Earnings Release • Jan 28, 2014
Earnings Release
Open in ViewerOpens in native device viewer
Philips reports fourth-quarter comparable sales growth of 7%; operational results up by 20%; 2013 financial targets achieved
"The fourth quarter of 2013 was another good quarter for Philips, despite the challenging economic environment and ongoing currency headwinds. In the quarter, Lighting and Consumer Lifestyle both delivered strong comparable sales growth of 8%.At Healthcare, comparable sales increased by 4%, while orderintake declined 1% as a result of weak markets in the US and Europe. The operational profitability of all sectors improved substantially, driven by good sales growth, gross margin expansion of 2 percentage points and productivity gains, all coming from the Accelerate! program.
We achieved the mid-term financial targets we had set in 2011, thanks to the hard work of our employees. We delivered a compound annual growth rate for comparable sales over the period 2012–2013 of 4.5%, compared to ourtarget of 4-6%, and did so in a lower GDPgrowth environmentthan originally anticipated. Ourreported EBITAas a percentage of sales was 10.5%, within our target range of 10-12%, which we achieved despite currency headwinds and changed pension accounting. We also significantly improved our return on invested capital to 15.3%, above the target range of 12-14%.
We are making excellent progress on our Accelerate! journey. We continue to invest in growth opportunities and the Philips brand. Our overhead cost reduction program has resulted in EUR 1 billion of total gross savings to date. We reduced our inventory as a percentage of sales by 260 basis points from 2011 to 2013. Through our Design for Excellence (DfX) program we remain focused on improving gross margins. These ongoing initiatives, as well as the launch of our new brand campaign and our focus on innovation, continue to make Philips a better and more competitive company.
We introduced the EPIQ Ultrasound system, the Vereos digital PET/CT system and the IQon Spectral CT system, which we expect will have a positive eect on future orders for our health care business. Building on our consumer portfolio of locally relevant innovations, we experienced strong growth in China as well as in Europe, driven by higher demand for our home appliances, such as the Air Purier and Airfryer. As the leading professional lighting solutions and services provider, Philips won a 10-year contract to deliver and service an integrated digital lighting system with 13,000 connected LED fixtures and adaptive energy management controls for parking garages in Washington, DC. We also won a major order to renovate most of Buenos Aires' 125,000 street lights with the CityTouch connected LED system. Our new innovations received a record 100-plus design awards in 2013.
Achieving the 2013 nancial targets was an important milestone and we have now set our sights on reaching our 2016 targets. We are condent in our ability to further improve our performance by continuing the strong focus on our Accelerate! transformation program. Looking at 2014, we remain cautious because of ongoing macro-economic uncertainties, currency headwinds and softer order intake in Q4 2013. Therefore, we expect that 2014 will be a modest step towards our 2016 targets, also taking into account restructuring to drive the new productivity targets and investments in additional growth initiatives."
Healthcare comparable sales grew by 4% year-on-year. Customer Services recorded high-single-digit growth, while Home Healthcare Solutions achieved mid-single-digit growth. Imaging Systems and Patient Care & Clinical Informatics recorded low-single-digit growth. In growth geographies, comparable sales showed double-digit growth year-on-year, with strong increases in China, Central & Eastern Europe, Latin America and Middle East & Turkey. Currency-comparable equipment order intake declined by 1% year-on-year, with Patient Care & Clinical Informatics achieving low-single-digit growth, while Imaging Systems recorded a low-single-digit decline. EBITA margin excluding restructuring and acquisition-related charges increased by 100 basis points year-on-year to 19.0%.
Consumer Lifestyle comparable sales increased by 8%, with double-digit growth at Domestic Appliances and highsingle-digit growth at Health & Wellness, while Personal Care recorded mid-single-digit growth. In the growth geographies, comparable sales showed a strong double-digit increase, while mature geographies achieved lowsingle-digit growth. EBITA margin excluding restructuring and acquisition-related charges increased to 13.4%, a year-on-year improvement of 2.1 percentage points.
Lighting comparable sales increased by 8%, led by double-digit growth at Lumileds and Automotive. Light Sources & Electronics and Professional Lighting Solutions achieved mid-single-digit growth, while Consumer Luminaires recorded a low-single-digit decline. LED-based sales grew by 48% and now represent 34% of total Lighting sales. In growth geographies, comparable sales showed a double-digit increase. EBITA margin excluding restructuring and acquisition-related charges and other losses was 10.4%, a year-on-year improvement of 2.5 percentage points.
Philips has completed 7% of the EUR 1.5 billion share buy-back program since the start of the program in October 2013.
Please refer to page 21 of this press release for more information about forward-looking statements, third-party market share data, use of non-GAAP information and use of fair-value measurements.
in millions of euros unless otherwise stated
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Sales | 6,759 | 6,799 |
| EBITA | (50) | 884 |
| as a % of sales | (0.7) | 13.0 |
| EBIT | (176) | 713 |
| as a % of sales | (2.6) | 10.5 |
| Financial income (expenses) | (39) | (77) |
| Income taxes | (27) | (168) |
| Results investments in associates | (193) | (46) |
| Net income from continuing operations | (435) | 422 |
| Discontinued operations | 15 | (10) |
| Net income | (420) | 412 |
| Net income attributable to shareholders per common share (in euros) - diluted |
(0.46) | 0.44 |
in millions of euros unless otherwise stated
| Q4 | Q4 | % change | ||
|---|---|---|---|---|
| 2012 | 2013 | nominal | compar able |
|
| Healthcare | 2,918 | 2,828 | (3) | 4 |
| Consumer Lifestyle | 1,385 | 1,428 | 3 | 8 |
| Lighting | 2,262 | 2,306 | 2 | 8 |
| Innovation, Group & Services |
194 | 237 | 22 | 15 |
| Philips Group | 6,759 | 6,799 | 1 | 7 |
in millions of euros unless otherwise stated
| Q4 | Q4 | % change | ||
|---|---|---|---|---|
| 2012 | 2013 | nominal | compar able |
|
| Western Europe | 1,769 | 1,820 | 3 | 3 |
| North America | 2,015 | 1,899 | (6) | − |
| Other mature geographies |
609 | 546 | (10) | 5 |
| Total mature geographies | 4,393 | 4,265 | (3) | 2 |
| Growth geographies | 2,366 | 2,534 | 7 | 15 |
| Philips Group | 6,759 | 6,799 | 1 | 7 |
in millions of euros
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Healthcare | 411 | 541 |
| Consumer Lifestyle | 127 | 187 |
| Lighting | (28) | 218 |
| Innovation, Group & Services | (560) | (62) |
| Philips Group | (50) | 884 |
as a % of sales
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Healthcare | 14.1 | 19.1 |
| Consumer Lifestyle | 9.2 | 13.1 |
| Lighting | (1.2) | 9.5 |
| Innovation, Group & Services | (288.7) | (26.2) |
| Philips Group | (0.7) | 13.0 |
in millions of euros
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Healthcare | (114) | 3 |
| Consumer Lifestyle | (30) | (5) |
| Lighting | (185) | (22) |
| Innovation, Group & Services | (19) | (7) |
| Philips Group | (348) | (31) |
in millions of euros unless otherwise stated
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Healthcare | 361 | 477 |
| Consumer Lifestyle | 113 | 174 |
| Lighting | (88) | 124 |
| Innovation, Group & Services | (562) | (62) |
| Philips Group | (176) | 713 |
| as a % of sales | (2.6) | 10.5 |
| in millions of euros | ||
|---|---|---|
| Q4 | Q4 | |
| 2012 | 2013 | |
| Net interest expenses | (79) | (63) |
| Other | 40 | (14) |
| (39) | (77) |
in millions of euros
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Beginning cash balance | 3,232 | 2,034 |
| Free cash flow | 753 | 608 |
| Net cash flow from operating activities |
1,056 | 905 |
| Net capital expenditures | (303) | (297) |
| Acquisitions of businesses | (20) | (12) |
| Other cash flow from investing activities | 7 | (16) |
| Treasury shares transactions | (191) | (57) |
| Dividend paid | − | − |
| Changes in debt/other | (21) | (112) |
| Net cash flow discontinued operations | 74 | 20 |
| Ending balance | 3,834 | 2,465 |
• Financial income and expenses amounted to a net expense of EUR 77 million, an increase of EUR 38 million compared with Q4 2012. The increase mainly reects the impact of a EUR 46 million gain from long-term derivative contracts in Q4 2012 and lower interest expense in Q4 2013.
• Operating activities resulted in a cash inflow of EUR 905 million, compared to an inflow of EUR 1,056 million in Q4 2012. Higher cash earnings in Q4 2013 were more than oset by higher working capital requirements.
in millions of euros
Inventories as a % of sales1)
1) sales is calculated over the preceding 12 months 2) excludes inventories of Audio, Video, Multimedia and Accessories business
• Gross capital expenditures on property, plant and equipment were EUR31 million lowerthan in Q4 2012, mainly due to lower investments at Lighting and IG&S.
1) Number of employees excludes discontinued operations. Discontinued operations, comprising the Audio, Video, Multimedia and Accessories business, had 1,992 employees at end of Q4 2013 (Q4 2012: 2,005; Q3 2013: 1,940).
in millions of euros unless otherwise stated
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Sales | 2,918 | 2,828 |
| Sales growth | ||
| % nominal | 7 | (3) |
| % comparable | 4 | 4 |
| EBITA | 411 | 541 |
| as a % of sales | 14.1 | 19.1 |
| EBIT | 361 | 477 |
| as a % of sales | 12.4 | 16.9 |
| Net operating capital (NOC) | 7,976 | 7,437 |
| Number of employees (FTEs) | 37,460 | 37,008 |
in millions of euros
EBITA
* The IQon system is pending 510k clearance in the US
• Currency-comparable equipment orders declined 1% year-on-year. Patient Care & Clinical Informatics recorded low-single-digit growth, while Imaging Systems posted a low-single-digit decline.
• Restructuring and acquisition-related charges in Q1 2014 are expected to total approximately EUR 25 million.
• In our Healthcare facility in Cleveland, Ohio, certain issues in the general area of manufacturing process controls were identied during an ongoing US Food and Drug Administration (FDA) inspection. To address these issues, on January 10 we started a voluntary, temporary suspension of new production at the facility, primarily to strengthen manufacturing process controls. Currently, there is no indication of product safety issues. This action is estimated to have a negative impact on the sector's EBITA of approximately EUR 60 to 70 million in the rst half of 2014, of which we expect to recover a substantial part in the second half of 2014.
*Excluding the Audio, Video, Multimedia and Accessories business
|--|
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Sales | 1,385 | 1,428 |
| Sales growth | ||
| % nominal | 13 | 3 |
| % comparable | 10 | 8 |
| EBITA | 127 | 187 |
| as a % of sales | 9.2 | 13.1 |
| EBIT | 113 | 174 |
| as a % of sales | 8.2 | 12.2 |
| Net operating capital (NOC) | 1,205 | 1,261 |
| Number of employees (FTEs) | 16,542 | 17,854 |
in millions of euros
EBITA
EBITA amounted to EUR 187 million, or 13.1% of sales, compared to EUR 127 million, or 9.2% of sales, in Q4 2012.
Excluding restructuring and acquisition-related charges, EBITA was EUR 192 million, or 13.4% of sales, compared to EUR 157 million, or 11.3% of sales, in Q4 2012. The improvement of 2.1 percentage points was largely attributable to improved gross margins across all businesses.
• Restructuring and acquisition-related charges are not expected to be material in Q1 2014.
in millions of euros unless otherwise stated
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Sales | 2,262 | 2,306 |
| Sales growth | ||
| % nominal | 9 | 2 |
| % comparable | 4 | 8 |
| EBITA | (28) | 218 |
| as a % of sales | (1.2) | 9.5 |
| EBIT | (88) | 124 |
| as a % of sales | (3.9) | 5.4 |
| Net operating capital (NOC) | 4,635 | 4,462 |
| Number of employees (FTEs) | 50,224 | 46,890 |
in millions of euros
EBITA
EBITA amounted to EUR 218 million, or 9.5% of sales, compared to a loss of EUR 28 million in Q4 2012. Earnings in Q4 2013 were impacted by restructuring and acquisition-related charges of EUR 22 million, whereas Q4 2012 charges amounted to EUR 207 million, including a EUR 22 million loss on the sale of industrial assets.
EBITA, excluding restructuring and acquisitionrelated charges and other losses, was EUR 240 million, or 10.4% of sales, compared to EUR 179 million, or 7.9% of sales, in Q4 2012. The year-on-year EBITA increase was driven by higher gross margins and overhead cost reductions.
• Restructuring and acquisition-related charges in Q1 2014 are expected to total approximately EUR 50 million.
in millions of euros unless otherwise stated
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| Sales | 194 | 237 |
| Sales growth | ||
| % nominal | (2) | 22 |
| % comparable | (3) | 15 |
| EBITA of: | ||
| Group Innovation | (39) | (42) |
| IP Royalties | 80 | 122 |
| Group and Regional Costs | (61) | (72) |
| Accelerate! investments | (35) | (34) |
| Pensions | − | (4) |
| Service Units and Other | (505) | (32) |
| EBITA | (560) | (62) |
| EBIT | (562) | (62) |
| Net operating capital (NOC) | (4,500) | (2,922) |
| Number of employees (FTEs) | 11,856 | 12,937 |
in millions of euros
EBITA of Service Units and Other included EUR 21 million of net costs formerly reported in discontinued businesses (Q4 2012 included EUR 13 million related to the Audio, Video, Multimedia, and Accessories business and EUR 3 million related to the Television business).
Net operating capital, excluding a positive currency translation eect of EUR 110 million and the European Commission fine of EUR 509 million, increased by EUR 959 million year-on-year, mainly due to an increase in working capital, a decrease in pension liabilities, an increase in the value of currency hedges as well as a reclassification of real estate assets from the sectors to the Service Units.
in millions of euros unless otherwise stated
| Q4 | Q4 | |
|---|---|---|
| 2012 | 2013 | |
| EBITA | 13 | (26) |
| Disentanglement costs | 0 | (17) |
| Former AVM&A net costs allocated to | ||
| Consumer Lifestyle | 9 | 6 |
| Former AVM&A net costs allocated to IG&S | 13 | 21 |
| Eliminated amortization other AVM&A | ||
| intangibles | (3) | 0 |
| EBIT discontinued operations | 32 | (16) |
| Financial income and expenses | 0 | (2) |
| Income taxes | (12) | 1 |
| Net income (loss) of discontinued | ||
| operations | 20 | (17) |
| Number of employees (FTEs) | 2,005 | 1,992 |
| January to December | ||
|---|---|---|
| 2012 | 2013 | |
| EBITA | 60 | (45) |
| Disentanglement costs | 0 | (44) |
| Former AVM&A net costs allocated to | ||
| Consumer Lifestyle | 35 | 27 |
| Former AVM&A net costs allocated to IG&S | 41 | 69 |
| Eliminated amortization other AVM&A | ||
| intangibles | (15) | 1 |
| EBIT discontinued operations | 121 | 8 |
| Financial income and expenses | 0 | (2) |
| Income taxes | (40) | (3) |
| Investments in associates | (3) | 0 |
| Net income (loss) of discontinued | ||
| operations | 78 | 3 |
| Number of employees (FTEs) | 2,005 | 1,992 |
The Audio, Video, Multimedia and Accessories (AVM&A) business is reported as discontinued operations in the Consolidated statements of income and Consolidated statements of cash flows. Priorperiod comparative figures have been restated accordingly. Consequently, AVM&A sales and EBITA are no longer included in the Consumer Lifestyle and Group results of continuing operations. Since Q1 2013, the applicable assets and liabilities of this business are reported under Assets and Liabilities classified as held for sale in the Consolidated balance sheet.
Philips had reached an agreement to transfer the AVM&A business to Funai Electric Co. Ltd in Q1 2013. This agreement was terminated on October 25, 2013. Since then, Philips has received expressions of interest in the business from various parties, both strategic and financial investors, and has been actively discussing the sale of the business with potential buyers. In the meantime, the AVM&A business operates as a standalone entity named WOOX Innovations. Consequently, the AVM&A business is reported as discontinued operations throughout 2013.
The net income of discontinued operations attributable to the AVM&A business decreased from a net profit of EUR 20 million in Q4 2012 to a net loss of EUR 17 million in Q4 2013, due to lower operational results and higher disentanglement costs, partly oset by lower income taxes.
EBITA in Q4 2013 included EUR 17 million of restructuring charges (Q4 2012: EUR 10 million).
The full-year net income of discontinued operations attributable to the AVM&A business decreased from EUR 78 million in 2012 to EUR 3 million in 2013, due to lower operational results and higher disentanglement costs, partly oset by lower income taxes.
EBITA in 2013 included EUR 16 million of restructuring charges. EBITA in 2012 included EUR 19 million of restructuring charges, which were oset by a EUR 20 million gain on the divestment of Speech Processing.
| January to December | |||
|---|---|---|---|
| 2012 | 2013 | ||
| Sales | 23,457 | 23,329 | |
| EBITA | 1,106 | 2,451 | |
| as a % of sales | 4.7 | 10.5 | |
| EBIT | 648 | 1,991 | |
| as a % of sales | 2.8 | 8.5 | |
| Financial income and expenses | (329) | (330) | |
| Income taxes | (185) | (466) | |
| Results investments in associates | (211) | (25) | |
| Income (loss) from continuing operations |
(77) | 1,170 | |
| Discontinued operations | 47 | 2 | |
| Net (loss) income | (30) | 1,172 | |
| Net income (loss) - shareholders per common share (in euros) - diluted |
(0.04) | 1.27 |
Financial income and expenses amounted to a net expense of EUR 330 million, in line with 2012.
Income taxes amounted to EUR 466 million, compared to EUR 185 million in 2012. The eective income tax rate was 28.1%, compared to 58.0% in 2012. Excluding the non-tax-deductible European Commission fine and charges related to various legal matters in 2012, the eective tax rate in 2012 was 25.5%. The 2.6 percentage point increase in 2013 was mainly related to a higher average income tax rate in 2013 due to a change in the country mix of profit and loss, which was partly oset by lower valuation allowances.
This document and the related oral presentation, including responses to questions following the presentation, contain certain forward-looking statements with respect to the financial condition, results of operations and business of Philips and certain of the plans and objectives of Philips with respect to these items. Examples of forward-looking statements include statements made about our strategy, estimates of sales growth, future EBITA and future developments in our organic business. By their nature, these statements involve risk and uncertainty because they relate to future events and circumstances and there are many factors that could cause actual results and developments to dier materially from those expressed or implied by these statements.
These factors include but are not limited to domestic and global economic and business conditions, developments within the euro zone, the successful implementation of our strategy and our ability to realize the benefits of this strategy, our ability to develop and market new products, changes in legislation, legal claims, changes in exchange and interest rates, changes in tax rates, pension costs and actuarial assumptions, raw materials and employee costs, our ability to identify and complete successful acquisitions and to integrate those acquisitions into our business, our ability to successfully exit certain businesses or restructure our operations, the rate of technological changes, political, economic and other developments in countries where Philips operates, industry consolidation and competition. As a result, Philips' actual future results may dier materially from the plans, goals and expectations set forth in such forwardlooking statements. For a discussion of factors that could cause future results to dier from such forwardlooking statements, see the Risk management chapter included in our Annual Report 2012.
Statements regarding market share, including those regarding Philips' competitive position, contained in this document are based on outside sources such as research institutes, industry and dealer panels in combination with management estimates. Where information is not yet available to Philips, those statements may also be based on estimates and projections prepared by outside sources or management. Rankings are based on sales unless otherwise stated.
In presenting and discussing the Philips Group financial position, operating results and cash flows, management uses certain non-GAAP financial measures. These non-GAAP financial measures should not be viewed in isolation as alternatives to the equivalent IFRS measures and should be used in conjunction with the most directly comparable IFRS measures. A reconciliation of these non-GAAP measures to the most directly comparable IFRS measures is contained in this document. Further information on non-GAAP measures can be found in our Annual Report 2012.
In presenting the Philips Group financial position, fair values are used for the measurement of various items in accordance with the applicable accounting standards. These fair values are based on market prices, where available, and are obtained from sources that are deemed to be reliable. Readers are cautioned that these values are subject to changes over time and are only valid at the balance sheet date. When quoted prices or observable market data are not readily available, fair values are estimated using appropriate valuation models and unobservable inputs. Such fair value estimates require management to make significant assumptions with respect to future developments, which are inherently uncertain and may therefore deviate from actual developments. Critical assumptions used are disclosed in our Annual Report 2012. Independent valuations may have been obtained to support management's determination of fair values.
All amounts are in millions of euros unless otherwise stated. All reported data is unaudited. Financial reporting is in accordance with the accounting policies as stated in the Annual Report 2012, unless otherwise stated.
Prior-period financials have been restated for the treatment of Audio, Video, Multimedia and Accessories as discontinued operations, the adoption of IAS 19R, which mainly relates to pension reporting, and adjustments to the quarterly figures of 2012, which have already been included in the Annual Report 2012 (for an explanation refer to Annual Report 2012 section 12.10 "Significant Accounting Policies"). An overview of the revised 2012 figures per quarter is available on the Philips website, in the Investor Relations section.
A proposal will be submitted to the General Meeting of Shareholders to declare a distribution of EUR 0.80 per common share (up to EUR740 million), in cash or shares at the option of the shareholder, against the net income for 2013. Further details will be given in the agenda for the General Meeting of Shareholders, to be held on May 1, 2014.
To cover Philips' outstanding obligations resulting from past and present long-term incentive and employee stock purchase programs dating back to 2004, Philips will repurchase up to 12 million additional Philips shares on NYSE Euronext Amsterdam, to be executed during 2014. The shares repurchased will be held by Philips as treasury shares untilthey are distributed to participants.
Philips will start this program as of January 28, 2014 and will enter into subsequent discretionary management agreements with one or more banks to repurchase Philips shares within the limits of relevant laws and regulations (in particular EC Regulation 2273/2003) and Philips' articles of association. All transactions will be published on Philips' website (www.philips.com/ investor) on a weekly basis.
The LTI coverage program is over and above the existing EUR 1.5 billion share repurchase program for cancellation purposes which started on October 21, 2013.
| 2012 | 2013 | |||||||
|---|---|---|---|---|---|---|---|---|
| 1st quarter 2nd quarter | 3rd quarter | 4th quarter | 1st quarter 2nd quarter | 3rd quarter | 4th quarter | |||
| Sales | 5,307 | 5,570 | 5,821 | 6,759 | 5,258 | 5,654 | 5,618 | 6,799 |
| comparable sales growth % | 5 | 6 | 7 | 5 | 1 | 3 | 3 | 7 |
| Gross margin | 2,008 | 2,139 | 2,253 | 2,591 | 2,101 | 2,347 | 2,357 | 2,883 |
| as a % of sales | 37.8 | 38.4 | 38.7 | 38.3 | 40.0 | 41.5 | 42.0 | 42.4 |
| Selling expenses | (1,196) | (1,314) | (1,298) | (1,526) | (1,190) | (1,245) | (1,214) | (1,426) |
| as a % of sales | (22.5) | (23.6) | (22.3) | (22.6) | (22.6) | (22.0) | (21.6) | (21.0) |
| G&A expenses | (199) | (151) | (222) | (273) | (200) | (230) | (253) | (266) |
| as a % of sales | (3.7) | (2.7) | (3.8) | (4.0) | (3.8) | (4.1) | (4.5) | (3.9) |
| R&D expenses | (450) | (440) | (447) | (494) | (424) | (416) | (437) | (456) |
| as a % of sales | (8.5) | (7.9) | (7.7) | (7.3) | (8.1) | (7.4) | (7.8) | (6.7) |
| EBIT | 341 | 229 | 254 | (176) | 305 | 509 | 464 | 713 |
| as a % of sales | 6.4 | 4.1 | 4.4 | (2.6) | 5.8 | 9.0 | 8.3 | 10.5 |
| EBITA | 451 | 339 | 366 | (50) | 402 | 603 | 562 | 884 |
| as a % of sales | 8.5 | 6.1 | 6.3 | (0.7) | 7.6 | 10.7 | 10.0 | 13.0 |
| Net income (loss) | 183 | 102 | 105 | (420) | 162 | 317 | 281 | 412 |
| Net income (loss) attributable to shareholders |
182 | 102 | 104 | (423) | 161 | 317 | 282 | 409 |
| Net income (loss) - shareholders per common share in euros - diluted |
0.20 | 0.11 | 0.11 | (0.46) | 0.17 | 0.35 | 0.31 | 0.44 |
all amounts in millions of euros unless otherwise stated
| 2012 | 2013 | |||||||
|---|---|---|---|---|---|---|---|---|
| January March |
January June |
January September |
January December |
January March |
January June |
January September |
January December |
|
| Sales comparable sales growth % |
5,307 5 |
10,877 6 |
16,698 6 |
23,457 6 |
5,258 1 |
10,912 2 |
16,530 2 |
23,329 3 |
| Gross margin | 2,008 | 4,147 | 6,400 | 8,991 | 2,101 | 4,448 | 6,805 | 9,688 |
| as a % of sales | 37.8 | 38.1 | 38.3 | 38.3 | 40.0 | 40.8 | 41.2 | 41.5 |
| Selling expenses | (1,196) | (2,510) | (3,808) | (5,334) | (1,190) | (2,435) | (3,649) | (5,075) |
| as a % of sales | (22.5) | (23.1) | (22.8) | (22.7) | (22.6) | (22.3) | (22.1) | (21.8) |
| G&A expenses | (199) | (350) | (572) | (845) | (200) | (430) | (683) | (949) |
| as a % of sales | (3.7) | (3.2) | (3.4) | (3.6) | (3.8) | (3.9) | (4.1) | (4.1) |
| R&D expenses | (450) | (890) | (1,337) | (1,831) | (424) | (840) | (1,277) | (1,733) |
| as a % sales | (8.5) | (8.2) | (8.0) | (7.8) | (8.1) | (7.7) | (7.7) | (7.4) |
| EBIT | 341 | 570 | 824 | 648 | 305 | 814 | 1,278 | 1,991 |
| as a % of sales | 6.4 | 5.2 | 4.9 | 2.8 | 5.8 | 7.5 | 7.7 | 8.5 |
| EBITA | 451 | 790 | 1,156 | 1,106 | 402 | 1,005 | 1,567 | 2,451 |
| as a % of sales | 8.5 | 7.3 | 6.9 | 4.7 | 7.6 | 9.2 | 9.5 | 10.5 |
| Net income (loss) | 183 | 285 | 390 | (30) | 162 | 479 | 760 | 1,172 |
| Net income (loss) attributable to | ||||||||
| shareholders | 182 | 284 | 388 | (35) | 161 | 478 | 760 | 1,169 |
| Net income (loss) - shareholders per common share in euros - diluted |
0.20 | 0.31 | 0.42 | (0.04) | 0.17 | 0.52 | 0.83 | 1.27 |
| Net income (loss) from continuing | ||||||||
| operations as a % of shareholders' equity | 6.3 | 4.3 | 4.0 | (0.6) | 5.8 | 9.0 | 9.4 | 10.6 |
| period ended 2012 | period ended 2013 | |||||||
| Number of common shares outstanding | ||||||||
| (after deduction of treasury shares) at the end of period (in thousands) |
915,926 | 931,391 | 923,912 | 914,591 | 905,381 | 913,874 | 915,095 | 913,338 |
| Shareholders' equity per common share | ||||||||
| in euros | 13.35 | 13.01 | 13.01 | 12.19 | 12.33 | 11.78 | 11.93 | 12.28 |
| Inventories as a % of sales1) | 16.9 | 17.2 | 16.9 | 14.3 | 15.5 | 15.7 | 16.5 | 13.9 |
| Inventories excluding discontinued | ||||||||
| operations | 3,623 | 3,812 | 3,877 | 3,359 | 3,629 | 3,696 | 3,832 | 3,239 |
| Net debt : group equity ratio | 6:94 | 13:87 | 11:89 | 6:94 | 12:88 | 16:84 | 16:84 | 11:89 |
| Net operating capital | 10,634 | 11,485 | 11,048 | 9,316 | 9,969 | 10,184 | 10,249 | 10,238 |
| Total employees | 122,008 | 121,801 | 121,284 | 118,087 | 117,881 | 117,239 | 116,266 | 116,681 |
| of which discontinued operations | 2,285 | 2,166 | 2,058 | 2,005 | 1,970 | 1,958 | 1,940 | 1,992 |
1) sales is calculated over the preceding 12 months
in millions of euros unless otherwise stated
| 4th quarter | January to December | |||
|---|---|---|---|---|
| 2012 | 2013 | 2012 | 2013 | |
| Sales | 6,759 | 6,799 | 23,457 | 23,329 |
| Cost of sales | (4,168) | (3,916) | (14,466) | (13,641) |
| Gross margin | 2,591 | 2,883 | 8,991 | 9,688 |
| Selling expenses | (1,526) | (1,426) | (5,334) | (5,075) |
| General and administrative expenses | (273) | (266) | (845) | (949) |
| Research and development expenses | (494) | (456) | (1,831) | (1,733) |
| Impairment of goodwill | 0 | (28) | 0 | (28) |
| Other business income | 34 | 21 | 275 | 123 |
| Other business expenses | (508) | (15) | (608) | (35) |
| Income from operations | (176) | 713 | 648 | 1,991 |
| Financial income | 44 | 19 | 106 | 70 |
| Financial expenses | ||||
| (83) | (96) | (435) | (400) | |
| Income before taxes | (215) | 636 | 319 | 1,661 |
| Income tax expense | (27) | (168) | (185) | (466) |
| Income after taxes | (242) | 468 | 134 | 1,195 |
| Results relating to investments in associates | (193) | (46) | (211) | (25) |
| Net income from continuing operations | (435) | 422 | (77) | 1,170 |
| Discontinued operations - net of income tax | 15 | (10) | 47 | 2 |
| Net income | (420) | 412 | (30) | 1,172 |
| Attribution of net income for the period | ||||
| Net income attributable to shareholders | (423) | 409 | (35) | 1,169 |
| Net income attributable to non-controlling interests | 3 | 3 | 5 | 3 |
| Earnings per common share attributable to shareholders | ||||
| Weighted average number of common shares outstanding (after deduction of treasury shares) during the period (in thousands): |
||||
| - basic | 918,2231) | 914,385 | 922,1011) | 911,072 |
| - diluted | 927,4861) | 927,131 | 927,2221) | 922,072 |
| Net income attributable to shareholders per common share in euros: | ||||
| - basic | (0.46) | 0.45 | (0.04) | 1.28 |
| - diluted | (0.46)2) | 0.44 | (0.04)2) | 1.27 |
1) Adjusted to make 2012 comparable for the elective share dividend premium (273 thousand) issued in June 2013
2) The incremental shares from assumed conversion are not taken into account in the periods for which there is a loss attributable to shareholders, as the eect would be antidilutive
in millions of euros unless otherwise stated
| December 31, | December 31, | |
|---|---|---|
| 2012 | 2013 | |
| Non-current assets: | ||
| Property, plant and equipment | 2,959 | 2,780 |
| Goodwill | 6,948 | 6,504 |
| Intangible assets excluding goodwill | 3,731 | 3,262 |
| Non-current receivables | 176 | 144 |
| Investments in associates | 177 | 161 |
| Other non-current financial assets | 549 | 496 |
| Deferred tax assets | 1,919 | 1,675 |
| Other non-current assets | 94 | 63 |
| Total non-current assets | 16,553 | 15,085 |
| Current assets: | ||
| Inventories - net | 3,495 | 3,240 |
| Other current financial assets | − | 10 |
| Other current assets | 337 | 354 |
| Derivative financial assets | 137 | 150 |
| Income tax receivable | 97 | 70 |
| Receivables | 4,585 | 4,678 |
| Assets classified as held for sale | 43 | 507 |
| Cash and cash equivalents | 3,834 | 2,465 |
| Total current assets | 12,528 | 11,474 |
| Total assets | 29,081 | 26,559 |
| Shareholders' equity | 11,151 | 11,214 |
| Non-controlling interests | 34 | 13 |
| Group equity | 11,185 | 11,227 |
| Non-current liabilities: | ||
| Long-term debt | 3,725 | 3,309 |
| Long-term provisions | 2,119 | 1,903 |
| Deferred tax liabilities | 92 | 76 |
| Other non-current liabilities | 2,005 | 1,568 |
| Total non-current liabilities | 7,941 | 6,856 |
| Current liabilities: | ||
| Short-term debt | 809 | 592 |
| Derivative financial liabilities | 517 | 368 |
| Income tax payable | 200 | 143 |
| Accounts and notes payable | 2,839 | 2,462 |
| Accrued liabilities | 3,171 | 2,830 |
| Short-term provisions | 837 | 651 |
| Liabilities directly associated with assets held for sale | 27 | 348 |
| Other current liabilities | 1,555 | 1,082 |
| Total current liabilities | 9,955 | 8,476 |
| Total liabilities and group equity | 29,081 | 26,559 |
in millions of euros
| 4th quarter | January to December | |||
|---|---|---|---|---|
| 2012 | 2013 | 2012 | 2013 | |
| Cash flows from operating activities: | ||||
| Net income | (420) | 412 | (30) | 1,172 |
| Result of discontinued operations - net of income tax | (15) | 10 | (47) | (2) |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||
| Fixed assets depreciation, amortization, and impairments | 382 | 403 | 1,398 | 1,349 |
| Impairment of goodwill and other non-current financial assets | 2 | 32 | 14 | 38 |
| Net loss (gain) on sale of assets | 18 | (5) | (141) | (54) |
| (Income) loss from investments in associates | (4) | 47 | 5 | 25 |
| Dividends received from investments in associates | 8 | − | 15 | 6 |
| Dividends paid to non-controlling interests | (4) | (7) | (4) | (7) |
| Decrease (increase) in working capital: | 780 | (170) | 546 | (1,417) |
| Increase in receivables and other current assets | (82) | (109) | (191) | (530) |
| Decrease (increase) in inventories | 411 | 497 | (32) | (165) |
| Increase (decrease) in accounts payable, accrued and other liabilities | 451 | (558) | 769 | (722) |
| (Increase) decrease in non-current receivables, other assets and other liabilities | (136) | 3 | (327) | (76) |
| Increase (decrease) in provisions | 322 | 49 | 429 | (194) |
| Other items | 123 | 131 | 224 | 298 |
| Net cash provided by operating activities | 1,056 | 905 | 2,082 | 1,138 |
| Cash flows from investing activities: | ||||
| Purchase of intangible assets | (9) | (32) | (34) | (49) |
| Proceeds from sale of intangible assets | − | − | 160 | − |
| Expenditures on development assets | (95) | (89) | (345) | (357) |
| Capital expenditures on property, plant and equipment | (212) | (181) | (661) | (587) |
| Proceeds from disposals of property, plant and equipment | 13 | 5 | 425 | 27 |
| Cash from (to) derivatives and current financial assets | 8 | (8) | (46) | (101) |
| Purchase of other non-current financial assets | (4) | (8) | (167) | (13) |
| Proceeds from other non-current financial assets | 3 | − | 3 | 15 |
| Purchase of businesses, net of cash acquired Proceeds from sale of interests in businesses, net of cash disposed of |
(8) | (6) | (261) | (11) |
| Net cash used for investing activities | (12) (316) |
(6) (325) |
1 (925) |
79 (997) |
| Cash flows from financing activities: | ||||
| Proceeds from (payments on) issuance of short-term debt | (35) | (82) | 133 | (285) |
| Principal payments on long-term debt | (42) | (19) | (631) | (186) |
| Proceeds from issuance of long-term debt | 27 | 16 | 1,228 | 64 |
| Treasury shares transactions | (191) | (57) | (768) | (562) |
| Dividends paid | − | − | (255) | (272) |
| Net cash used for financing activities | (241) | (142) | (293) | (1,241) |
| Net cash provided by (used for) continuing operations | 499 | 438 | 864 | (1,100) |
| Cash flows from discontinued operations: | ||||
| Net cash provided by (used for) operating activities | 107 | 17 | (166) | (159) |
| Net cash provided by (used for) investing activities | (33) | 3 | 40 | (47) |
| Net cash provided by (used for) discontinued operations | 74 | 20 | (126) | (206) |
| Net cash provided by (used for) continuing and discontinued operations | 573 | 458 | 738 | (1,306) |
| 4th quarter | January to December | ||||
|---|---|---|---|---|---|
| Eect of change in exchange rates on cash and cash equivalents | 29 | (27) | (51) | (63) | |
| Cash and cash equivalents at the beginning of the period | 3,232 | 2,034 | 3,147 | 3,834 | |
| Cash and cash equivalents at the end of the period | 3,834 | 2,465 | 3,834 | 2,465 | |
| Net cash paid during the period for | |||||
| Pensions | (120) | (190) | (610) | (679) | |
| Interest | (29) | (13) | (239) | (215) | |
| Income taxes | (84) | (76) | (359) | (454) |
For a number of reasons, principally the eects of translation dierences, certain items in the statements of cash flows do not correspond to the dierences between the balance sheet amounts for the respective items.
in millions of euros
| common shares |
capital in excess of par value |
retained earnings |
revaluation reserve |
currency translation dierences |
available - for-sale financial assets |
cash flow hedges |
treasury shares at cost |
total share holders' equity |
non controlling interests |
total equity |
|
|---|---|---|---|---|---|---|---|---|---|---|---|
| January-December 2013 | |||||||||||
| Balance as of December 31, 2012 |
191 | 1,304 | 10,724 | 54 | (93) | 54 | 20 | (1,103) | 11,151 | 34 | 11,185 |
| Net income | 1,169 | 1,169 | 3 | 1,172 | |||||||
| Other comprehensive income, net of tax |
93 | (31) | (476) | 1 | 4 | (409) | (409) | ||||
| Total comprehensive income |
1,262 | (31) | (476) | 1 | 4 | 760 | 3 | 763 | |||
| Dividend distributed | 4 | 402 | (678) | (272) | (272) | ||||||
| Movement non-controlling interest |
− | − | (24) | (24) | |||||||
| Cancellation of treasury shares |
(7) | (780) | 787 | − | − | ||||||
| Purchase oftreasury shares | (38) | (631) | (669) | (669) | |||||||
| Re-issuance of treasury shares |
(36) | (75) | 229 | 118 | 118 | ||||||
| Share-based compensation plans |
105 | 105 | 105 | ||||||||
| Income tax share-based compensation plans |
21 | 21 | 21 | ||||||||
| Total other equity movements |
(3) | 492 | (1,571) | − | − | − | − | 385 | (697) | (24) | (721) |
| Balance as of December 31, 2013 |
188 | 1,796 | 10,415 | 23 | (569) | 55 | 24 | (718) | 11,214 | 13 | 11,227 |
| 4th quarter | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2012 | 2013 | |||||||
| sales | income from operations | sales | income from operations | |||||
| as a % of sales | as a % of sales | |||||||
| Healthcare | 2,918 | 361 | 12.4 | 2,828 | 477 | 16.9 | ||
| Consumer Lifestyle | 1,385 | 113 | 8.2 | 1,428 | 174 | 12.2 | ||
| Lighting | 2,262 | (88) | (3.9) | 2,306 | 124 | 5.4 | ||
| Innovation, Group & Services | 194 | (562) | − | 237 | (62) | − | ||
| Philips Group | 6,759 | (176) | (2.6) | 6,799 | 713 | 10.5 |
| January to December | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2012 | 2013 | |||||||
| sales | income from operations | income from operations | ||||||
| as a % of sales | as a % of sales | |||||||
| Healthcare | 9,983 | 1,026 | 10.3 | 9,575 | 1,315 | 13.7 | ||
| Consumer Lifestyle | 4,319 | 400 | 9.3 | 4,605 | 429 | 9.3 | ||
| Lighting | 8,442 | (66) | (0.8) | 8,413 | 489 | 5.8 | ||
| Innovation, Group & Services | 713 | (712) | − | 736 | (242) | − | ||
| Philips Group | 23,457 | 648 | 2.8 | 23,329 | 1,991 | 8.5 |
| sales | total assets | total liabilities excluding debt | |||||
|---|---|---|---|---|---|---|---|
| January to December | December 31, | December 31, | December 31, | December 31, | |||
| 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | ||
| Healthcare | 9,983 | 9,575 | 11,248 | 10,465 | 3,186 | 2,943 | |
| Consumer Lifestyle | 4,319 | 4,605 | 3,280 | 2,832 | 2,075 | 1,571 | |
| Lighting | 8,442 | 8,413 | 6,970 | 6,711 | 2,313 | 2,229 | |
| Innovation, Group & Services | 713 | 736 | 7,540 | 6,044 | 5,761 | 4,340 | |
| 29,038 | 26,052 | 13,335 | 11,083 | ||||
| Assets and liabilities classified as held for | |||||||
| sale | 43 | 507 | 27 | 348 | |||
| Philips Group | 23,457 | 23,329 | 29,081 | 26,559 | 13,362 | 11,431 |
| sales | tangible and intangible assets1) | ||||
|---|---|---|---|---|---|
| January to December | December 31, | December 31, | |||
| 2012 | 2013 | 2012 | 2013 | ||
| Netherlands | 627 | 656 | 886 | 915 | |
| United States | 6,824 | 6,442 | 8,007 | 7,384 | |
| China | 2,585 | 2,942 | 1,114 | 1,057 | |
| Germany | 1,323 | 1,355 | 271 | 288 | |
| Japan | 1,204 | 1,006 | 537 | 401 | |
| France | 941 | 915 | 90 | 80 | |
| United Kingdom | 676 | 692 | 628 | 573 | |
| Other countries | 9,277 | 9,321 | 2,105 | 1,848 | |
| Philips Group | 23,457 | 23,329 | 13,638 | 12,546 |
1) Includes property, plant and equipment, goodwill, and intangible assets excluding goodwill
| 4th quarter | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2012 | 2013 | |||||||
| Netherlands | other | total | Netherlands | other | total | |||
| Defined-benefit plans | ||||||||
| Pensions | ||||||||
| Current service cost | 43 | 21 | 64 | 48 | 18 | 66 | ||
| Past service cost (incl. curtailments) | (25) | (6) | (31) | − | (3) | (3) | ||
| Settlements | − | 1 | 1 | − | 1 | 1 | ||
| Interest expense | − | 19 | 19 | − | 16 | 16 | ||
| Interest income | (1) | − | (1) | (1) | − | (1) | ||
| Total | 17 | 35 | 52 | 47 | 32 | 79 | ||
| of which discontinued operations | 1 | (2) | (1) | 2 | − | 2 | ||
| Retiree Medical | ||||||||
| Interest expense | − | 3 | 3 | − | 2 | 2 | ||
| Total | − | 3 | 3 | − | 2 | 2 | ||
| Defined-contribution plans | ||||||||
| Cost | 1 | 34 | 35 | 1 | 29 | 30 | ||
| of which discontinued operations | − | 1 | 1 | − | 1 | 1 |
| January to December | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2012 | 2013 | |||||||
| Netherlands | other | total | Netherlands | other | total | |||
| Defined-benefit plans | ||||||||
| Pensions | ||||||||
| Current service cost | 174 | 86 | 260 | 192 | 82 | 274 | ||
| Past service cost (incl. curtailments) | (25) | (6) | (31) | − | (81) | (81) | ||
| Settlements | − | 1 | 1 | − | 32 | 32 | ||
| Interest expense | − | 76 | 76 | − | 65 | 65 | ||
| Interest income | (4) | − | (4) | (4) | − | (4) | ||
| Total | 145 | 157 | 302 | 188 | 98 | 286 | ||
| of which discontinued operations | 2 | (1) | 1 | 3 | − | 3 | ||
| Retiree Medical | ||||||||
| Current service cost | − | 1 | 1 | − | 1 | 1 | ||
| Past service cost (incl. curtailments) | − | (25) | (25) | − | − | − | ||
| Interest expense | − | 12 | 12 | − | 10 | 10 | ||
| Total | − | (12) | (12) | − | 11 | 11 | ||
| Defined-contribution plans | ||||||||
| Cost | 9 | 135 | 144 | 8 | 134 | 142 | ||
| of which discontinued operations | 1 | 4 | 5 | − | 3 | 3 |
Certain non-GAAP financial measures are presented when discussing the Philips Group's performance. In the following tables, a reconciliation to the most directly comparable IFRS performance measure is made.
| in % | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| 4th quarter | January to December | |||||||||
| comparable growth |
currency eects |
consolidation changes |
nominal growth |
comparable growth |
currency eects |
consolidation changes |
nominal growth |
|||
| 2013 versus 2012 | ||||||||||
| Healthcare | 4.0 | (6.7) | (0.4) | (3.1) | 0.8 | (4.6) | (0.3) | (4.1) | ||
| Consumer Lifestyle | 8.2 | (5.1) | 0.0 | 3.1 | 10.0 | (3.4) | 0.0 | 6.6 | ||
| Lighting | 8.0 | (6.2) | 0.1 | 1.9 | 3.2 | (3.5) | 0.0 | (0.3) | ||
| Innovation, Group & | ||||||||||
| Services | 14.9 | (0.6) | 7.9 | 22.2 | (2.0) | (0.5) | 5.7 | 3.2 | ||
| Philips Group | 6.5 | (6.0) | 0.1 | 0.6 | 3.3 | (3.9) | 0.1 | (0.5) |
| 4th quarter | January to December | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Income from operations (or EBIT) |
Amortization of intangibles1) |
Impairment of goodwill |
EBITA (or Adjusted income from operations) |
Income from operations (or EBIT) |
Amortization of intangibles1) |
Impairment of goodwill |
EBITA (or Adjusted income from operations) |
||
| 2013 | |||||||||
| Healthcare | 477 | (62) | (2) | 541 | 1,315 | (195) | (2) | 1,512 | |
| Consumer Lifestyle | 174 | (13) | − | 187 | 429 | (54) | − | 483 | |
| Lighting | 124 | (68) | (26) | 218 | 489 | (180) | (26) | 695 | |
| Innovation, Group & Services |
(62) | − | − | (62) | (242) | (3) | − | (239) | |
| Philips Group | 713 | (143) | (28) | 884 | 1,991 | (432) | (28) | 2,451 | |
| 2012 | |||||||||
| Healthcare | 361 | (50) | − | 411 | 1,026 | (200) | − | 1,226 | |
| Consumer Lifestyle | 113 | (14) | − | 127 | 400 | (56) | − | 456 | |
| Lighting | (88) | (60) | − | (28) | (66) | (194) | − | 128 | |
| Innovation, Group & Services |
(562) | (2) | − | (560) | (712) | (8) | − | (704) | |
| Philips Group | (176) | (126) | − | (50) | 648 | (458) | − | 1,106 |
1) Excluding amortization of software and product development
in millions of euros
Net operating capital to total assets
| Consumer | |||||
|---|---|---|---|---|---|
| Philips Group | Healthcare | Lifestyle | Lighting | IG&S | |
| December 31, 2013 | |||||
| Net operating capital (NOC) | 10,238 | 7,437 | 1,261 | 4,462 | (2,922) |
| Exclude liabilities comprised in NOC: | |||||
| - payables/liabilities | 8,453 | 2,541 | 1,275 | 1,672 | 2,965 |
| - intercompany accounts | − | 124 | 75 | 105 | (304) |
| - provisions | 2,554 | 278 | 221 | 452 | 1,603 |
| Include assets not comprised in NOC: | |||||
| - investments in associates | 161 | 85 | − | 20 | 56 |
| - other current financial assets | 10 | − | − | − | 10 |
| - other non-current financial assets | 496 | − | − | − | 496 |
| - deferred tax assets | 1,675 | − | − | − | 1,675 |
| - cash and cash equivalents | 2,465 | − | − | − | 2,465 |
| 26,052 | 10,465 | 2,832 | 6,711 | 6,044 | |
| Assets classified as held for sale | 507 | ||||
| Total assets | 26,559 | ||||
| December 31, 2012 | |||||
| Net operating capital (NOC) | 9,316 | 7,976 | 1,205 | 4,635 | (4,500) |
| Exclude liabilities comprised in NOC: | |||||
| - payables/liabilities | 10,287 | 2,760 | 1,718 | 1,695 | 4,114 |
| - intercompany accounts | − | 71 | 42 | 37 | (150) |
| - provisions | 2,956 | 355 | 315 | 581 | 1,705 |
| Include assets not comprised in NOC: | |||||
| - investments in associates | 177 | 86 | − | 22 | 69 |
| - other non-current financial assets | 549 | − | − | − | 549 |
| - deferred tax assets | 1,919 | − | − | − | 1,919 |
| - cash and cash equivalents | 3,834 | − | − | − | 3,834 |
| 29,038 | 11,248 | 3,280 | 6,970 | 7,540 | |
| Assets classified as held for sale | 43 | ||||
| Total assets | 29,081 | ||||
Composition of net debt to group equity
| December 31, | December 31, | |
|---|---|---|
| 2012 | 2013 | |
| Long-term debt | 3,725 | 3,309 |
| Short-term debt | 809 | 592 |
| Total debt | 4,534 | 3,901 |
| Cash and cash equivalents | 3,834 | 2,465 |
| Net debt (total debt less cash and cash equivalents) | 700 | 1,436 |
| Shareholders' equity | 11,151 | 11,214 |
| Non-controlling interests | 34 | 13 |
| Group equity | 11,185 | 11,227 |
| Net debt and group equity | 11,885 | 12,663 |
| Net debt divided by net debt and group equity (in %) | 6 | 11 |
| Group equity divided by net debt and group equity (in %) | 94 | 89 |
| 4th quarter | January to December | |||
|---|---|---|---|---|
| 2012 | 2013 | 2012 | 2013 | |
| Cash flows provided by operating activities | 1,056 | 905 | 2,082 | 1,138 |
| Cash flows used for investing activities | (316) | (325) | (925) | (997) |
| Cash flows before financing activities | 740 | 580 | 1,157 | 141 |
| Cash flows provided by operating activities | 1,056 | 905 | 2,082 | 1,138 |
| Net capital expenditures: | (303) | (297) | (455) | (966) |
| Purchase of intangible assets | (9) | (32) | (34) | (49) |
| Proceeds from sale of intangible assets | − | − | 160 | − |
| Expenditures on development assets | (95) | (89) | (345) | (357) |
| Capital expenditures on property, plant and equipment | (212) | (181) | (661) | (587) |
| Proceeds from sale of property, plant and equipment | 13 | 5 | 425 | 27 |
| Free cash flows | 753 | 608 | 1,627 | 172 |
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.