AMSTERDAM: Dutch medical devices maker Philips has lowered its sales forecast for the year due to declining demand in China, which pushed its order intake down 2% in the third quarter.
Philips now expects comparable sales to grow by 0.5% to 1.5% in 2024, down from a previous expectation of 3% to 5%.
It expects its core profit margin to come in around 11.5%, the upper end of its previous outlook.
“In the third quarter, demand from hospitals and consumers in China further deteriorated, while we continue to see solid growth in other regions,” chief executive Roy Jakobs said in a statement.
Philips, which sells products ranging from toothbrushes to medical imaging systems, said comparable sales in the third quarter were flat at €4.4bil (US$4.75bil), missing the 2.1% growth analysts on average had predicted. — Reuters
