Dutch healthcare technology giant Philips has raised its earnings outlook after securing 186 million euros ($211 million) in United States tariff refunds, recovering almost all the money it had been levied, director general Roy Jakobs said on Tuesday.
The refund followed a February ruling by the US Supreme Court, which struck down the bulk of President Donald Trump’s tariff blitz on the grounds that it exceeded his powers to regulate commerce.
“When there was the opening to claim for tariff refund based on the court ruling, we were one amongst the first to very proactively hand in all the requirements to apply for it,” Jakobs told reporters on a conference call. “And therefore, we are also one of the first to get it back almost in full.”
With almost half of its sales coming from North America, Philips had been badly hit by the tariffs, and the refund helped it post better-than-forecast second-quarter profit margins.
While the balance of the refund will be paid in the third quarter, the company still faces the customs duties more recently imposed by Trump. “We believe tariffs is an unfortunate… reality that we need to take into account if you want to do business in this world,” Jakobs said.
Philips reported late Monday that its net profit rose to 386 million euros in the second quarter, up from 240 million in the same period of 2025, while quarterly sales came in at 4.4 billion euros against 4.3 billion a year earlier. It maintained its forecast for annual revenue growth of between 3 and 4.5 per cent.
Once known for its light bulbs and televisions, the group has refocused production on medical equipment in recent years, though it continues to battle legal proceedings tied to its 2021 recall of DreamStation sleep apnoea devices.
Source: Punch.
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