Dutch health technology company Philips said today that its fourth-quarter sales grew 5% to €5.3 billion, buoyed by a rise in orders for high-end hospital equipment.
The company's intake of orders rose 7%, and sales growth was in line with expectations of analysts polled for Reuters.
"We finished 2017 on a firm note," Philips chief executive Frans van Houten said in a statement.
"With our strong order book, we are confident that we will deliver on our mid-term targets this year," he added.
Sales growth accelerated slightly in the last three months of 2017, taking the total for the year to 4%, just in line with Philips' ambition of a 4-6% annual rise.
Order growth in the fourth quarter was strongest in North America and China, where hospitals stocked up on medical scanners and imaging tools used during surgery.
This led to a 6% sales growth for the Diagnostics & Treatment division, which was matched by the Personal Health arm, selling consumer products such as toothbrushes and machines to relieve sleep apnea.
Philips said its adjusted earnings before interest, taxes and amortisation (EBITA) rose 9% in the fourth quarter to €884m. Net income surged 40% to €899m.
Philips' also said its profit margin improved by 110 basis points in 2017, to 12.1% of sales, surpassing the company's own goal by 10% as cost savings were higher than expected.
