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Philips to repurchase up to 6 million shares to cover long-term incentive plans

1. Philips will repurchase up to 6 million shares for incentive obligations. 2. Total repurchase value approximates EUR 125 million at current share price. 3. Transactions planned for Q2 and Q3 of 2025; delivery expected in 2027. 4. The decision follows shareholder authorization on May 8, 2025.

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FAQ

Why Bullish?

Share buybacks typically signal confidence in financial stability and can enhance shareholder value, similar to past instances where companies saw stock price increases post-buyback announcements.

How important is it?

The share repurchase indicates corporate confidence and is likely to stimulate positive investor sentiment, underlining Philips' commitment to enhancing shareholder return.

Why Long Term?

The positive effects from the buyback are expected to materialize over time as the market digsested the reduced share count and improved earnings per share, similar to actions taken by companies like Apple and Microsoft.

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June 4, 2025  Amsterdam, the Netherlands – Royal Philips (NYSE: PHG, AEX: PHIA) today announced that it will repurchase up to 6 million shares to cover certain of its obligations arising from its long-term incentive plans. At the current share price, the shares represent an amount of up to approximately EUR 125 million. The repurchases will be executed through one or more individual forward transactions, to be entered into in the course of the second and third quarter of 2025, in accordance with the Market Abuse Regulation and within the limits of the authorization granted by the company’s General Meeting of Shareholders on May 8, 2025. Philips expects to take delivery of the shares in 2027. Further details will be available via this link. For further information, please contact:Michael FuchsPhilips Global External RelationsTel.: +31 6 1486 9261E-mail: michael.fuchs@philips.com Dorin DanuPhilips Investor RelationsTel.: +31 20 59 77055E-mail: dorin.danu@philips.com About Royal Philips Royal Philips (NYSE: PHG, AEX: PHIA) is a leading health technology company focused on improving people’s health and well-being through meaningful innovation. Philips’ patient- and people-centric innovation leverages advanced technology and deep clinical and consumer insights to deliver personal health solutions for consumers and professional health solutions for healthcare providers and their patients in the hospital and the home. Headquartered in the Netherlands, the company is a leader in diagnostic imaging, ultrasound, image-guided therapy, monitoring and enterprise informatics, as well as in personal health. Philips generated 2024 sales of EUR 18 billion and employs approximately 67,200 employees with sales and services in more than 100 countries. News about Philips can be found at www.philips.com/newscenter. Forward-looking statementsThis release contains certain forward-looking statements with respect to the financial condition, results of operations and business of Philips and certain of the plans and objectives of Philips with respect to these items. Examples of forward-looking statements include statements made about the strategy, estimates of sales growth, future EBITA, future developments in Philips’ organic business and the completion of acquisitions and divestments. By their nature, these statements involve risk and uncertainty because they relate to future events and circumstances and there are many factors that could cause actual results and developments to differ materially from those expressed or implied by these statements.

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