labels: Stock markets - world
Philips trumps analysts loss estimates, posts quarterly profit news
14 July 2009

Royal Philips Electronics NV, Europe's largest maker of consumer electronics has reported a quarterly profit belying analysts' predictions of a loss and said that second-half sales may be higher than the first six months.

The Amsterdam-based company in a statement today said that net income in the quarter fell to 44 million or 5 cents a share from 732 million or 72 cents a year earlier. Analysts had forecast a loss of 122.5 million euros.

According to analysts the positive surprise was in the costs, but it is company specific and cannot be translated to other companies.

One-time gains related to insurance recoveries and legal settlement accounted for 90 million net income while earnings before interest, taxes and amortization slid to 112 million euros down from 296 million in the year-earlier period.

The company' shares rose around 6 per cent trading 4.9 per cent higher at 13.59 giving the company a market value of 12.6 billion.

Sales were down 19 per cent to 5.23 billion missing the estimated median mark of 5.32 billion.

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Philips trumps analysts loss estimates, posts quarterly profit