Philips sees free cash flow above EUR 2B by 2025

Sees an acceleration of the average annual comparable sales growth to 5%-6%, with all business segments within this range. For 2021, Philips' current view is that Group comparable sales will deliver low-single-digit growth, driven by solid growth in Diagnosis & Treatment and Personal Health, partly offset by lower Connected Care sales. Sees an adjusted EBITA margin improvement of 60-80 basis points on average annually from 2021, reaching the high teens for the group by 2025. Sees organic return on invested capital, or ROIC, of mid-to-high teens by 2025. "We are excited to continue our journey to create further value by improving growth and profitability, while recognizing that we are in very uncertain times, and with the assumption that the world economy will return to growth next year," said Frans van Houten. "The new targets are underpinned by our strategic imperatives to further improve customer and operational excellence, boost growth in our core businesses through geographical expansion and more customer partnerships, and win with innovative solutions along the health continuum. Our strategy to transform care along the health continuum - from healthy living and prevention to diagnosis and treatment, telehealth and home care - strongly resonates with customers and has been further validated during the COVID-19 pandemic."