Dutch based health technology company Philips NV (AMS: PHIA) has revised its 2021 estimates upwards following increasing number of sales courtesy of the pandemic. Due to the pandemic, healthcare facilities across the world have been overwhelmed due to high numbers of COVID-19 patients.
It is this experience which led to a rise in demand of medical equipment and personal health appliances in the hospitals resulting to the increasing sales in Philips.
The company registered 74% increased earnings in the first quarter of the year compared to what it recorded the same quarter last year. This translates to $438 million (362 million euros).
The company’s chief executive officer Frans Van said it’s these numbers and conditions which they are using to adjust their financial estimates for the year.
“Revenue growth was a bit stronger than we originally expected. On that basis and expecting a strong second quarter, we are raising our guidance,” said the CEO.
The company sells products across the healthcare industry ranging from simple personal health equipment like electrical toothbrushes to medical imaging systems.
According to the CEO, market conditions and business segments contributed to the strong growth the company experienced in the first quarter of 2021.