Philips reported Q3 2025 revenue of EUR 4.30 billion, a 3.3 % increase in comparable sales. Diagnosis & Treatment sales grew 1.3 %, Connected Care sales rose 5.1 %, and Personal Health sales jumped 10.9 %. Adjusted EBITA margins were 11.8 % for Diagnosis & Treatment, 11.4 % for Connected Care, and 17.1 % for Personal Health, reflecting the impact of AI‑enabled imaging systems and a productivity program that delivered EUR 222 million in cost savings during the quarter. Free cash flow reached EUR 172 million.
Philips’ Q3 2024 revenue was EUR 4.40 billion with flat comparable sales growth, and the adjusted EBITA margin was 11.8 %. Net income in Q3 2024 was EUR 181 million. The current quarter’s comparable sales growth of 3.3 % and margin expansion therefore represent a clear improvement over the prior year.
The company cited tariff pressures and ongoing supply‑chain adjustments as headwinds. Diagnosis & Treatment margins contracted by 80 basis points, mainly due to U.S. tariffs on medical devices. Philips is mitigating these effects through its three‑year, EUR 2.5 billion productivity program, of which EUR 222 million has already been realized in Q3 2025.
Philips reaffirmed its full‑year 2025 outlook, maintaining a comparable sales growth target of 1‑3 % and an adjusted EBITA margin outlook of 11.3‑11.8 %. Management emphasized that the company remains on track to achieve its long‑term profitability goals despite the tariff environment and supply‑chain challenges.
The results come amid a competitive global healthcare technology market, with rivals such as Siemens Healthineers, GE Healthcare, and Medtronic. Philips is positioning itself through AI‑powered innovations and integrated solutions, and it launched several new products in Q3 2025, including advanced radiation therapy scanners and AI‑enabled cardiovascular ultrasound systems. Regulatory scrutiny remains a factor, but the FDA warning letter issued earlier in the year is not expected to impact operations.
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