Philips Updates Shareholders on 2024 Dividend Exchange Ratio

Author: Olivia Taylor Updated: 06-05-2025 04:02 AM

Philips Announces Exchange Ratio for Upcoming Dividend

In a recent announcement, Royal Philips (NYSE: PHG, AEX: PHIA) has detailed the exchange ratio for its dividend for the fiscal year of 2024. This ratio stands at 1 new common share for every 23.6353 existing common shares. The decision is anchored on the volume weighted average price on Euronext Amsterdam, calculated on specific dates in early June.

Dividend Calculations and Implications

The exchange ratio was derived on the average price of EUR 20.0600, aiming to ensure that the gross dividend paid in shares approximates EUR 0.85. Consequently, Philips plans to issue a total of 22,980,748 new common shares to fulfill this dividend obligation. This strategic move is designed to maintain shareholder value while also considering the company's long-term financial health.

Shareholder Options for Dividend

Shareholders have been presented with options regarding the dividend. They can choose to receive the dividend in newly issued shares or, under certain conditions, opt for a cash payment. The results show that 41.4% of shareholders opted for cash—a figure falling below the adopted threshold of 50% during the recent General Meeting of Shareholders. This means that the remaining dividends will be processed according to their respective elections.

Distribution Timeline

The delivery of newly issued common shares is scheduled for June 6, 2025. If necessary, the settlement of any fractional shares will be made in cash, alongside any cash dividends that are to be distributed. Once these transactions are complete, Philips anticipates that their total issued share capital will swell to approximately EUR 192,584,026, accounting for 962,920,132 common shares.

Contact Information for Inquiries

For any further information regarding this announcement, interested parties can reach out to Michael Fuchs, part of the Philips Global External Relations team at +31 6 1486 9261 or via email at michael.fuchs@philips.com. Alternatively, Dorin Danu from Philips Investor Relations is available at +31 20 59 77055 or dorin.danu@philips.com.

About Royal Philips

Royal Philips is a frontrunner in health technology, dedicated to enhancing people’s health and well-being via groundbreaking innovations. The company leverages advanced technologies and deep insights from both consumers and healthcare providers to deliver tailored health solutions. Philips has carved out a strong reputation in areas like diagnostic imaging, ultrasound, and enterprise informatics, becoming a trusted partner for many healthcare institutions.

Company Performance and Presence

Recently, Philips reported a remarkable sales figure of EUR 18 billion, with a workforce comprising approximately 67,200 employees. The company’s reach extends to over 100 countries, signifying its global footprint. Philips continues to innovate, always aiming for a positive impact on health ecosystems worldwide, which keeps them in line with evolving health demands.

Frequently Asked Questions

What is the exchange ratio for the 2024 dividend?

The exchange ratio is set at 1 new common share for every 23.6353 existing common shares.

When will the new common shares be delivered?

The delivery of new common shares will occur on June 6, 2025.

What percentage of shareholders chose cash for the dividend?

41.4% of shareholders opted for a cash payment instead of shares.

How many new common shares will Philips issue?

Philips will issue a total of 22,980,748 new common shares.

Who can I contact for more information?

For inquiries, you can contact Michael Fuchs or Dorin Danu at Philips via their phone numbers or emails provided in the announcement.

About The Author

Olivia Taylor here, a 26-year-old writer and financial advisor. After earning a degree in finance, I worked in the sector for years. I've always loved numbers and had a talent for simplifying difficult financial ideas so that anyone could understand. I wrote my first book because of this passion; it helps readers take charge of their financial futures by fusing real-life stories with useful financial advice.

Whether they are just beginning their careers, preparing for significant life events, or seeking to invest wisely, my goal with my writing is to enable people to make educated financial decisions. The foundation of my work is the conviction that security and freedom of the individual are largely determined by financial literacy. To further financial education, I run workshops and frequently write for financial blogs in addition to my books.

I like to travel, experience other cultures, and find inspiration in daily life when I'm not writing or examining market trends. My passion is utilizing sound financial practices to help people reach their financial objectives and lead the best lives possible.

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