Amsterdam, the Netherlands – Royal Philips (NYSE: PHG, AEX: PHIA), a global leader in health technology, today announced that it will review options for future ownership of its Domestic Appliances business. Philips will start the process of creating a separate legal structure for this business within the Philips Group, which is expected to be completed in 12 to 18 months. The Domestic Appliances business is a global leader with EUR 2.3 billion sales in 2019 in kitchen appliances, coffee, garment care and home care appliances with successful products such as the Airfryer XXL, Automatic Coffee Machine with LatteGo, Perfect Care Elite steam generator, Air Purifier and SpeedPro Max Aqua vacuum cleaner.
“We have significantly improved the performance of the Domestic Appliances business over the years, which has made a very important contribution to Philips, however this business is not a strategic fit for our future as a health technology leader,” said Frans van Houten, CEO of Royal Philips. “We are committed to finding a good home for this business to continue to thrive and grow over time, as we expand and invest in our consumer health and professional healthcare related businesses.”
“We are also committed to a seamless transition of the Domestic Appliances business with continuity for our employees, partners and customers,” added Frans van Houten. “At the same time, we will continue to innovate and invest in our Personal Health businesses in areas such as oral care, mother & child care and personal care, to empower people to take control of their own health and well-being needs.”
Philips is a leading provider of integrated solutions to improve people's health and optimize care provider productivity across the health continuum from healthy living and prevention, to diagnosis, treatment and home care. Following the disentanglement of the Domestic Appliances business, Philips’ EUR 3.5 billion Personal Health businesses will continue to play an important role in the company’s integrated health continuum approach through connected products and solutions to support the health and well-being of people.