Signify N.V.

Earnings Release • Jul 25, 2025

Press Release

July 25, 2025

Signify reports second quarter sales of EUR 1.4 billion, operational profitability of 7.8% and a free cash flow of EUR 36 million

Second quarter 2025¹

• Signify's installed base of connected light points increased to 156 million in Q2 25
• Signify ranks 6th among Europe's most sustainable corporations in Corporate Knights Europe 50
• Sales of EUR 1,418 million; nominal sales of -4.4%
• Comparable Sales Growth of -1.4%; 0.8% growth excluding the Conventional business
• Adj. EBITA margin of 7.8% (Q2 24: 7.9%)
• Net income of EUR 57 million (Q2 24: EUR 63 million)
• Free cash flow of EUR 36 million (Q2 24: EUR 51 million)
• Share repurchase program on track; EUR 65.2 million of shares repurchased until June 30, 2025

Eindhoven, the Netherlands – Signify (Euronext: LIGHT), the world leader in lighting, today announced the company's second quarter 2025 results.

"The momentum in our business continued through the second quarter, with comparable sales growth in both the Professional and Consumer businesses. The comparable sales decline of 1.4% reflects a topline growth of 0.8%, excluding the Conventional business. The return to growth in the Professional business was led by strong performance in North America and connected lighting sales. The Consumer business delivered its third consecutive quarter of growth, driven by robust demand for our connected home products. Connected and specialty lighting now represent over a third of our total sales, underscoring the importance and impact of our strategy.

Our gross margin remained strong, supported by disciplined price and cost management, as our teams continued to demonstrate their agility in navigating a volatile external environment. While we are encouraged by these developments, our adjusted EBITA performance was impacted by higher cost absorption in some parts of the business with stronger headwinds, and re-investments to drive growth.

With a robust plan in place to secure an operational performance that maintains our positive sales momentum and effectively manages cost through the second half, we confirm our guidance of low single digit growth excluding the Conventional business and a free cash flow of 7 - 8% of sales, and add a range to our EBITA margin guidance of 9.6 - 9.9%." said Željko Kosanović, CFO and interim CEO of Signify.

Brighter Lives, Better World 2025

In the second quarter of the year, Signify continued to advance its Brighter Lives, Better World 2025 sustainability program which commits to doubling its positive impact on the environment and society.

Reduce greenhouse gas emissions

Signify is ahead of schedule to achieve its 2025 target to reduce greenhouse gas emissions across its entire value chain by 40% against the 2019 baseline - double the pace required by the Paris Agreement.

Circular revenues

Circular revenues increased to 37%, up 1% over last quarter and surpassing the 2025 target of 32%. The main contribution was from serviceable luminaires in the professional business in all regions.

Brighter lives revenues

Brighter lives revenues remained at 33% and beyond the 2025 target of 32%. This includes strong contribution from tunable professional products and special lighting that support health and well-being.

Percentage of women in leadership

The percentage of women in leadership positions remained at 27% this quarter, which is not aligned with our 2025 ambitions. Signify continues its actions to increase representation through focused hiring practices for diversity across all levels, and through retention and engagement actions to reduce attrition.

In the second quarter, Signify received several external recognitions for its leadership in Sustainability. The company has been named in the Corporate Knights Europe 50 most sustainable corporations and has been recognized in CDPs Supplier Engagement Assessment (SEA) A-list for its 2024 disclosure.

Outlook

With a robust plan in place to secure an operational performance that maintains the positive sales momentum and effectively manages cost through the second half, Signify confirms its guidance low single digit comparable sales and a free cash flow generation of 7 - 8% of sales, and adds a range to its EBITA margin guidance of 9.6 - 9.9%.

Financial review

	Second quarter			Six months
2024	2025	change	in millions of EUR, except percentages	2024	2025	change
		-1.4 %	Comparable sales growth			-2.1 %
		-3.0 %	Currency effects			-0.8 %
		0.0 %	Consolidation effects			0.0 %
1,483	1,418	-4.4 %	Sales	2,951	2,866	-2.9 %
598	572	-4.4 %	Adjusted gross margin	1,204	1,164	-3.3 %
40.3%	40.4%		Adj. gross margin (as % of sales)	40.8%	40.6%
-428	-419		Adj. SG&A expenses	-859	-846
-69	-58		Adj. R&D expenses	-139	-122
-497	-477	-4.1 %	Adj. indirect costs	-998	-968	-3.0 %
33.5%	33.6%		Adj. indirect costs (as % of sales)	33.8%	33.8%
118	110	-6.5 %	Adjusted EBITA	240	226	-5.7 %
7.9%	7.8%		Adjusted EBITA margin	8.1%	7.9%
-3	-13		Adjusted items	-43	-28
115	97	-15.2 %	EBITA	196	198	0.6 %
97	83	-14.6 %	Income from operations (EBIT)	162	168	3.9 %
-21	-17		Net financial income/expense	-37	-30
-13	-9		Income tax expense	-17	-13
63	57	-10.6 %	Net income	107	124	15.6 %
51	36		Free cash flow	131	77
0.49	0.44		Basic EPS (€)	0.84	0.98
31,219	29,456		Employees (FTE)	31,219	29,456

Second quarter

Nominal sales decreased by 4.4% to EUR 1,418 million, including a negative currency effect of 3.0%, mainly related to the depreciation of the USD and CNY. Comparable sales declined by 1.4%. Excluding the Conventional business, comparable sales growth was 0.8%, reflecting the improving momentum in Signify's business.

The Adjusted gross margin increased by 10 bps to 40.4% driven by disciplined price and COGS management. Adjusted indirect costs as a percentage of sales increased by 10 bps to 33.6%, as fixed cost reductions were partly reinvested into marketing and selling expenses to fuel growth momentum.

Adjusted EBITA decreased by EUR 8 million to EUR 110 million. The Adjusted EBITA margin decreased by 10 bps to 7.8%, as gross margin expansion was offset by an a higher proportion of indirect costs.

Restructuring costs were EUR 10 million, acquisition-related charges included a benefit of EUR 1 million and incidental items had a negative impact of EUR 3 million. In Q2 2024, incidental items included a EUR 8 million benefit.

Net income decreased to EUR 57 million, primarily due to lower operating income and higher adjusted items.

The number of employees (FTE) decreased from 31,219 at the end of Q2 24 to 29,456 at the end of Q2 25. The yearon-year decrease is mostly related to the 2023 reorganization program and a reduction of factory personnel due to lower production volumes. In general, the number of FTEs is affected by fluctuations in volume and seasonality.

Professional

Second quarter				Six months
2024	2025	change	in millions of EUR, unless otherwise indicated	2024	2025	change
-8.3 %	0.2 %		Comparable sales growth	-8.0 %	-0.8 %
959	931	-2.9 %	Sales	1,902	1,872	-1.5 %
78	69	-11.7 %	Adjusted EBITA	148	136	-7.9 %
8.1 %	7.4 %		Adjusted EBITA margin	7.8 %	7.3 %

Second quarter

Nominal sales decreased by 2.9% to EUR 931 million, including a negative currency effect of 3.1%. Comparable sales grew by 0.2%. The business returned to growth led by a strong performance in the US and connected lighting sales in all regions.

Adjusted EBITA decreased by EUR 9 million to EUR 69 million. The Adjusted EBITA margin decreased by 70 bps to 7.4%, as fixed cost reductions were partly reinvested into marketing and selling expenses to fuel growth momentum.

Consumer

Second quarter				Six months
2024	2025	change	in millions of EUR, unless otherwise indicated	2024	2025	change
-2.4 %	2.6 %		Comparable sales growth	-4.1 %	2.8 %
297	296	-0.5 %	Sales	596	607	1.9 %
21	22	4.2 %	Adjusted EBITA	52	56	6.5 %
7.1 %	7.4 %		Adjusted EBITA margin	8.8 %	9.2 %

Second quarter

Nominal sales decreased by 0.5% to EUR 296 million, including a negative currency effect of 3.1%. Comparable sales grew by 2.6%, reflecting the continued momentum in the consumer business in most markets. Signify continued to see strong performance of its connected home products. The Adjusted EBITA margin improved by 30 bps to 7.4%, largely driven by volume growth.

OEM

Second quarter				Six months
2024	2025	change	in millions of EUR, unless otherwise indicated	2024	2025	change
0.1 %	-11.6 %		Comparable sales growth	-3.7 %	-11.1 %
106	90	-14.5 %	Sales	208	182	-12.4 %
12	8	-33.2 %	Adjusted EBITA	21	12	-43.6 %
10.9 %	8.5 %		Adjusted EBITA margin	9.9 %	6.4 %

Second quarter

Nominal sales decreased by 14.5% to EUR 90 million, including a negative currency effect of 2.9%. Comparable sales declined by 11.6%, partly due to lower orders from two major customers. In addition, the business continued to face intense price competition for non-connected components. The Adjusted EBITA margin decreased by 240 bps to 8.5%, as the gross margin was impacted by negative pricing and an under-absorption of fixed costs.

Conventional

Second quarter				Six months
2024	2025	change	in millions of EUR, unless otherwise indicated	2024	2025	change
-27.6 %	-26.8 %		Comparable sales growth	-31.0 %	-25.4 %
114	81	-28.9 %	Sales	234	174	-25.8 %
18	15	-15.6 %	Adjusted EBITA	39	32	-17.6 %
15.7 %	18.6 %		Adjusted EBITA margin	16.7 %	18.5 %

Second quarter

Nominal sales decreased by 28.9% to EUR 81 million, including a negative currency effect of 2.1%. Comparable sales declined by 26.8%, reflecting the structural decline of the business. The Adjusted EBITA margin improved by 290 bps to 18.6% mainly driven by gross margin expansion on the back of disciplined price and cost management.

Other

Second quarter

'Other' reflects the P&L of Signify's venture businesses, in addition to centrally incurred costs not assigned to individual businesses, predominantly those related to exploratory research initiatives and audit activities.

Nominal sales increased to EUR 20 million (Q2 2024: EUR 7 million) mainly driven by the growth of Signify's ventures. Adjusted EBITA was EUR -4 million (Q2 24: EUR -11 million).

Working capital

in millions of EUR, unless otherwise indicated	Jun 30, 2024	Mar 31, 2025	Jun 30, 2025
Inventories	1,074	1,023	997
Trade and other receivables 1	959	914	892
Trade and other payables	-1,500	-1,448	-1,392
Other working capital items 2	-30	-47	-42
Working capital	502	442	455
As % of LTM3 sales	7.9 %	7.2 %	7.5 %

1 As at June 30, 2024, March 31, 2025 and June 30, 2025, Trade and other receivables exclude USD 49 million, USD 51 million and USD 52 million, respectively, of insurance receivables for which a legal provision is recognized for the same amount.

2 As at June 30, 2024 and June 30, 2025, Other working capital items exclude EUR 25 million of dividend-related payable and EUR 4 million of share repurchase related payable, respectively.

3 LTM: Last Twelve Months

6,614 6,336 6,275

Second quarter

Working capital increased from EUR 442 million at the end of March 2025 to EUR 455 million at the end of June 2025. The increase is mainly driven by lower payables and other working capital items, which were partly offset by lower inventories and receivables. As a percentage of last twelve-month sales, working capital increased by 30 bps to 7.5%.

Compared with June 2024, working capital decreased by EUR 48 million. This decrease is mainly driven by lower inventories and receivables, partly offset by lower payables. As a percentage of last-twelve month sales, working capital decreased by 40 bps.

Cash flow analysis

Second quarter			Six months
2024	2025	in millions of EUR	2024	2025
97	83	Income from operations (EBIT)	162	168
64	57	Depreciation and amortization	132	118
30	31	Additions to (releases of) provisions	70	62
-64	-40	Utilizations of provisions	-130	-81
-15	-27	Changes in working capital	-14	-93
-28	-28	Net interest and financing costs received (paid)	-31	-27
-16	-9	Income taxes paid	-34	-28
-20	-32	Net capex	-42	-57
2	2	Other	19	15
51	36	Free cash flow	131	77

Second quarter

Free cash flow decreased to EUR 36 million, primarily due to lower income from operations, higher cash outflow from working capital and capex, partly offset by a lower payout related to restructuring. In Q2 25, free cash flow included a restructuring payout of EUR 14 million (Q2 24: EUR 39 million).

Net debt and total equity

in millions of EUR		Jun 30, 2024 Mar 31, 2025	Jun 30, 2025
Short-term debt	574	420	416
Long-term debt	1,158	1,134	1,178
Gross debt	1,732	1,554	1,594
Cash and cash equivalents	567	644	396
Net debt	1,165	910	1,198
Total equity	2,965	3,172	2,696

Second quarter

As of the end of June 2025, the cash position decreased by EUR 248 million to EUR 396 million. This decrease was primarily driven by the dividend payment and the share repurchase program, partially offset by positive free cash flow. Net debt increased by EUR 288 million to EUR 1,198 million, reflecting the same key drivers. Total equity decreased to EUR 2,696 million (Q1 25: EUR 3,172 million), primarily due to currency translation results and dividend distribution.

Compared to the end of June 2024, the cash position decreased by EUR 171 million primarily due to repayment of debt, dividend payment and share repurchase program, partly offset by free cash flow generation. Gross debt decreased by EUR 138 million to EUR 1,594 million, while net debt increased by EUR 33 million year on year. The net debt-to-EBITDA ratio stood at 1.7x at the end of June 2025, down from 1.8x in Q2 2024.

Other information

Appendix A – Unaudited condensed consolidated interim financial statements for the six-month period ended June 30, 2025 Appendix B – Reconciliation of non-IFRS financial measures Appendix C – Financial glossary

Conference call and audio webcast

Željko Kosanović (Signify CFO and interim CEO) will host a conference call for analysts and institutional investors at 9:00 a.m. CET to discuss the second quarter 2025 results. A live audio webcast of the conference call will be available via the Investor Relations website.

Financial calendar 2025 October 24, 2025 Third quarter results 2025

For further information, please contact: Signify Investor Relations Thelke Gerdes Tel: +31 6 1801 7131 E-mail: thelke.gerdes@signify.com

Signify Corporate Communications

Tom Lodge Tel: +31 6 5252 5416 E-mail: tom.lodge@signify.com

About Signify

Signify (Euronext: LIGHT) is the world leader in lighting for professionals, consumers and the Internet of Things. We unlock the extraordinary potential of light for brighter lives and a better world. Our advanced products, systems and data-enabled services deliver business value and transform life in homes, buildings and public spaces. In 2024, we had sales of EUR 6.1 billion, approximately 29,000 employees and a presence in over 70 countries. We feature in the Dow Jones Sustainability World Index and hold the EcoVadis Platinum rating, placing in the top one percent of companies assessed. News from Signify can be found in the Newsroom, on LinkedIn, Instagram and X . Information for investors is located on the Investor Relations page.

Signify global brands include: Philips, Philips Hue, WiZ, Interact, ColorKinetics, Dynalite, Telensa, Signify myCreation, Signify BrightSites, NatureConnect, Trulifi.

Important Information

Forward-Looking Statements and Risks & Uncertainties

This document and the related oral presentation contain, and responses to questions following the presentation may contain, forward-looking statements that reflect the intentions, beliefs or current expectations and projections of Signify N.V. (the "Company", and together with its subsidiaries, the "Group"), including statements regarding strategy, estimates of sales growth and future operational results.

By their nature, these statements involve risks and uncertainties facing the Company and its Group companies, and a number of important factors could cause actual results or outcomes to differ materially from those expressed in any forward-looking statement as a result of risks and uncertainties. Such risks, uncertainties and other important factors include but are not limited to: adverse economic and geopolitical developments including the potential impact of trade tariffs, the impact of the increasing conflicts globally, volatility in interest rates, inflation and currency fluctuations, changes in international tax laws, economic downturns in key geographies to the company, supply chain disruptions, new technological disruptions, cybersecurity risk, competition in the general lighting market, reputational and adverse effects on business due to activities in Environment, Health & Safety, compliance risks, ability to attract and retain talented personnel, pension liabilities.

Additional risks currently not known to the Group or that the Group has not considered material as of the date of this document could also prove to be important and may have a material adverse effect on the business, results of operations, financial condition and prospects of the Group or could cause the forward-looking events discussed in this document not to occur. The Group undertakes no duty to and will not necessarily update any of the forward-looking statements in light of new information or future events, except to the extent required by applicable law.

Market and Industry Information

All references to market share, market data, industry statistics and industry forecasts in this document consist of estimates compiled by industry professionals, competitors, organizations or analysts, of publicly available information or of the Group's own assessment of its sales and markets. Rankings are based on sales unless otherwise stated.

Non-IFRS Financial Measures

Certain parts of this document contain non-IFRS financial measures and ratios, such as comparable sales growth, adjusted gross margin and indirect costs, EBITA, adjusted EBITA, free cash flow, Net debt, Working capital, Brighter lives revenues, Circular revenues and other related ratios, which are not recognized measures of financial performance or liquidity under IFRS. The non-IFRS financial measures presented are measures used by management to monitor the underlying performance of the Group's business and operations. Not all companies calculate non-IFRS financial measures in the same manner or on a consistent basis and these measures and ratios may not be comparable to measures used by other companies under the same or similar names. A reconciliation of a number of non-IFRS financial measures to the most directly comparable IFRS financial measures is contained in appendix B, Reconciliation of non-IFRS financial measures, of this document. For further information on non-IFRS financial measures, see "Chapter 18 Reconciliation of non-IFRS measures" in the Annual Report 2024.

Presentation

All amounts are in millions of euros unless otherwise stated. Due to rounding, amounts may not add up to totals provided. All reported information is unaudited. Unless otherwise indicated, financial information has been prepared in accordance with the accounting policies as stated in the Annual Report 2024.

Market Abuse Regulation

This press release contains information within the meaning of Article 7(1) of the EU Market Abuse Regulation.

Unaudited condensed consolidated interim financial statements

For the six-month period ended June 30, 2025

9

Index to the unaudited condensed consolidated interim financial statements

Introduction	11
Management report	12
1. Condensed consolidated interim financial statements
1.1 Condensed consolidated statement of income	14
1.2 Condensed consolidated statement of comprehensive income	15
1.3 Condensed consolidated statement of financial position	16
1.4 Condensed consolidated statement of cash flows	17
1.5 Condensed consolidated statement of changes in equity	18
2. Notes to the condensed consolidated interim financial statements
2.1 Reporting entity	19
2.2 Basis of preparation	19
2.3 Notes	20

Semi-annual report

Introduction

The semi-annual report for the six-month period ended June 30, 2025 of Signify N.V. (the 'Company') consists of the semi-annual condensed consolidated interim financial statements, the semi-annual management report and the responsibility statement by the Company's Board of Management.

The main risks and uncertainties for the second half of 2025 are addressed in the first part of the press release - please refer to the section 'Important Information'.

The information in this semi-annual report is unaudited. The semi-annual condensed consolidated interim financial statements do not include all the information and disclosures required in the annual financial statements and should be read in conjunction with the Company's Consolidated financial statements for the year ended December 31, 2024.

Responsibility statement

The Board of Management of the Company hereby declares that, to the best of its knowledge, the semi-annual condensed consolidated interim financial statements for the six-month period ended June 30, 2025, which have been prepared in accordance with IAS 34, Interim Financial Reporting, as adopted by the European Union, give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company and the undertakings included in the consolidation taken as a whole, and the semi-annual management report for the six-month period ended June 30, 2025, gives a fair view of the information required pursuant to Section 5:25d(8)-(9) of the Dutch Financial Markets Supervision Act (Wet op het Financieel toezicht).

Eindhoven, July 25, 2025

Board of Management

Željko Kosanović Harshavardhan Chitale

Management report

Business performance¹

Market environment

In the first half of 2025, Signify navigated a dynamic global market shaped by geopolitical uncertainty and emerging trade tariffs. Against this backdrop, the Professional business showed sequential improvements of its topline, led by a strong performance in the US and connected sales. The Consumer business delivered comparable sales growth across all regions, driven by sustained demand for connected lighting and robust online channels. The OEM business faced headwinds due to price pressure in the component business and reduced volumes from two key customers. The Conventional lighting segment continued its expected structural decline in line with the market. Signify's connected and specialty lighting offerings continued to gain share and now represent over one-third of its total business.

Financial performance

Nominal sales decreased by 2.9% to EUR 2,866 million, including a negative currency effect of 0.8%. Comparable sales decreased by 2.1%, as growth in the Consumer business was offset by lower sales in the Professional and OEM businesses as well as the declining Conventional business.

The adjusted gross margin decreased by 20 basis points to 40.6%, but remained at a very robust level reflecting the company's disciplined price and COGS management.

Adjusted indirect costs as a percentage of sales remained at 33.8%, as fixed cost reductions were partly reinvested into marketing and selling expenses to fuel growth momentum. In addition, Signify continued to face a higher cost absorption in some parts of the business that continued to face headwinds.

EBITA increased by EUR 2 million to EUR 198 million. Restructuring costs were EUR 21 million, acquisitionrelated charges were EUR 1 million, and incidental items had a negative impact of EUR 6 million. Excluding these items, the Adjusted EBITA was EUR 226 million, or 7.9% of sales. The Adjusted EBITA margin decreased by 20 basis points compared to the previous year.

Income from operations increased by EUR 6 million to EUR 168 million. Net income increased by EUR 17 million to EUR 124 million, driven by lower adjusted items and lower financial expenses.

Net cash from operating activities decreased by EUR 39 million to EUR 134 million. The decrease is mainly driven by a higher cash outflow from working capital offset by lower restructuring payout.

Professional

Nominal sales decreased by 1.5% to EUR 1,872 million, including a negative currency effect of 0.7%. Comparable sales declined by 0.8%, as a strong performance in North America and connected sales largely offset the continued softness in Europe. The business returned to growth in the second quarter.

Adjusted EBITA was EUR 136 million. The Adjusted EBITA margin decreased by 50 basis points to 7.3% of sales, as fixed cost reductions were offset by higher cost absorption in part of the business as well as reinvests in the business to support growth.

Consumer

Nominal sales increased by 1.9% to EUR 607 million, including a negative currency effect of 1.0%. Comparable sales improved by 2.8%, reflecting the continued momentum in the consumer business in most markets. Signify continued to see strong demand for the Philips Hue brand.

Adjusted EBITA increased to EUR 56 million. The Adjusted EBITA margin increased by 40 basis points to 9.2%, largely driven by volume growth and fixed cost savings.

OEM

Nominal sales decreased by 12.4% to EUR 182 million, including a negative currency effect of 1.3%. Comparable sales declined by 11.1%, partly due to lower orders from two major customers. In addition, the business continued to face intense price competition for non-connected components.

Adjusted EBITA was EUR 12 million. The Adjusted EBITA margin decreased by 350 basis points to 6.4%, as the gross margin was impacted by negative pricing, as well as an under-absorption of fixed costs.

Conventional

Nominal sales decreased by 25.8% to EUR 174 million, including a negative currency effect of 0.4%. Comparable sales decreased by 25.4%, reflecting the structural decline of the business.

Adjusted EBITA was 32 million.The Adjusted EBITA margin improved by 180 basis points to 18.5%, mainly driven by gross margin expansion on the back of disciplined price and cost management.

1 This section contains certain non-IFRS financial measures and ratios, which are not recognized measures of financial performance or liquidity under IFRS. A reconciliation of a number of non-IFRS financial measures to the most directly comparable IFRS financial measures is contained in appendix B, Reconciliation of non-IFRS financial measures.

Other

'Other' reflects the P&L of Signify's venture businesses, in addition to centrally incurred costs not assigned to individual businesses, predominantly those related to exploratory research initiatives and audit activities. Nominal sales increased to EUR 31 million (H1 2024: EUR 12 million) mainly driven by the growth of Signify's ventures. Adjusted EBITA was EUR -9 million, compared with EUR -20 million in the same period last year.

Outlook

With a robust plan in place to secure an operational performance that maintains the positive sales momentum and effectively manages cost through the second half, Signify confirms its guidance low single digit comparable sales and a free cash flow generation of 7 - 8% of sales, and adds a range to its EBITA margin guidance of 9.6 - 9.9%.

1 Condensed consolidated financial statements

1.1 Condensed consolidated statement of income

In millions of EUR unless otherwise stated

	Note	Second quarter		January to June
		2024	2025	2024	2025
Sales	1, 2	1,483	1,418	2,951	2,866
Cost of sales		(895)	(851)	(1,781)	(1,713)
Gross margin		588	567	1,170	1,153
Selling, general and administrative expenses		(429)	(426)	(876)	(861)
Research and development expenses		(69)	(59)	(139)	(125)
Other business income		9	2	9	3
Other business expenses		(1)	(1)	(2)	(2)
Income from operations		97	83	162	168
Financial income		11	4	26	12
Financial expenses	8	(32)	(21)	(63)	(43)
Results relating to investments in associates		(1)	—	(1)	(1)
Income before taxes		76	66	124	137
Income tax expense	3	(13)	(9)	(17)	(13)
Net income		63	57	107	124
Attribution of net income for the period:
Net income (loss) attributable to shareholders of Signify N.V.		62	55	106	121
Net income (loss) attributable to non-controlling interests		2	2	1	2
Earnings per ordinary share attributable to shareholders
Weighted average number of ordinary shares outstanding used for calculation (in thousands):
Basic		126,244	124,257	126,218	124,223
Diluted		127,825	125,357	127,804	125,569
Net income attributable to shareholders per ordinary share in EUR:
Basic		0.49	0.44	0.84	0.98
Diluted		0.48	0.44	0.83	0.97

1.2 Condensed consolidated statement of comprehensive income

in millions of EUR

		Second quarter		January to June
	2024	2025	2024	2025
Net income (loss)	63	57	107	124
Pensions and other post-employment plans:
Remeasurements	—	6	4	6
Income tax effect on remeasurements	—	(1)	(1)	(1)
Total of items that will not be reclassified to profit or loss	—	5	3	5
Currency translation differences:
Net current period change, before tax	23	(297)	106	(433)
Income tax effect	—	—	—	—
Cash flow hedges:
Net current period change, before tax	1	(10)	3	(17)
Income tax effect	—	3	(1)	4
Total of items that are or may be reclassified to profit or loss	24	(304)	108	(446)
Other comprehensive income (loss)	24	(300)	111	(441)
Total comprehensive income (loss)	87	(243)	218	(317)
Total comprehensive income (loss) attributable to:
Shareholders of Signify N.V.	84	(238)	214	(309)
Non-controlling interests	2	(5)	4	(8)

1.3 Condensed consolidated statement of financial position

In millions of EUR
	Note	December 31, 2024	June 30, 2025
Non-current assets
Property, plant and equipment	1, 4	568	563
Goodwill	1	2,903	2,604
Intangible assets, other than goodwill	1	608	537
Investments in associates		7	6
Financial assets	8	38	28
Deferred tax assets		391	367
Other assets		26	27
Total non-current assets		4,541	4,132
Current assets
Inventories		1,035	997
Financial assets	8	—	3
Other assets		147	155
Derivative financial assets	8	17	12
Income tax receivable		52	62
Trade and other receivables		1,066	936
Cash and cash equivalents	8	633	396
Assets classified as held for sale		13	22
Total current assets		2,964	2,583
Total assets		7,505	6,715
Equity
Shareholders' equity	5	3,162	2,602
Non-controlling interests		105	94
Total equity		3,267	2,696
Non-current liabilities
Debt	6	1,137	1,178
Post-employment benefits		255	227
Provisions	7	192	185
Deferred tax liabilities		17	15
Income tax payable		68	54
Other liabilities		145	155
Total non-current liabilities		1,815	1,815
Current liabilities
Debt, including bank overdrafts	6	416	416
Derivative financial liabilities	8	11	27
Income tax payable		19	16
Trade and other payables		1,588	1,392
Provisions	7	192	163
Other liabilities		196	185
Liabilities from assets classified as held for sale		—	4
Total current liabilities		2,423	2,203
Total liabilities and total equity		7,505	6,715

1.4 Condensed consolidated statement of cash flows

In millions of EUR

	Note	Second quarter			January to June
		2024	2025	2024	2025
Cash flows from operating activities
Net income (loss)		63	57	107	124
Adjustments to reconcile net income (loss) to net cash provided by operating activities:		133	118	274	229
• Depreciation, amortization and impairment of non-financial assets		64	57	132	118
• Result on sale of assets		—	—	—	(1)
• Net interest expense on debt, borrowings and other liabilities		9	11	17	20
• Income tax expense	3	13	9	17	13
• Additions to (releases of) provisions	7	24	28	64	54
• Additions to (releases of) post-employment benefits		6	3	6	8
• Other items		16	11	38	17
Changes in working capital:		(15)	(27)	(14)	(93)
• Changes in trade and other receivables		(24)	(25)	60	58
• Changes in inventories		(7)	(27)	(12)	(45)
• Changes in trade and other payables		33	37	(37)	(76)
• Changes in other current assets and liabilities		(17)	(12)	(26)	(29)
Changes in other non-current assets and liabilities		(3)	(2)	1	10
Utilizations of provisions	7	(56)	(32)	(112)	(66)
Utilizations of post-employment benefits		(8)	(8)	(18)	(15)
Net interest and financing costs received (paid)		(28)	(28)	(31)	(27)
Income taxes paid		(16)	(9)	(34)	(28)
Net cash provided by (used for) operating activities		70	68	173	134
Cash flows from investing activities
Net capital expenditures:		(20)	(32)	(42)	(57)
• Additions of intangible assets		(10)	(15)	(22)	(29)
• Capital expenditures on property, plant and equipment	4	(11)	(19)	(24)	(31)
• Proceeds from disposal of property, plant and equipment		1	2	3	4
Net proceeds from (cash used for) derivatives and other financial assets		(5)	(18)	—	(18)
Purchases of businesses, net of cash acquired		—	—	—	—
Proceeds from disposition of businesses and investments in associate		—	—	—	5
Net cash provided by (used for) investing activities		(25)	(50)	(42)	(71)
Cash flows from financing activities
Dividend paid	5	(166)	(197)	(166)	(198)
Proceeds from issuance of debt	6	—	7	179	19
Repayment of debt	6	(694)	(19)	(713)	(40)
Transactions with minority shareholders		(12)	—	(12)	—
Purchase of treasury shares	5	(14)	(43)	(14)	(65)
Net cash provided by (used for) financing activities		(885)	(252)	(727)	(284)
Net cash flows		(840)	(233)	(596)	(222)
Effect of changes in exchange rates on cash and cash equivalents and bank overdrafts		4	(15)	4	(16)
Cash and cash equivalents and bank overdrafts at the beginning of the period 1		1,402	644	1,158	633
Cash and cash equivalents and bank overdrafts at the end of the period 2		566	395	566	395
Non-cash investing and financing activities: Acquisition of fixed asset by means of leases	4, 6	19	62	28	74

1 For Q2 2025 and Q2 2024, included bank overdrafts of EUR 0 million and EUR 1 million, respectively. For the first half of 2025 and 2024, included bank overdrafts of EUR 1 million and EUR 0 million, respectively.

2 Included bank overdrafts of EUR 0 million and EUR 1 million as at June 30, 2025 and 2024, respectively.

1.5 Condensed consolidated statements of changes in equity

In millions of EUR

				Currency			Total share	Non
	Share capital	Share premium	Retained earnings	translation differences	Cash flow hedges	Treasury shares	holders' equity	controlling interests	Equity
Balance as at January 1, 2024	1	2,120	851	(72)	(1)	(82)	2,817	129	2,947
Net Income	—	—	106	—	—	—	106	1	107
Other comprehensive income (loss)	—	—	3	103	2	—	108	3	111
Total comprehensive income (loss)	—	—	109	103	2	—	214	4	218
Movement in non-controlling interests	—	—	—	—	—	—	—	(12)	(12)
Dividend distributed	—	—	(196)	—	—	—	(196)	—	(196)
Purchase of treasury shares	—	—	—	—	—	(14)	(14)	—	(14)
Delivery of treasury shares	—	(9)	(7)	—	—	16	—	—	—
Share-based compensation plans	—	19	—	—	—	—	19	—	19
Hyperinflation adjustment	—	—	3	—	—	—	3	—	3
Balance as at June 30, 2024	1	2,130	759	31	1	(79)	2,844	121	2,965
Balance as at January 1, 2025	1	2,142	988	104	4	(78)	3,162	105	3,267
Net Income	—	—	121	—	—	—	121	2	124
Other comprehensive income (loss)	—	—	5	(422)	(13)	—	(430)	(10)	(441)
Total comprehensive income (loss)	—	—	126	(422)	(13)	—	(309)	(8)	(317)
Movement in non-controlling interests	—	—	—	—	—	—	—	—	—
Dividend distributed	—	—	(195)	—	—	—	(195)	(2)	(197)
Purchase of treasury shares	—	—	(2)	—	—	(67)	(69)	—	(69)
Delivery of treasury shares	—	(11)	(14)	—	—	25	—	—	—
Share-based compensation plans	—	12	—	—	—	—	12	—	12
Hyperinflation adjustment	—	—	1	—	—	—	1	—	1
Balance as at June 30, 2025	1	2,142	905	(318)	(9)	(120)	2,602	94	2,696

2 Notes to the consolidated interim financial statements

All amounts are in millions of euros unless otherwise stated. Due to rounding, amounts may not add up to totals provided.

2.1 Reporting entity

Signify N.V. is a public company with limited liability incorporated under the laws of the Netherlands and listed on Euronext Amsterdam under the symbol 'LIGHT'.

As used herein, the term Signify is used for Signify N.V. (the 'Company') and its subsidiaries within the meaning of Section 2:24b of the Dutch Civil Code.

The corporate seat of the Company is in Eindhoven, the Netherlands, and its registered office is at High Tech Campus 48, 5656 AE Eindhoven. The Company is registered in the Commercial Register of the Chamber of Commerce under number 65220692.

2.2 Basis of preparation

The condensed consolidated interim financial statements have been prepared in accordance with IAS 34 'Interim Financial Reporting' as adopted by the European Union. An amendment applies to the accounting standards for the first time in 2025, but does not have a material impact on the condensed consolidated interim financial statements of Signify.

The income tax expense is recognized based on management's estimate of the weighted average effective annual income tax rate expected for the full year.

The accounting policies applied in the condensed consolidated interim financial statements are consistent with those applied in the Consolidated financial statements for the year ended December 31, 2024.

Macroeconomic and geopolitical environment

Signify continues to monitor geopolitical developments, including tariffs, and remains confident in its ability to adapt through its diversified sourcing and manufacturing footprint.

Goodwill

During the six-month period ended June 30, 2025, goodwill has decreased by EUR 299 million, mainly due to translation differences of goodwill denominated in USD.

In addition, the Company updated its assessment on goodwill impairment due to the recent

macroeconomic developments and concluded that goodwill was not impaired.

Critical accounting judgments and key sources of estimation uncertainty

The preparation of the condensed consolidated interim financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from the estimates.

Except as disclosed in previous paragraphs, the areas where the most significant judgments and estimates are made, were the same as those disclosed in the Consolidated financial statements for the year ended December 31, 2024.

2.3 Notes

1 Information by segment and main country

The following is an overview of Signify's sales and results by segment.

	Second Quarter					January to June
		Con		Conven		Inter-segment			Con		Conven		Inter-segment
	Professional	sumer	OEM	tional	Other 4	elimination	Signify	Professional	sumer	OEM	tional	Other 4	elimination	Signify
2025
Sales to external customers	931	296	90	81	20		1,418	1,872	607	182	174	31		2,866
Sales including intersegment	931	315	119	82	20	(50)	1,418	1,874	647	241	174	32	(102)	2,866
Depreciation and amortization1	(20)	(6)	(3)	(1)	(13)		(43)	(41)	(11)	(5)	(4)	(27)		(88)
Adjusted EBITA	69	22	8	15	(4)		110	136	56	12	32	(9)		226
Adjusted EBITA as a % of sales	7.4%	7.4%	8.5%	18.6%			7.8%	7.3%	9.2%	6.4%	18.5%			7.9%
Restructuring							(10)							(21)
Acquisition-related charges							1							(1)
Incidental items							(3)							(6)
EBITA 2							97							198
Amortization 3							(14)							(30)
Income from operations							83							168
Financial income and expenses							(17)							(30)
Results from investments in associates							—							(1)
Income before taxes							66							137
2024
Sales to external customers	959	297	106	114	7		1,483	1,902	596	208	234	12		2,951
Sales including intersegment	960	320	132	115	8	(52)	1,483	1,905	636	261	235	12	(98)	2,951
Depreciation and amortization 1	(21)	(5)	(3)	(3)	(15)		(47)	(41)	(11)	(5)	(9)	(32)		(98)
Adjusted EBITA	78	21	12	18	(11)		118	148	52	21	39	(20)		240
Adjusted EBITA as a % of sales	8.1%	7.1%	10.9%	15.7%			7.9%	7.8%	8.8%	9.9%	16.7%			8.1%
Restructuring							(9)							(31)
Acquisition-related charges							(2)							(5)
Incidental items							8							(7)
EBITA 2							115							196
Amortization 3							(18)							(35)
Income from operations							97							162
Financial income and expenses							(21)							(37)
Results from investments in associates							(1)							(1)
Income before taxes							76							124

1 Excluding amortization and impairments of acquisition-related intangible assets and goodwill

2 Income from operations excluding amortization and impairments of acquisition-related intangible assets and goodwill ('EBITA')

3 Amortization and impairments of acquisition-related intangible assets and goodwill

4 Considering the nature of 'Other', Adjusted EBITA as a % of sales for 'Other' is not meaningful The key segmental performance measure is Adjusted EBITA. Adjusted EBITA is not a recognized measure of financial performance under IFRS, and represents income from operations excluding amortization and impairments of acquisition-related intangible assets and goodwill, restructuring costs, acquisition-related charges, and other incidental items.

Incidental items of EUR 6 million for the six-month period ended June 30, 2025 were related to environmental provisions for inactive sites and the discounting effect of long-term provisions (EUR 6 million, mainly in Professional).

Incidental items of EUR 7 million for the six-month period ended June 30, 2024 were related to the one-day FX loss from the devaluation of the Egyptian Pound by the Egyptian government (EUR 10 million, mainly in "Professional"), environmental provisions for inactive sites and the discounting effect of long-term provisions (EUR 6 million, mainly in "Other"), gains from the movements in the indemnification positions with Koninklijke Philips N.V. originating from the separation (EUR 8 million, in "Other") and other items with an effect of EUR 1 million gain.

Sales between the segments mainly relate to the supply of goods. The pricing of such transactions is determined on an 'arm's length basis'.

Sales and tangible and intangible assets are reported based on the country of origin as follows:

	Sales		Tangible and intangible assets 1
	January to June 2024	January to June 2025	December 31, 2024	June 30, 2025
Netherlands	212	191	583	592
United States	1,039	1,047	2,590	2,270
China	184	201	264	233
Germany	160	160	7	7
Other countries	1,356	1,267	635	603
Total countries	2,951	2,866	4,079	3,705

1 Includes goodwill

2 Disaggregated revenue information

Information on sales per segment is disclosed in note 1, Information by segment and main country. For the six-month period ended June 30, 2025, sales consisted primarily (97%) of sales of goods to customers (January to June 2024: 97%)

3 Income taxes

The income tax expense in the six-month period ended June 30, 2025 decreased by EUR 4 million compared to the corresponding period of the previous year mainly due to deductible foreign exchange losses.

The effective tax rate for the six-month period ended June 30, 2025, was 9.8% compared to 14.1% in 2024.

4 Property, plant and equipment

During the six-month period ended June 30, 2025, Property, plant and equipment decreased by EUR 5 million. It includes additions of EUR 103 million (of which right-of-use assets EUR 74 million), depreciation of EUR -65 million (of which right-ofuse assets EUR -31 million), translation differences of EUR -34 million (of which right-of-use assets EUR -10 million) and other movements of EUR -9 million. The additions in right-of-use assets relate mostly to new real estate lease contracts, mainly in the Netherlands, Australia and the United States.

5 Equity

Dividend distribution

In May 2025, the Company settled a dividend of EUR 1.56 per ordinary share, representing a total value of EUR 195 million including costs.

Share repurchases

In January 2025, the company announced the intention to repurchase shares for an amount of up to EUR 150 million in 2025.

As part of this program, the Company purchased shares to cover share-based remuneration obligations of 1,439,530 for a total consideration of EUR 29 million.

The other purchases during the six-month period ended June 30, 2025, which are expected to be cancelled, amounted to 1,878,564 for a total consideration of EUR 38 million.

Treasury shares

As at June 30, 2025, the total number of treasury shares amounted to 4,917,775, which were purchased at an average price of EUR 24.46 per share.

6 Debt

	December 31, 2024	June 30, 2025
Term loan (EUR)	724	724
Eurobonds	597	598
Lease liabilities	207	237
Other debt	23	34
Subtotal	1,553	1,594
Bank overdrafts	1	—
Gross debt	1,553	1,594
Cash and cash equivalents	(633)	(396)
Net debt (cash)	920	1,198
Total equity	3,267	2,696
Net debt and total equity	4,187	3,895
Net debt divided by net debt and total equity (in %)	22 %	31 %
Total equity divided by net debt and total equity (in %)	78 %	69 %

There were no material changes in Signify's gross debt structure except for lease liabilities.

During the six-month period ended June 30, 2025, Signify entered into new lease contracts amounting to EUR 74 million, mainly related to real estate in the Netherlands, Australia and the United States.

7 Provisions

During the six-month period ended June 30, 2025, there was no significant change compared to our assessment of legal provisions as disclosed in the Consolidated financial statements for the year ended December 31, 2024.

Additions to restructuring provisions during the sixmonth period ended June 30, 2025 included restructuring programs in Professional.

For more information, refer to note 24, Provisions in the Consolidated financial statements for the year ended December 31, 2024.

Provisions are summarized as follows:

			Product
	Restructuring	Environmental	warranty	Legal	Other	Total
Balance as at January 1, 2025	46	100	91	55	93	384
Additions	21	7	22	1	8	59
Utilizations	(27)	(7)	(25)	—	(9)	(68)
Releases	(2)	—	(2)	—	(3)	(7)
Accretion	—	—	—	1	—	2
Translation differences and other movements	(1)	(5)	(7)	(6)	(4)	(23)
Balance as at June 30, 2025	36	96	79	50	86	348
From which current	33	25	41	44	19	163
From which non-current	3	72	38	6	67	185

8 Financial assets and liabilities

Financial risk management

The company assessed global macroeconomic developments and concluded that no material changes to the existing financial risk management objectives were necessary. These objectives are consistent with those disclosed in the Consolidated financial statements for the year ended December 31, 2024.

Fair value hierarchy

The valuation techniques and inputs used to develop measurements for financial assets and liabilities are consistent with those disclosed in the Consolidated financial statements for the year ended December 31, 2024.

During the six-month period ended June 30, 2025, Signify recognized a loss of EUR 4 million in Financial income and expenses related to Signify's participation in Virtual Power Purchase Agreements, which are included in Derivative financial assets not designated as hedging instruments. This non-cash loss results from a fair value remeasurement as calculated per balance sheet date.

	Carried at	Gross amount recognized on the balance sheet	Amounts not offset on the balance sheet, but subject to master netting arrangements	Net amount	Fair value hierarchy level	Estimated fair value
Balance as at June 30, 2025
Non-current financial assets 1	amortized cost	17	—	17		17
Unquoted equity shares	fair value (FVOCI)	5	—	5	3	5
Trade and other receivables1, 2
	amortized cost	936	—	936		936
Derivative financial assets designated as hedging instruments	fair value (FVTPL)	12	(9)	3	2	12
Current derivative financial assets not designated as hedging instruments	fair value (FVTPL)	3		3	1	3
Non-current derivative financial assets not designated as hedging instruments	fair value (FVTPL)	6	—	6	3	10
Cash and cash equivalents		396	—	396		396
Debt (Eurobonds)	amortized cost	(598)	—	(598)	1	597
Debt (excluding Eurobonds)1	amortized cost	(996)	—	(996)	2	(996)
Derivative financial liabilities designated as hedging instruments	fair value (FVTPL)	(27)	9	(18)	2	(27)
Trade and other payables1	amortized cost	(1,390)	—	(1,390)		(1,390)
Contingent considerations	fair value (FVTPL)	(2)	—	(2)	3	(2)
Balance as at December 31, 2024
Non-current financial assets 1	amortized cost	23	—	23		23
Unquoted equity shares	fair value (FVOCI)	5	—	5	3	5
Trade and other receivables 1, 2	amortized cost	1,066	—	1,066		1,066
Derivative financial assets designated as hedging instruments	fair value (FVTPL)	17	(8)	9	2	17
Current derivative financial assets not designated as hedging instruments	fair value (FVTPL)	—	—	—	1	—
Non-current derivative financial assets not designated as hedging instruments	fair value (FVTPL)	10	—	10	3	14
Cash and cash equivalents		633	—	633		633
Debt (Eurobonds)	amortized cost	(597)	—	(597)	1	(591)
Debt (excluding Eurobonds)1	amortized cost	(956)	—	(956)	2	(956)
Derivative financial liabilities designated as hedging instruments	fair value (FVTPL)	(11)	8	(3)	2	(11)
Trade and other payables1	amortized cost	(1,586)	—	(1,586)		(1,586)
Contingent considerations	fair value (FVTPL)	(2)	—	(2)	3	(2)

1 In view of the nature, maturity or the magnitude of the amounts, Signify considers that the fair value of non-current financial assets, trade and other receivables, debt (excluding Eurobonds), trade and other payables are not materially different from their carrying value.

2 Includes the insurance cover asset for which a legal provision is recognized for the same amount.

9 Events after the balance sheet date

In July 2025, Signify entered into EUR 325 million of bilateral long–term financing facility agreements, maturing in three years from the drawdown date. They bear interest at a variable rate based on the relevant applicable EURIBOR plus a fixed margin of 1.00%. As of July 25, 2025, all amounts were undrawn.

Appendix B - Reconciliation of non-IFRS financial measures

Sales growth composition per business in %

	Second quarter
	Comparable growth	Currency effects	Consolidation effects	Nominal growth
2025 vs 2024
Professional	0.2	(3.1)	0.0	(2.9)
Consumer	2.6	(3.1)	0.0	(0.5)
OEM	(11.6)	(2.9)	0.0	(14.5)
Conventional	(26.8)	(2.1)	0.0	(28.9)
Signify	(1.4)	(3.0)	0.0	(4.4)

	Second quarter
	Comparable growth	Currency effects	Consolidation effects	Nominal growth
2024 vs 2023
Professional	(8.3)	(1.1)	0.0	(9.5)
Consumer	(2.4)	(2.3)	0.0	(4.7)
OEM	0.1	(2.7)	0.0	(2.5)
Conventional	(27.6)	(0.7)	0.0	(28.3)
Signify	(8.4)	(1.4)	0.0	(9.8)

	January to June
	Comparable growth	Currency effects	Consolidation effects	Nominal growth
2025 vs 2024
Professional	(0.8)	(0.7)	0.0	(1.5)
Consumer	2.8	(1.0)	0.0	1.9
OEM	(11.1)	(1.3)	0.0	(12.4)
Conventional	(25.4)	(0.4)	0.0	(25.8)
Signify	(2.1)	(0.8)	0.0	(2.9)

	January to June
	Comparable growth	Currency effects	Consolidation effects	Nominal growth
2024 vs 2023
Professional	(8.0)	(1.8)	0.1	(9.6)
Consumer	(4.1)	(2.7)	0.0	(6.8)
OEM	(3.7)	(2.9)	0.0	(6.6)
Conventional	(31.0)	(1.2)	0.0	(32.3)
Signify	(9.2)	(2.0)	0.1	(11.2)

Adjusted EBITA to Income from operations (or EBIT) in millions of EUR

	Signify	Professional	Consumer	OEM	Conventional	Other
Second quarter 2025
Adjusted EBITA	110	69	22	8	15	(4)
Restructuring	(10)
Acquisition-related charges	1
Incidental items	(3)
EBITA	97
Amortization 1	(14)
Income from operations (or EBIT) 2	83
Second quarter 2024
Adjusted EBITA	118	78	21	12	18	(11)
Restructuring	(9)
Acquisition-related charges	(2)
Incidental items	8
EBITA	115
Amortization 1	(18)
Income from operations (or EBIT) 2	97

1 Amortization and impairments of acquisition-related intangible assets and goodwill.

2 For a reconciliation to income before taxes, refer to note 1, Information by segment and main country.

	Signify	Professional	Consumer	OEM	Conventional	Other
January to June 2025
Adjusted EBITA	226	136	56	12	32	(9)
Restructuring	(21)
Acquisition-related charges	(1)
Incidental items	(6)
EBITA	198
Amortization 1	(30)
Income from operations (or EBIT) 2	168
January to June 2024
Adjusted EBITA	240	148	52	21	39	(20)
Restructuring	(31)
Acquisition-related charges	(5)
Incidental items	(7)
EBITA	196
Amortization 1	(35)
Income from operations (or EBIT) 2	162

1 Amortization and impairments of acquisition-related intangible assets and goodwill.

2 For a reconciliation to income before taxes, refer to note 1, Information by segment and main country.

Amounts may not add up due to rounding.

Second quarter Income from operations to Adjusted EBITA in millions of EUR

			Acquisition
	Reported	Restructuring 2	related charges	Incidental items 1	Adjusted
Second quarter 2025
Sales	1,418	—	—	—	1,418
Cost of sales	(851)	5	—	—	(845)
Gross margin	567	5	—	—	572
Selling, general and administrative expenses	(426)	4	—	3	(419)
Research and development expenses	(59)	1	—	—	(58)
Indirect costs	(485)	5	—	3	(477)
Impairment of goodwill	—	—	—	—	—
Other business income	2	—	(1)		1
Other business expenses	(1)	—	—	—	(1)
Income from operations	83	10	(1)	3	96
Amortization	(14)	—	—	—	(14)
Income from operations excluding amortization (EBITA)	97	10	(1)	3	110
Second quarter 2024
Sales	1,483	—	—	—	1,483
Cost of sales	(895)	10	1	—	(885)
Gross margin	588	10	1	—	598
Selling, general and administrative expenses	(429)	(1)	1	1	(428)
Research and development expenses	(69)	(1)	—	—	(69)
Indirect costs	(498)	(1)	1	1	(497)
Impairment of goodwill	—	—	—	—	—
Other business income	9	—	—	(8)	—
Other business expenses	(1)	—	—	—	(1)
Income from operations	97	9	2	(8)	100
Amortization	(18)	—	—	—	(18)
Income from operations excluding amortization (EBITA)	115	9	2	(8)	118

¹ Q2 2025: Incidental items are mainly related to environmental provision for inactive sites and the discounting effect of long-term provisions (EUR 3 million, mainly in Professional). Q2 2024: Incidental items are mainly related to gains from the movements in the indemnification positions with Koninklijke Philips N.V. originating from the separation (EUR 8 million, in "Other") and other items with an effect of EUR 1 million loss.

² Q2 2025: Restructuring costs consisted of EUR 10 million of employee termination benefits (mainly in Professional).

Q2 2024: Restructuring costs consisted of EUR 7 million of employee termination benefits (mainly in Professional and Conventional) and EUR 2 million of other costs related to the restructuring programs.

Amounts may not add up due to rounding.

January to June Income from operations to Adjusted EBITA in millions of EUR

			Acquisition
	Reported	Restructuring 2	related charges	Incidental items 1	Adjusted
January to June 2025
Sales	2,866	—	—	—	2,866
Cost of sales	(1,713)	10	—	—	(1,703)
Gross margin	1,153	10	—	—	1,164
Selling, general and administrative expenses	(861)	9	1	6	(846)
Research and development expenses	(125)	3	—	—	(122)
Indirect costs	(986)	12	1	6	(968)
Impairment of goodwill	—	—	—	—	—
Other business income	3	—	(1)		2
Other business expenses	(2)	—	1	—	(1)
Income from operations	168	21	1	6	197
Amortization	(30)	—	—	—	(30)
Income from operations excluding amortization (EBITA)	198	21	1	6	226
January to June 2024
Sales	2,951	—	—	—	2,951
Cost of sales	(1,781)	22	1	10	(1,747)
Gross margin	1,170	22	1	10	1,204
Selling, general and administrative expenses	(876)	9	3	5	(859)
Research and development expenses	(139)	—	—	—	(139)
Indirect costs	(1,016)	9	4	5	(998)
Impairment of goodwill	—	—	—	—	—
Other business income	9	—	—	(8)	1
Other business expenses	(2)	—	—	—	(1)
Income from operations	162	31	5	7	205
Amortization	(35)	—	—	—	(35)
Income from operations excluding amortization (EBITA)	196	31	5	7	240

1 H1 2025: Incidental items are mainly related to environmental provision for inactive sites and the discounting effect of long-term provisions (EUR 6 million, mainly in Professional). H1 2024: Incidental items are mainly related to the one-day FX loss from the devaluation of the Egyptian Pound by the Egyptian government (EUR 10 million, mainly in "Professional"),

environmental provisions for inactive sites and the discounting effect of long-term provisions (EUR 6 million, mainly in "Other"), gains from the movements in the indemnification positions with Koninklijke Philips N.V. originating from the separation (EUR 8 million, in "Other") and other items with an effect of EUR 1 million gain. 2

H1 2025: Restructuring costs consisted of EUR 19 million of employee termination benefits (mainly in Professional) and EUR 3 million of other costs related to the restructuring programs. H1 2024: Restructuring costs consisted of EUR 22 million of employee termination benefits (mainly in Professional) and EUR 9 million of other costs related to the restructuring programs.

Amounts may not add up due to rounding.

Composition of cash flows in millions of EUR

	Second quarter		January to June
	2024	2025	2024	2025
Cash flows from operating activities	70	68	173	134
Cash flows from investing activities	(25)	(50)	(42)	(71)
Cash flows before financing activities	46	19	131	63
Cash flows from operating activities	70	68	173	134
Net capital expenditures:	(20)	(32)	(42)	(57)
• Additions of intangible assets	(10)	(15)	(22)	(29)
• Capital expenditures on property, plant and equipment	(11)	(19)	(24)	(31)
• Proceeds from disposal of property, plant and equipment	1	2	3	4
Free cash flows	51	36	131	77

Working capital to total assets in millions of EUR

	June 30, 2024	March 31, 2025	June 30, 2025
Working capital	502	442	455
Eliminate liabilities comprised in working capital:
• Trade and other payables	1,500	1,448	1,392
• Derivative financial liabilities	5	14	27
• Other current liabilities 1	203	190	182
Include assets not comprised in working capital:
• Non-current assets	4,531	4,377	4,132
• Income tax receivable	69	61	62
• Current financial assets	—	3	3
• Cash and cash equivalents	567	644	396
• Assets classified as held for sale	—	21	22
• Trade and other receivables 2	46	47	44
Total assets	7,424	7,246	6,715

1 As at June 30, 2024 and June 30, 2025, Other current liabilities exclude EUR 25 million of dividend-related payable and EUR 4 million of share repurchases related payable, respectively.

2 Trade and other receivables amounting to USD 49 million, USD 51 million, and USD 52 million of insurance receivables for which a legal provision is recognized for the same amount as at June 30, 2024, March 31, 2025 and June 30, 2025, respectively.

Composition of net debt to total equity in millions of EUR

	June 30, 2024	March 31, 2025	June 30, 2025
Short-term debt	574	420	416
Long-term debt	1,158	1,134	1,178
Gross debt	1,732	1,554	1,594
Cash and cash equivalents	(567)	(644)	(396)
Net debt	1,165	910	1,198
Shareholders' equity	2,844	3,072	2,602
Non-controlling interests	121	100	94
Total equity	2,965	3,172	2,696
Net debt and total equity	4,131	4,082	3,895
Net debt divided by net debt and total equity (in %)	28 %	22 %	31 %
Total equity divided by net debt and total equity (in %)	72 %	78 %	69 %

Other key performance indicators in %

	January to June 2025
Circular revenues, as a % of total sales	37 %
Brighter lives revenues as a % of total sales	33 %

Appendix C – Financial glossary

Acquisition-related charges

Costs that are directly triggered by the acquisition of a company, such as transaction costs, purchase accounting related costs and integration-related expenses.

Adjusted EBITA

EBITA excluding restructuring costs, acquisitionrelated charges, and other incidental items.

Adjusted EBITA margin

Adjusted EBITA divided by sales to third parties (excluding intersegment). "Operational profitability" also refers to this metric.

Adjusted gross margin

Gross margin, excluding restructuring costs, acquisition-related charges, and other incidental items attributable to cost of sales.

Adjusted indirect costs

Indirect costs, excluding restructuring costs, acquisition-related charges, and other incidental items attributable to indirect costs.

Adjusted R&D expenses

Research and development expenses, excluding restructuring costs, acquisition-related charges, and other incidental items attributable to research and development expenses.

Adjusted SG&A expenses

Selling, general and administrative expenses, excluding restructuring costs, acquisition-related charges, and other incidental items attributable to selling, general and administrative expenses.

Brighter lives revenues

Percentage of total revenues coming from all products, systems and services contributing to Food availability, Safety & security, or Health & well-being.

Circular revenues

Revenues measured as a percentage of total revenues coming from products, systems and services designed to preserve value and avoid waste categorized as Serviceable luminaires (incl. 3D printing), Circular components, Intelligent systems or Circular services.

Comparable sales growth (CSG)

The period-on-period growth in sales excluding the effects of currency movements and changes in consolidation.

Consolidation effects

In the event a business is acquired (or divested), the impact of the consolidation (or deconsolidation) on the Group's figures is included (or excluded) in the calculation of the comparable sales growth figures.

Currency effects

Calculated by translating the foreign currency financials of the previous period and the current period into euros at the same average exchange rates.

EBIT

Income from operations.

EBITA

Income from operations excluding amortization and impairment of acquisition-related intangible assets and goodwill.

EBITDA

Income from operations excluding depreciation, amortization, and impairment of non-financial assets.

Employees

Employees of Signify at the end of the period, expressed on a full-time equivalent (FTE) basis.

Free cash flow

Net cash provided by operating activities minus net capital expenditures. Free cash flow includes interest paid and income taxes paid.

Gross margin

Sales minus cost of sales.

Incidental items

Any item with an income statement impact (loss or gain) that is deemed to be both significant and not part of normal business activity. Other incidental items may extend over several quarters within the same financial year.

Indirect costs

The sum of selling, general and administrative expenses and R&D expenses.

Net capital expenditures

Additions of intangible assets, capital expenditures on property, plant and equipment and proceeds from disposal of property, plant and equipment.

Net debt

Short-term debt, long-term debt minus cash and cash equivalents.

Net leverage ratio

The ratio of consolidated reported net debt to consolidated reported EBITDA for the purpose of calculating the financial covenant.

R&D expenses

Research and development expenses.

Restructuring costs

The estimated costs of initiated reorganizations which have been approved by the company, and generally involve the realignment of certain parts of the organization. Restructuring costs include costs for employee termination benefits for affected employees and other costs directly attributable to the restructuring, such as impairment of assets and inventories.

SG&A expenses

Selling, general and administrative expenses.

Working capital

The sum of inventories, trade and other receivables (excluding insurance receivables for which a legal provision is recognized for the same amount), other current assets, derivative financial assets minus the sum of trade and other payables, derivative financial liabilities and other current liabilities (excluding dividend and share repurchases related payables).