Philips on track to become carbon-neutral in its own operations this year

“Sustainability is a cornerstone of the way we do business because we believe it benefits our customers and society, and because it drives sustainable long-term economic growth,” said Frans van Houten, CEO of Royal Philips. “I am proud of our strong track record of delivering affordable outcome-focused health technology solutions that will help to achieve universal health coverage, while making sure we do it in a sustainable way that minimizes natural resource consumption and our carbon footprint.” 

To achieve its vision of making the world healthier and more sustainable through innovation with the goal of improving the lives of 3 billion people a year by 2030, Philips aims to address pressing societal issues with a focus on United Nations Sustainable Development Goals 3, 12 and 13 – three key SDGs aimed at improving access to affordable care, the transition to a circular economy, and action on climate change. Philips’ ‘Healthy people, Sustainable planet’ program is the vehicle that enables the company to deliver on these commitments.

Philips’ 2019 highlights include: 

• In 2019, Philips’ products and solutions improved the lives of 1.64 billion people, compared to 1.54 billion in 2018. This included 194 million people in underserved communities, compared to 175 million in 2018. 
• For the seventh year running, Philips was placed on the CDP Climate Change A List, recognizing the company’s actions to reduce emissions, mitigate climate risks and develop the low-carbon economy. In 2019, the company was also placed on the Water Security A List for its sustainable management of water resources. This makes it the first time that Philips scored double ‘A’ for both climate change and water security.
• Green Revenues [1] increased to EUR 13.1 billion in 2019, amounting to 67% of sales compared to 64% in 2018. Revenues from Circular Products & Services increased to 13% in 2019 compared to 12% in 2018. Philips is committed to grow its Green Revenues to 70% of sales, and to have 15% of its revenues generated through circular economy-driven propositions [2] by the end of 2020.
• Philips was once again recognized as one of the top companies for sustainability performance in the global 2019 Dow Jones Sustainability Indices (DJSI) list. Philips scored 82 out of a possible 100 points in the DJSI Health Care Equipment & Services industry group, further improving on its 2018 score to achieve the #2 ranking in 2019. 
• Philips issued its first Green Innovation Bond under the Philips Green & Sustainability Innovation Bond Framework developed together with Rabobank. The proceeds of this bond will be used as an alternative means to finance our expenditures on green innovation, the transition to the circular economy, and becoming carbon-neutral.
• Philips invested approximately EUR 235 million in Green Innovation [3] in 2019.
• Philips signed a partnership agreement with the Republic of the Congo and the United Nations Population Fund to reduce maternal and newborn mortality in the Congo. The partners will work together to develop a large-scale Emergency Obstetric and Newborn Care program that will reach more than 500,000 women and 70,000 newborns.
• Philips has teamed up with non-profit organization PURE (Point-of-care Ultrasound in Resource-limited Environments) to deliver a pioneering tele-ultrasound program linking specialists around the globe with physicians in Rwanda.