Koninklijke Philips N.V. – Annual report – 31 December 2024
Industry: manufacturing
6 Income from operations (extract)
Sales composition and disaggregation
For information related to sales on a segment and geographical basis, refer to Information by segment and main country.
| Philips Group Sales composition in millions of EUR | ||||
| 2022 | 2023 | 2024 | ||
| Goods | 12,139 | 12,419 | 12,198 | |
| Services | 4,878 | 4,926 | 5,003 | |
| Royalties | 419 | 434 | 466 | |
| Total sales from contracts with customers | 17,435 | 17,779 | 17,667 | |
| Sales from other sources | 391 | 390 | 354 | |
| Total sales | 17,827 | 18,169 | 18,021 |
Total sales from other sources mainly relates to operating leases EUR 222 million (2023: EUR 234 million; 2022: EUR 258 million). Sales represent revenue from external customers.
As of December 31, 2024, the aggregate amount of the transaction price allocated to remaining performance obligations from a sale of goods and services was EUR 15,632 million (2023:15,571 million). The company expects to recognize approximately 56% of the remaining performance obligations within 1 year. Revenue expected to be recognized beyond is mostly related to longer term customer service and software contracts.
Sales over time represent services and Other also includes royalties over time (2024: EUR 277 million; 2023: EUR 283 million; 2022: EUR 292 million).
Sales per geographic area are reported based on country of destination.
Disaggregation of Sales per segment in millions of EUR
| 2024 | |||||
| Sales at a point in time | Sales over time | Total sales from contracts with customers | Sales from other sources | Total sales | |
| Diagnosis & Treatment | 5,655 | 3,070 | 8,725 | 65 | 8,790 |
| Connected Care | 2,959 | 1,886 | 4,845 | 289 | 5,134 |
| Personal Health | 3,471 | 15 | 3,486 | 3,486 | |
| Other | 300 | 311 | 611 | 611 | |
| Philips Group | 12,385 | 5,282 | 17,667 | 354 | 18,021 |
Philips Group
Disaggregation of Sales per segment in millions of EUR
| 2023 | |||||
| Sales at a point in time | Sales over time | Total sales from contracts with customers | Sales from other sources | Total sales | |
| Diagnosis & Treatment | 5,768 | 2,980 | 8,749 | 76 | 8,825 |
| Connected Care | 2,970 | 1,854 | 4,824 | 314 | 5,138 |
| Personal Health | 3,586 | 16 | 3,602 | 3,602 | |
| Other | 245 | 360 | 604 | – | 604 |
| Philips Group | 12,569 | 5,210 | 17,779 | 390 | 18,169 |
Philips Group
Disaggregation of Sales per segment in millions of EUR
| 2022 | |||||
| Sales at a point in time | Sales over time | Total sales from contracts with customers | Sales from other sources | Total sales | |
| Diagnosis & Treatment | 5,295 | 2,954 | 8,248 | 55 | 8,303 |
| Connected Care | 3,079 | 1,853 | 4,932 | 336 | 5,268 |
| Personal Health | 3,615 | 11 | 3,626 | 3,626 | |
| Other | 274 | 353 | 630 | 630 | |
| Philips Group | 12,263 | 5,172 | 17,435 | 391 | 17,827 |
Philips Group
Disaggregation of Sales per geographic area in millions of EUR
| 2024 | |||||
| Sales at a point in time | Sales over time | Total sales from contracts with customers | Sales from other sources | Total sales | |
| Western Europe | 2,698 | 1,254 | 3,951 | 28 | 3,978 |
| North America | 4,958 | 2,602 | 7,560 | 93 | 7,655 |
| Other mature geographies | 893 | 401 | 1,294 | 231 | 1,526 |
| Mature geographies | 8,549 | 4,256 | 12,805 | 353 | 13,159 |
| Growth geographies | 3,836 | 1,026 | 4,861 | 1 | 4,863 |
| Sales | 12,385 | 5,282 | 17,667 | 354 | 18,021 |
Philips Group
Disaggregation of Sales per geographic area in millions of EUR
| 2023 | |||||
| Sales at a point in time | Sales over time | Total sales from contracts with customers | Sales from other sources | Total sales | |
| Western Europe | 2,552 | 1,221 | 3,770 | 49 | 3,819 |
| North America | 4,859 | 2,608 | 7,470 | 92 | 7,562 |
| Other mature geographies | 980 | 398 | 1,378 | 248 | 1,626 |
| Mature geographies | 8,392 | 4,227 | 12,618 | 389 | 13,007 |
| Growth geographies | 4,177 | 984 | 5,161 | 1 | 5,162 |
| Sales | 12,569 | 5,210 | 17,779 | 390 | 18,169 |
Philips Group
Disaggregation of Sales per geographic area in millions of EUR
| 2022 | |||||
| Sales at a point in time | Sales over time | Total sales from contracts with customers | Sales from other sources | Total sales | |
| Western Europe | 2,387 | 1,183 | 3,572 | 31 | 3,603 |
| North America | 4,889 | 2,612 | 7,502 | 86 | 7,588 |
| Other mature geographies | 972 | 399 | 1,369 | 274 | 1,643 |
| Mature geographies | 8,248 | 4,194 | 12,443 | 390 | 12,833 |
| Growth geographies | 4,015 | 978 | 4,992 | 1 | 4,993 |
| Sales | 12,263 | 5,172 | 17,435 | 391 | 17,827 |
2 Information by segment and main country (extracts)
Philips Group
Information on income statements in millions of EUR🔗
| Sales | Sales including intercompany | Depreciation and amortization¹ | Adjusted EBITA | |
| 2024 | ||||
| Diagnosis & Treatment | 8,790 | 9,269 | (464) | 1,018 |
| Connected Care | 5,134 | 5,163 | (403) | 494 |
| Personal Health | 3,486 | 3,566 | (117) | 584 |
| Other | 611 | 750 | (406) | (18) |
| Inter-segment eliminations | (726) | |||
| Philips Group | 18,021 | 18,021 | (1,390) | 2,077 |
| 2023 | ||||
| Diagnosis & Treatment | 8,825 | 9,269 | (306) | 1,028 |
| Connected Care | 5,138 | 5,149 | (445) | 369 |
| Personal Health | 3,602 | 3,685 | (115) | 597 |
| Other | 604 | 413 | (394) | (73) |
| Inter-segment eliminations | (346) | |||
| Philips Group | 18,169 | 18,169 | (1,261) | 1,921 |
| 2022 | ||||
| Diagnosis & Treatment | 8,303 | 8,597 | (417) | 786 |
| Connected Care | 5,268 | 5,280 | (646) | 111 |
| Personal Health | 3,626 | 3,684 | (132) | 538 |
| Other | 630 | 715 | (407) | (118) |
| Inter-segment eliminations | (449) | |||
| Philips Group | 17,827 | 17,827 | (1,602) | 1,318 |
1 Includes impairments (excluding goodwill impairment); for impairment values please refer to Property, plant and equipment and Intangible assets excluding goodwill
Philips Group
Main countries in millions of EUR
| Sales | Tangible and intangible assets¹ | |
| 2024 | ||
| Netherlands | 2,506 | 1,662 |
| United States | 7,227 | 11,607 |
| China | 1,153 | 250 |
| Japan | 886 | 396 |
| Germany | 653 | 392 |
| Other countries | 5,596 | 1,509 |
| Total main countries | 18,021 | 15,816 |
| 2023 | ||
| Netherlands | 2,390 | 1,624 |
| United States | 7,178 | 11,410 |
| China | 1,408 | 234 |
| Japan | 941 | 407 |
| Germany | 573 | 348 |
| Other countries | 5,679 | 1,527 |
| Total main countries | 18,169 | 15,550 |
| 2022 | ||
| Netherlands | 2,021 | 1,746 |
| United States | 7,226 | 12,087 |
| China | 1,239 | 260 |
| Japan | 1,011 | 436 |
| Germany | 642 | 323 |
| Other countries | 5,688 | 1,550 |
| Total main countries | 17,827 | 16,402 |
1 Consists of Property plant and equipment, Intangible assets excluding goodwill and Goodwill
Accounts examples 