Koninklijke Philips N.V. (PHG) Q2 2022 Earnings Call Transcript

For the period ending June 30, 2022

July 25, 2022 4:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Leandro Mazzoni

Hi, everyone. Welcome to Philips Second Quarter 2022 Results Webcast. I'm here with our CEO, Frans van Houten; and our CFO, Abhijit Bhattacharya. Frans and Abhijit will take you through the second quarter results and our performance roadmap for the full year and through 2025. We're also joined today by Roy Jakobs, Chief Business Leader, Connected Care; and Francis Kim, Chief Quality and Regulatory Officer, as they will provide an update on Respironics recall and quality, respectively. After the presentation, there will be an opportunity for Q&A, which will be chaired by Frans.

The press release, slide deck and frequently asked questions on the Respironics recall were published at 7:00 a.m. CET on our Investor Relations website. The replay and full transcript of this webcast will be made available on the website as well.

Before we start, I want to draw your attention to our safe harbor statement on screen. You will also find the statement in the presentation published on our Investor Relations website.

With that, I'll hand over to Frans.

Frans van Houten

Thanks, Leandro, and thanks, everyone, for joining us this morning. I would like to first go through the agenda for today. We have a lot to update you on, so we decided to host a webcast instead of a call. We will also have a slightly longer session of around 70 minutes, followed by Q&A.

We will start with the discussion of our second quarter results and full year outlook. We will then talk about the actions we are taking across different areas to drive performance improvement. This will include presentations by Roy Jakobs, who will provide an update on the Respironics recall, and Francis Kim, who will talk about our progress and continued efforts around quality. After that, I will talk about how we are driving and will continue to drive growth through innovative solutions and customer partnerships. And we will wrap up with our performance trajectory through 2025.

Before I hand over to Abhijit to update you on the results of the second quarter and our outlook for the full year, I would like to go over the key messages that we will cover during these presentations. Our performance in the quarter was impacted by headwinds. Order book strengths and improving component supplies are expected to deliver growth and profitability improvement from the second half of 2022 onwards.