Philips expects 'disappointing'

Dutch group Philips Electronics has said that weak demand in Europe has hit its fourth quarter results. In a trading update, the group said it had taken a charge on stock it cannot shift in its lighting division. And delays in deliveries are expected to have an impact on its healthcare sector, reducing sales growth by an estimated 2-3%. Philips said it was disappointed with the results, but was confident it would achieve its 2013 mid-term targets. The company will report its fourth quarter results on 30 January. Philips has struggled to compete with lower-cost Asian rivals in recent months. It said in October that it was going to cut 4,500 jobs.