MeritValue

KONINKLIJKE PHILIPS NV

PHGdata completeness 88%11 fiscal years on file

Data notes: no data for concept 'operatingCashFlow'

The thesis, from the filings

KONINKLIJKE PHILIPS NV earns about 1% on invested capital, but has diluted owners by 11% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue€17.2B1€17.8B2€18.2B3€18B3€17.8B3
Net income€3.32B4−€1.61B5−€466M6−€702M6€895M6
Operating cash flow—————
Capital expenditure€397M7€444M8€345M9€317M9€269M9
Free cash flow (derived)—————
Total debt€6.98B10€8.2B11€7.69B12€7.64B12€8.08B12
Cash & equivalents€2.3B13€1.17B14€1.87B14€2.4B14€2.79B14
Diluted shares870.2M881.5M906.4M925.0M962.9M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
€113.79
your share of equity
Profit it earned you last year
€9.29
Free cash flow it threw off
—
Debt you’d be carrying
€83.95

10 shares is a claim on €113.79 of net worth that earned you €9.29 last year, against €83.95 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
1% avg · 5y
FY21 3%FY22 -6%FY23 -1%FY24 1%FY25 7%

It earned an average 1% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+11% shares · 5y

Share count is up 11% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 16% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
€15.43
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 20-F · period ending 2021-12-31 · accession 0000313216-24-000003 (Revenue)
  2. 20-F · period ending 2022-12-31 · accession 0000313216-25-000009 (Revenue)
  3. 20-F · period ending 2023-12-31 · accession 0001628280-26-009470 (Revenue)
  4. 20-F · period ending 2021-12-31 · accession 0000313216-24-000003 (ProfitLossAttributableToOwnersOfParent)
  5. 20-F · period ending 2022-12-31 · accession 0000313216-25-000009 (ProfitLossAttributableToOwnersOfParent)
  6. 20-F · period ending 2023-12-31 · accession 0001628280-26-009470 (ProfitLossAttributableToOwnersOfParent)
  7. 20-F · period ending 2021-12-31 · accession 0000313216-24-000003 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  8. 20-F · period ending 2022-12-31 · accession 0000313216-25-000009 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  9. 20-F · period ending 2023-12-31 · accession 0001628280-26-009470 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  10. 20-F · period ending 2021-12-31 · accession 0000313216-24-000003 (Borrowings)
  11. 20-F · period ending 2022-12-31 · accession 0000313216-25-000009 (Borrowings)
  12. 20-F · period ending 2023-12-31 · accession 0001628280-26-009470 (Borrowings)
  13. 20-F · period ending 2021-12-31 · accession 0000313216-25-000009 (CashAndCashEquivalents)
  14. 20-F · period ending 2022-12-31 · accession 0001628280-26-009470 (CashAndCashEquivalents)