Philips continues to suffer from the global recession, posting big losses across its businesses, particularly in consumer electronics, construction and automotive divisions.
The multinational company announced a loss of 74 million Euros (£66 million) for the first quarter of 2009, and sees little sign of light ahead.
""In the first quarter of 2009 we have seen a significant further deterioration of our markets," says Gerard Kleisterlee, President and CEO of Royal Philips Electronics. "We expect no material change to this situation in Q2."
Not quite as bad as the last recession
Despite a "very soft US hospital market" Philips will continue to concentrate on health and well-being industries, maintaining investments in R&D, marketing and small acquisitions while hoping to get rid of its remaining share in LG Display.
It's not all doom and gloom, though, insists Kleisterlee: "We remain convinced that Philips will come out of this recession as a stronger company. The portfolio of leading businesses we have built up is clearly not immune to the market woes we are now experiencing, but it is certainly more resilient than the portfolio we operated in the previous downturn."
Sales of consumer electronics were down 25 per cent on a year ago, with TV, audio and video spearheading the fall, slumping a third from 2008's sales.
Philips is finding that emerging markets are suffering more than developed countries, with a 21 per cent decline in sales against a 15 per cent fall in mature markets. The company says that it is now starting to see "positive sales developments" in several European countries, including the UK.