Commenting on its much better than expected figures (see page five) Philips Electroncs NV says that well over half its $649m net profits came from its Professional Products & Systems division – which this time does not include revenues derived from personal computer sales; profits at the division leaped 300% to $400m, job losses and restructurings being given as a major reason, but also strong performance in the medical and communication systems areas, the company said; consumer products – which now includes the personal computer activities – saw sales fall 2% to $14,505m, while Component & Semiconductor sales dropped 3% to $4,235m; Philips said that further cuts in the workforce will be required in divisions with flagging productivity; the company attributes its modest turnover growth largely to exchange rate movements
