Electronics giant Philips booked a 22% increase in pre-tax profit in the second quarter of 2007 at €302m, in line with expectations. The company said it was on track to meet its sales and profit margin targets.

Sales fell 4.3% to €6.1bn but excluding currency effects and disposals and acquisitions, revenue was flat.
Analysts said the results were ‘slightly disappointing’ but welcomed the 4% growth in sales at Philips medical equipment division.