Signify announces Q1 2026 results

Global leader in the lighting industrySignify (Signify) recently announced its Q1 2026 financial results, showing that the company's gross margin and cash flow remain robust.

In Q1, Signify achieved sales of €1.274 billion (approx. RMB 10.211 billion), with comparable sales down 5.1% and free cash flow reaching €47 million.

"Amidst intensifying global market volatility, we achieved robust gross margins and cash flow through strict cost and price management, demonstrating resilience. The decline in sales reflects the ongoing weakness of the market; we are taking action to outperform the market while completing a strategic business portfolio assessment to position the company for future growth," said Signify CEO As Tempelman.

"We will stay closely aligned with our customers and suppliers, remain confident in our ability to respond to market risks and seize opportunities, and focus on efficient execution," he said.

Performance Highlights

• In Q1 2026, Signify's installed base of connected lighting points increased to 171 million

• Sales amounted to €1.274 billion, with comparable sales growth (CSG) at -5.1% (Q1 2025: -2.8%)

• Adjusted EBITA margin of 6.5% (Q1 2025: 8.0%)

• Net profit of €8 million, mainly affected by restructuring costs of €63 million related to cost-cutting plans

• Free cash flow €47 million (Q1 2025: €40 million)

• Signify launches new 'Brighter Living, Better World 2030' sustainability plan

具体来看，专业照明业务Q1名义销售额同比下降10.9%至8.39亿欧元，其中7.3%的负面汇率影响主要源于美元贬值。可比销售额下降3.7%，主要受欧美贸易渠道与公共项目需求持续疲软拖累，互联照明解决方案业务则保持增长；欧洲市场受益于室内项目增长实现环比改善，中国、印度等新兴市场增长完全抵消了中东市场下滑。此外，调整后息税折旧摊销前利润率同比提升20个基点至7.3%，得益于毛利率扩张、持续的价格管控与成本管控。

Consumer Lighting Business Q1 nominal sales decreased by 11.5% year-on-year to €276 million, with a negative currency impact of 6.8% primarily due to the depreciation of the Indian rupee against the US dollar. Comparable sales fell by 4.6%; retail channel inventory adjustments affected supply volumes, but end-consumer sales remained strong; Klite business performance was weak, though growth in the Indian market offset some of the negative impact.

OEM businessQ1 nominal sales decreased by 10.4% year-on-year to €82 million, with a negative currency impact of 5.6% primarily driven by the depreciation of the US dollar. Comparable sales fell by 4.8%, reflecting continued market weakness, although price pressures are beginning to ease, showing clear signs of stabilization in the business.

Traditional lighting businessNominal sales decreased by 23.5% year-on-year to €71 million, with a negative currency impact of 5.6% primarily due to the depreciation of the US dollar. Comparable sales fell by 17.9%, reflecting a trend of structural decline in the business.

值得一提的是，昕诺飞在该季度正式启动“闪亮生活，美好世界2030”可持续发展计划。该计划由多项助力客户实现可持续发展目标的新举措共同构成，旨在推广高效节能、资源节约型照明解决方案，以提升福祉、节约能源和保护生态。

The plan sets multiple targets, such as: by the end of 2030, the revenue share from "New Quality Lighting Applications" will increase from 31% in 2024 to 41%; by the end of 2030, it aims to help customers cumulatively reduce lighting energy consumption by 60 TWh and achieve a 35% reduction in the annualized carbon dioxide emission intensity of sold products; starting from Europe, Signify targets that by the end of 2030, the revenue share from circular products and services within its professional lighting business will rise from 10% to 27.5%.

Philips Lighting's sustainability plan is rooted in its long-term commitment: minimizing the environmental impact of manufacturing, creating inclusive workplaces, ensuring fair working conditions across the entire value chain, and expanding lighting coverage in underdeveloped regions.