2022 annual results

Committed to improving people's health and well-being

2022 was a very disappointing year for Philips and its stakeholders, and we are taking firm action to strengthen patient safety and quality, improve our execution and step up performance with urgency in 2023.
Roy Jakobs
CEO Royal Philips
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Roy Jakobs – CEO Royal Philips

Philips 2022 results

The year at a glance

17.8
billion
EUR
sales
1.81
billion
lives improved
~100
new strategic customer partnerships
77%
employee engagement score
18%
circular revenues
~90%
production complete for Respironics recall
Our strategy and businesses
As a focused leader in health technology, we aim to create value with sustainable impact based on focused organic growth and scalable innovation, with improved execution as key value driver.
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Ultrasound
Purpose
Environmental, Social and Governance
At Philips, we are partnering with our stakeholders to drive environmental, social and governance priorities and make a global impact.
Download our ESG performanceCountry Activity & Tax Report

Progress towards our goals

Lives improved

At Philips, we are striving to make the world healthier and more sustainable through innovation, with the goal of improving the lives of 2.5 billion people a year by 2030. This includes improving access to care in underserved communities for 400 million people a year.

To ensure we remain on track to achieve this goal, we have developed a model, audited externally, that tells us how many lives have been improved by our products and solutions in a given year.

Download our methodology

1.67billion
1.81
2.5
Lives improved
167million
202
400
Lives improved in underserved healthcare communities
2E226E4A-9D34-428E-9603-8F2147474F3A
71%100%100% sales from green products and solutions 1
72%
7C04B12B-8CA6-4A93-B8DE-DECFF9EDAB7D
16%25%25% sales from circular products and solutions
18%
B58BD847-4D65-4A26-B2B8-387BFF8C1715
100%75% operations powered by renewable energy
77%
E2C0C3A3-A18F-4561-B6FB-CF881CE7508A
87%95%95% circular materials management 2
91%
124104F3-3131-41A9-B350-DCA9E31AE498
100%100% industrial sites sending zero waste to landfill
100%
15158A4B-4536-4366-A76C-8D8AB0A0B760
1%5%5% reduction in water consumption from 2019 level
5%
All data points refer to 2022
1  We will design 100% of our products and services in line with EcoDesign requirements by 20252  Recycling, reuse and circular materials management of the total used materials
Environmental sustainability targets

Reflecting our commitment to SDG 12 (Sustainable consumption and production) and SDG 13 (Climate action), we have set specific targets – to be achieved by 2025 – to reduce our environmental impact and help fight climate change. Here you can see how we’re progressing towards these goals.

Discover more

Charts and historical results

Statement of income
Profitability
Balance sheet
Cash flow
Key figures per share
Ratios
ESG

[maintitle]

in millions of EUR

2020

2021

2022

Net cash provided by operating activities

2,511
1,629
(173)

Net capital expenditures

(876)
(729)
(788)

Free cash flow

1,635
900
(961)

Organic Return on Invested Capital (in %)

 

2020

2021

2022

Philips Group14.0%14.7%6.3%

Return on Total Assets (in %)

 

2020

2021

2022

Philips Group4.6%1.8%(4.98)%

R&D Investment as a % of sales

 

2020

2021

2022

Philips Group10.5%10.5%11.8%

Net debt : group equity ratio

 

2020

2021

2022

Philips Group24:7624:7635:65

Comparable sales growth (in %)

 

2020

2021

2022

Diagnosis & Treatment(2.3)%8.1%(0.7)%
Connected Care21.6%(22.6)%(10.8)%
Personal Health(6.2)%8.8%0.1%
Philips Group2.9%(1.2)%(2.8)%

Total tax contributions

in millions of EUR

2020

2021

2022

Total tax contributions3,3814,0903,469

Composition of tax contributions

in millions of EUR

2020

2021

2022

Corporate income tax paid466818362
Customs duties156169144
Value Added Tax794821664
Payroll taxes1,8622,1332,174
Other taxes102149124

Market capitalization at year-end (in EUR billions)

in millions of EUR

2020

2021

2022

Philips Group39,627

28,512

12,344

Sales

in millions of EUR

2020

2021

2022

Diagnosis & Treatment8,1758,6359,168
Connected Care5,5434,5734,403
Personal Health3,1993,4293,626
Other396519629
Philips Group17,31317,15617,827

Income from operations

in millions of EUR

2020

2021

2022

Diagnosis & Treatment497941404
Connected Care704(722)(2,246)
Personal Health362576515
Other(300)(242)(202)
Philips Group1,264553(1,529)

Adjusted EBITA

in millions of EUR

2020

2021

2022

Diagnosis & Treatment8181,071774
Connected Care1,19149795
Personal Health433590538
Other(165)(105)(89)
Philips Group2,2772,0541,318

Income (loss) from continuing operations

in millions of EUR

2020

2021

2022

Philips Group999612(1,618)

Net income (loss)

in millions of EUR

2020

2021

2022

Philips Group1,1953,323(1,605)

Income from operations as a % of sales

as a of sales

2020

2021

2022

Diagnosis & Treatment6.1%10.9%4.4%
Connected Care12.7%(15.8)%(51.01)%
Personal Health11.3%16.8%14.2%
Philips Group7.3%3.2%(8.6)%

Adjusted EBITA as a % of sales

as a of sales

2020

2021

2022

Diagnosis & Treatment10.01%12.4%8.4%
Connected Care21.5%10.9%2.2%
Personal Health13.5%17.2%14.8%
Philips Group13.2%12.0%7.4%

[maintitle]

in millions of EUR

2020

2021

2022

Total assets

27,71330,96130,688

Total liabilities

15,81216,48617,405

Group equity

11,90114,47513,283

Per share information (in EUR)

in EUR

2020

2021

2022

Income from continuing operations attributable to shareholders per common share - diluted

1.080.67(1.84)

Adjusted income from continuing operations attributable to shareholders per common share - diluted

1.741.650.96

Dividend distributed per common share

0.850.850.85

Share price information (in EUR)

in EUR

2020

2021

2022

Share price at year-end

43.78
32.77
14.00

Price/earnings ratio (basic EPS)

40.17
48.90
0.00

Total employees at year-end

 

2020

2021

2022

Diagnosis & Treatment32,19332,39032,904
Connected Care15,86617,75116,673
Personal Health10,25310,1349,319
Other16,68917,91318,337

Philips Group

75,00178,18977,233

Engagement index (in % of positive score)

% positive score

2020

2021

2022

Philips Group

79

79

77

Female executives (in % of total)

in % of total

2020

2021

2022

Philips Group

24

25

24

Lost Workday Injuries (per 100 FTEs)

per 100 FTEs

2020

2021

2022

Diagnosis & Treatment0.270.280.21
Connected Care0.110.090.09
Personal Health0.220.160.09
Other0.060.120.08
Philips Group0.120.160.11

Total recordable cases (per 100 FTEs)

per 100 FTEs

2020

2021

2022

Diagnosis & Treatment0.450.530.41
Connected Care0.310.310.19
Personal Health0.300.240.27
Other0.160.210.17
Philips Group0.240.290.23

Fatalities

 

2020

2021

2022

Philips Group

1

0

0

Green Revenues (in millions of EUR)

in millions of EUR

2020

2021

2022

Diagnosis & Treatment

6,373

6,702

7,245

Connected Care

3,586

2,547

2,252

Personal Health

2,706

2,846

3,278

Philips Group

12,665

12,095

12,775

Green Revenues (as a % of total sales)

as a % of total sales

2020

2021

2022

Diagnosis & Treatment

78.0

77.6

79.0

Connected Care

64.7

55.7

51.1

Personal Health

84.6

83.0

90.4

Philips Group

73.2

70.5

71.7

Green Innovation (in millions of EUR)

in millions of EUR

2020

2021

2022

Diagnosis & Treatment

122

96

93

Connected Care

51

32

31

Personal Health

80

65

40

Other

2

4

4

Philips Group

255

197

168

Operational Carbon Footprint (in kilotonnes CO2-equivalent)

in kilotonnes CO2-equivalent

2020

2021

2022

Logistics

415

417

327

Business travel

70

72

86

Non-industrial operations

15

14

11

Manufacturing

18

16

14

Operational carbon footprint by Greenhouse Gas Protocol scopes (in kilotonnes CO2-equivalent)

in kilotonnes CO2-equivalent202020212022
Scope 1302723
Scope 2 (market based)332
Scope 2 (location based)173177167
Scope 3485489413
Total (scope 1, 2 (market based), and 3)518519438
Emissions compensated by carbon offset projects518519438
Net operational carbon emissions in kilotonnes000

Operational energy efficiency (in gigawatt hours per millions of EUR sales)

in terajoules per million EUR sales202020212022
Philips Group0.0300.0310.028

Total energy consumption in manufacturing (in gigawatt hours)

in terajoules

2020

2021

2022

Diagnosis & Treatment

161.1

175.3

169.9

Connected Care

63.6

44.7

41.5

Personal Health

114.4

130.8

126.7

Philips Group

339.2

350.8

338.1

Water withdrawal (in thousands of m3)

in thousands of m3

2020

2021

2022

Diagnosis & Treatment

286

337

310

Connected Care

116

119

111

Personal Health

221

247

257

Philips Group

623

703

678

Zero waste to landfill (in tonnes)

in tonnes

2020

2021

2022

Philips Group

480

19

1

Materials repurposed (Circular Materials Management) per total waste (in %)

in %

2020

2021

2022

Philips Group

90

87

91

Hazardous substances emissions (in kilos)

 in kilos

2020

2021

2022

Diagnosis & Treatment

92

181

175

Connected Care

20

1,239

863

Personal Health

455

1,242

510

Philips Group

567

2,662

1,548

VOC emissions (in tonnes)

in tonnes

2020

2021

2022

Diagnosis & Treatment

44

42

38

Connected Care

3

3

2

Personal Health

32

33

37

Philips Group

79

78

77

ISO 14001 certification (as a % of all reporting organizations)

as a % of all reporting organizations

2020

2021

2022

Philips Group

81

92

96

Creating value with sustainable impact
Based on the International Integrated Reporting Council framework, we use various resources to create value with sustainable impact for our stakeholders.
Download the overview
Creating value with sustainable impact

All holders of Philips securities can receive a hard copy of the complete annual audited financial statements free of charge by submitting a request to annual.report@philips.com