Futu News reported on July 22 that Philips' sales surged 4.57% to 45.5 US dollars before the market due to sales exceeding market expectations.

Philips announced results for the second quarter of this year. Sales increased 8.9% year-on-year to 4.671 billion euros, higher than market expectations of 4.59 billion euros; comparable sales for the next quarter increased 6% year-on-year, higher than the 4.5% increase expected by the market. Net profit from continuing operations was 260 million euros, an increase of 39.8% year-on-year; adjusted profit before tax, interest and amortization (EBITA) recorded 549 million euros, up 13.9% year-on-year, higher than market expectations of 542 million euros; and the EBITA profit margin of 11.8% was in line with market expectations.

Philips said the increase was driven by a double-digit increase in sales in mainland China, indicating that the mainland government increased healthcare spending, expanded hospitals, and invested in more advanced technology. Its chief executive, Frans van Houten, told “Reuters” that China's healthcare is still not sufficient to meet the needs of an aging population. He added that the mainland government is expanding the burden on the healthcare system, which is happening now. For companies, this trend is more important than fluctuations in GDP growth, and it is expected that the trend will continue for years to come.

The company reiterated its target of 4% to 6% annual comparable sales growth from 2017 to 2020.