Philips has reaffirmed its fiscal year 2025 (FY25) outlook following a steady performance in the third quarter (Q3) of 2025, supported by AI-powered innovations and continued strength in the North American market.

While the Dutch medtech giant reported a 1.7 per cent decline in overall revenue to €4.3 billion compared to €4.37 billion in Q3 2024, comparable sales for the quarter grew by 3 per cent. Adjusted EBITDA increased by 12.3 per cent to $531 million, up from $516 million in the same period last year.

Philips maintained its FY25 guidance, projecting comparable sales growth between 1 per cent and 3 per cent, an adjusted EBITDA margin at the upper end of 11.3 per cent to 11.8 per cent, and earnings per share between $1.63 and $1.93.

On the Euronext Amsterdam exchange, Philips’ stock closed at €28.02 per share, marking a slight dip of 0.64 per cent from its opening price of €28.20 on November 4. On the New York Stock Exchange (NYSE), where Philips trades as an American Depositary Receipt (ADR), shares rose from an opening price of $27.21 to close at $28.02, bringing the company’s market capitalization to approximately $26 billion.

Among business segments, the Personal Health division led with a 10.9 per cent rise in comparable sales, followed by Connected Care with 5.1 per cent growth, and Diagnosis and Treatment with a 1.3 per cent increase.

Commenting on the results, Philips CEO Roy Jakobs said, “In this quarter, we maintained our momentum, with AI-powered innovations and long-term partnerships making a real difference for patients and consumers. We drove strong order intake and accelerated sales growth, with sustained strength in North America. We expanded margins through innovation, focused execution, and cost discipline, remaining firmly on track as we navigate an uncertain macro environment, including tariffs.”

Jakobs further noted that the company’s performance reflected strategic investments in its supply chain to mitigate the impact of China-related tariffs on its US operations.