PHG - Philips down 12% at 10-year low as supply chain issues CPAP woes hit bottom line

• Shares of Koninklijke Philips ( NYSE: PHG ) fell to their lowest level since June 2012 on Wednesday morning after warning that continuing supply chain issues and a goodwill impairment charge in its sleep and respiratory care business will weigh on Q3 earnings .
• The stock hit a 52-week low of $13.04.
• Philips ( PHG ) expects a mid-single-digit comparable sales decline in Q4. In addition, it expects Q3 core profit will fall ~60%
• Also, it will incur a EUR 1.3B non-cash charge in Q3 for impairment of goodwill for Philips Respironics due to changes in the financial forecast of the business.
• Since 2021, Philips ( PHG ) has been contending with a recall related to some of its CPAP, BiPAP and mechanical ventilator devices. In September, the company recalled certain masks used with some respiratory machines due to potential risk of injury .

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