the early 20th century, expanding into radio receivers, X-ray tubes, and other electronic products. Philips became a major consumer electronics company, producing radios, televisions, and home appliances. The company developed the compact cassette in 1962 and the compact disc in partnership with Sony in 1982, establishing industry standards in audio technology.

In the late 20th century, Philips expanded into medical technology, developing MRI, CT, and ultrasound systems. The company became a leader in medical imaging and patient monitoring. Philips also maintained a strong consumer electronics presence through its television, audio, and home appliance businesses.

The 21st century brought significant strategic transformation. In 2016, Philips divested its lighting business through the IPO of Signify (formerly Philips Lighting). In 2021, the company sold its domestic appliances business to Hillhouse Capital for approximately EUR 3.7 billion. These divestitures allowed Philips to focus entirely on health technology.

In 2021, Philips initiated a massive recall of its Respironics sleep apnea and ventilator devices due to potential health risks from degraded sound abatement foam. The recall affected approximately 5.5 million devices globally and led to significant financial costs, regulatory scrutiny, and leadership changes. Roy Jakobs became CEO in October 2022, succeeding Frans van Houten, with a mandate to address the recall, improve quality systems, and restore growth.

Under Jakobs's leadership, Philips implemented a three-year EUR 2.5 billion productivity program, achieving EUR 0.8 billion in savings in 2025 alone. The company reached a settlement agreement for Respironics recall-related personal injury and medical monitoring claims in the US, with a EUR 1,025 million payment made in 2025. Philips also implemented quality and safety improvements across its operations.

For FY2025, Philips reported sales of EUR 17.8 billion with comparable sales growth of 2%. The company delivered strong Q4 results with 7% comparable sales growth and 15.1% adjusted EBITA margin. At its Capital Markets Day in February 2026, Philips announced 2026-2028 targets including 3% to 4.5% comparable sales growth and 12.5% to 13.0% adjusted EBITA margin for 2026.

Philips has set environmental targets including carbon neutrality and waste reduction. The company has committed to becoming carbon neutral in its operations and has implemented renewable energy programs across its manufacturing facilities. Philips's EcoDesign program integrates sustainability considerations into product development, focusing on energy efficiency, circularity, and responsible materials use.

The company has implemented circular economy initiatives, including equipment refurbishment and recycling programs for medical imaging systems. Philips offers refurbished medical equipment through its Diamond Select program, extending the lifecycle of medical devices and reducing environmental impact.

Philips addresses ethical considerations through patient safety initiatives, clinical evidence standards, and responsible business practices. Following the Respironics recall, the company has strengthened its quality management systems and patient safety culture. Philips's ethical guidelines emphasize patient safety, scientific integrity, and responsible marketing practices.

The Philips Foundation supports access to healthcare in underserved communities globally. The foundation focuses on reducing non-communicable diseases and improving maternal and child health through technology and partnerships.

Philips publishes an annual ESG report integrated with its Annual Report. The company is not a Certified B Corporation.

Philips has received recognition in the health technology industry:

• Dow Jones Sustainability Index: Philips has been included in the DJSI, reflecting its ESG performance
• Ethisphere Most Ethical Companies: Philips has been recognized for ethical business practices
• Fortune Change the World: Recognition for healthcare innovation and social impact
• Red Dot Design Awards: Multiple awards for product design in medical devices and consumer health products
• iF Design Awards: Recognition for industrial design across Philips product lines

The Respironics recall is the most significant controversy in Philips's recent history. In 2021, Philips initiated a recall of approximately 5.5 million Respironics sleep apnea and ventilator devices due to potential health risks from degraded polyester-based polyurethane foam used for sound abatement. The recall led to significant financial costs, regulatory investigations, and litigation.

In 2024, Philips reached a settlement agreement for Respironics recall-related personal injury and medical monitoring claims in the US. The company made a EUR 1,025 million payment in 2025 for these settlements. The FDA and other regulatory bodies have monitored the recall process, and Philips has implemented comprehensive quality and safety improvements in response.

The recall led to the departure of former CEO Frans van Houten and the appointment of Roy Jakobs as CEO in 2022. Jakobs has made addressing the recall and improving quality systems a top priority. The Supervisory Board noted in 2026 that "significant progress has been made in addressing the Respironics recall and continuing to improve Philips' culture of patient safety and quality."

Philips, like all medical device companies, faces ongoing regulatory scrutiny from the FDA, European regulators, and other global health authorities. The company must comply with medical device regulations including FDA quality system regulations and EU Medical Device Regulations.

Philips has also faced scrutiny over its supply chain resilience, particularly during the COVID-19 pandemic and in response to tariff developments in 2025. The company has implemented supply chain improvements and managed tariff impacts through productivity savings and pricing actions.