Royal Philips NV said the strength of the euro will make 2014 a “challenging” year after the world’s biggest lighting manufacturer reported first-quarter earnings that missed analyst estimates. The stock declined the most since June 2011.
Johnson & Johnson persuaded the Arkansas Supreme Court to throw out a $1.2 billion award against the drugmaker over its marketing of the antipsychotic drug Risperdal, erasing the biggest state verdict involving the controversial medicine.
Frans van Houten starts as chief executive officer of Royal Philips Electronics NV today with the challenge of turning around the 3 billion-euro ($4.2 billion) television business, a task that eluded his predecessor.
Royal Philips Electronics NV boosted Chief Executive Officer Frans van Houten’s total compensation to 3.4 million euros ($4.5 million) as his revamp of the world’s largest lighting manufacturer boosted earnings.
Frans van Houten, 100 days into his job as chief executive officer at Royal Philips Electronics NV, is poised to announce a bigger overhaul of the Dutch maker of lighting and DVD players, drawing on cost-cutting skills honed when working with private equity firms.
Royal Philips NV, the world’s largest lighting company, said progress toward 2016 goals for profitability will be “modest” this year after a slowdown in healthcare orders and increasing costs tied to currencies.
Royal Philips Electronics NV Chief Executive Officer Frans van Houten said the consumer unit’s first double-digit sales gain in seven quarters shows that his strategy of adapting products to local needs is working.