Share information

Market capitalization

Philips’ market capitalization was EUR 22.1 billion at year-end 2014. On December 31, 2014, the closing price for Philips’ shares in Amsterdam was EUR 24.15 and the number of common shares outstanding (after deduction of treasury shares) amounted to 914,389 thousand.

Philips Group
Market capitalization in billions of EUR
2010 - 2014
22.1Q123.3Q221.8Q321.7Q4‘1021.3Q117.2Q212.7Q315.1Q4‘1113.9Q114.5Q216.8Q318.2Q4‘1220.9Q119.2Q221.8Q324.3Q4‘1323.3Q121.4Q223.2Q322.1Q4‘14

Share capital structure

During 2014, Philips’ issued share capital decreased by approximately 3 million common shares to a level of 935 million common shares. The main reasons for this are the cancellation of 21,837,910 Philips shares acquired pursuant to the EUR 1.5 billion share repurchase program and the issuance of 18,811,534 shares related to the elective dividend. The number of basic shares outstanding increased slightly from 913 million at the end of December 2013 to 914 million at the end of 2014. As of December 31, 2014, the shares held in treasury amounted to 20 million shares, of which 17 million are held by Philips to cover long-term incentive and employee stock purchase plans.

The Dutch Act on Financial Supervision imposes an obligation on persons holding certain interests to disclose (inter alia) percentage holdings in the capital and/or voting rights in the Company when such holdings reach, exceed or fall below 3, 5, 10, 15, 20, 25, 30, 40, 50, 60, 75 and 95 percent (as a result of an acquisition or disposal by a person, or as a result of a change in the company’s total number of voting rights or capital issued). Certain cash-settled derivatives are also taken into account when calculating the capital interest. The statutory obligation to disclose capital interest does not only relate to gross long positions, but also to gross short positions. Required disclosures must be made to the Netherlands Authority for the Financial Markets (AFM) without delay. The AFM then notifies such disclosures to the Company and includes them in a register which is published on the AFM’s website. Furthermore, an obligation to disclose (net) short positions is set out in the EU Regulation on Short Selling.

On January 3, 2014 the Company received notification from the AFM that it had received disclosure under the Dutch Act on Financial Supervision of a substantial holding of 3.08% by Norges Bank. On May 9, 2014 the Company received notification from the AFM that it had received disclosure under such Act of a substantial holding of 3.02% by Harris Associates L.P. On February 3, 2015 the Company received notification from the AFM that it had received disclosure under such Act of a substantial holding of 3% by State Street Corporation.

Based on a survey in December 2014 and information provided by several large custodians, the following shareholder portfolio information is included in the graphs Shareholders by region and Shareholders by style.

Philips Group
Shareholders by region (estimated)1) in %
2014
48Western Europe46North America6Other
1) Split based on identified shares in shareholder identification
Philips Group
Shareholders by style (estimated)1) in %
2014
30Value23Growth14Index8GARP2)8Other7SWF3)6Retail4Yield
1) Split based on identified shares in shareholder identification
2) GARP: growth at reasonable price
3) SWF: Sovereign Wealth Fund

Share repurchase programs

Share repurchases for capital reduction purposes

On September 17, 2013, Philips announced a new EUR 1.5 billion share repurchase program. This program started on October 21, 2013 and is to be completed over two to three years. The shares repurchased under this program will be held by Philips as treasury shares until they are cancelled. Philips has entered into a subsequent discretionary management agreement with a bank to make the repurchase within the limits of relevant laws and regulations (in particular EC Regulation 2273/2003) and Philips’ articles of association.

By the end of 2014, Philips had completed 41% of the EUR 1.5 billion share repurchase program.

Philips Group
Impact of share repurchases on share count in thousands of shares
2010 - 2014
 
2010
2011
2012
2013
2014
Shares issued
986,079
1,008,975
957,133
937,846
934,820
Shares in treasury
39,573
82,880
42,542
24,508
20,431
Shares outstanding
946,506
926,095
914,591
913,338
914,389
Shares repurchased
15
47,508
46,871
27,811
28,538
Shares cancelled
82,365
37,779
21,838

This item is optimized for devices with a larger screen. You can still view this item in PDF format.
Download PDF

Share repurchases related to Long-Term Incentive (LTI) and employee stock purchase programs

Philips initiated LTI repurchases in 2014 to cover Philips’ outstanding obligations resulting from past and present long-term incentive and employee stock purchase programs dating back to 2004.  The shares repurchased for coverage purpose will be held by Philips as treasury shares until they are distributed to participants. Philips entered into subsequent discretionary management agreements with a bank to make the repurchases within the limits of relevant laws and regulations (in particular EC Regulation 2273/2003) and Philips’ articles of association.

In 2014, Philips repurchased a total of 7.3 million shares for LTI coverage. During 2015, Philips may continue with additional repurchases, the size of which will depend on the movement of the Philips stock price.

Further details on the share repurchase programs can be found on the Investor Relations website. For more information see Corporate governance.

Philips Group
Total number of shares purchased
2014
 
total number of shares purchased
average price paid per share in EUR
total number of shares purchased as part of publicly announced programs
maximum EUR amount of shares that may yet be purchased under share repurchases for capital reduction purposes
January, 2014
2,038,149
26.88
2,038,149
1,352,223,907
February, 2014
2,898,000
25.72
2,898,000
1,312,569,419
March, 2014
2,140,331
24.91
2,140,331
1,284,211,321
April, 2014
5,516,424
24.72
5,516,421
1,208,271,127
May, 2014
2,689,922
23.14
2,689,922
1,159,447,057
June, 2014
2,530,624
23.16
2,530,624
1,104,993,623
July, 2014
916,200
23.44
916,200
1,087,625,571
August, 2014
1,963,941
22.72
1,963,941
1,052,561,499
September, 2014
1,941,333
23.82
1,941,333
1,016,227,505
October, 2014
2,599,990
22.66
2,599,990
967,004,052
November, 2014
1,338,007
22.73
1,338,000
936,595,413
December, 2014
1,965,000
23.47
1,965,000
890,472,326

This item is optimized for devices with a larger screen. You can still view this item in PDF format.
Download PDF

A total of 20,430,544 shares were held in treasury by the Company at December 31, 2014 (2013: 24,508,022 shares). As of that date, a total of 41 million rights to acquire shares (under long-term incentive plans) were outstanding (2013: 44 million).

(0)
(0)

CO2-equivalent or carbon dioxide equivalent is a quantity that describes, for a given mixture and amount of greenhouse gas, the amount of CO2 that would have the same global warming potential (GWP), when measured over a specified timescale (generally 100 years).