Philips scraps worldwide, around 4500 jobs, which allegedly 1400 in the Netherlands. This has the company disclosed at the presentation of its latest quarterly results. For the ailing tv-division, there is still no solution.
According to the manufacturer, the previously announced plans for 800 million euro to be able to save now detail. “The cost savings programme will lead to a loss of approximately of 4,500 jobs, which is an unfortunate, but inevitable step to improve our business model to be more agile and efficient and our competitiveness”, says ceo Frans van Houten in a statement.
The electronics company has in the last quarter, a profit of 76 million euros. The revenue amounted to 5.4 billion euro. Tentatively expecting the manufacturer to no improvement. “We are still not satisfied with our current financial results, seen against the background of the continuing economic problems, particularly in Europe, as well as the operational problems and risks,” says the director. “We expect no substantial improvement of results it will achieve in the short term.”
In the background, try Philips still its ailing tv division to divest. In april the company announced that it has signed an agreement with TPV Technology. Together, the two businesses into a new company to start, in which Philips has a stake of 30 percent will have. This Television Joint Venture is, however, still not of the ground.
Although the company already had identified all the options to keep it open, stressed Wood again that if there is no final agreement can be reached, Philips are alternative options to consider. The director hint this could be on a possible sale of the tv business.