Philips Recoups Majority of Trump Tariffs in Q2
Royal Philips reported significant recovery from previously imposed U.S. tariffs on medical devices made in China during its second quarter, recouping €186 million ($212 million) through a largely completed refund process following the Supreme Court's invalidation of many Trump-era tariffs. Despite this relief, Philips continues to face challenges including rising costs for e-components and freight due to Middle East tensions. The company also noted increased cost inflation and currency effects that impacted its profit margins in Q2 2026. Revenue rose slightly year-over-year to €4.36 billion with net income surging by 61% to €386 million. Philips is adapting to market shifts, particularly in China where centralized procurement policies are causing delays and margin pressures. The company is focusing on innovative products while seeing strong performance in North America and Europe, as well as emerging growth opportunities in India.
Tickers: $PHG
Topics: cost inflation medical devices revenue growth tariffs