Sales were slightly down in 2013 at €8.4 billion ($11.5 billion), but overall results were flat year-on-year when investments, acquisitions and currency movements were taken into account.
The company’s LED chips and car lights achieved double-digit sales growth, while the light sources and professional lighting departments showed 'low single-digit' decreases and consumer luminaires was down even further.
LED-based sales have grown 37 per cent year-on-year since Q1 2013, and now make up 33 per cent of Philips’ total lighting sales.
Sales in high-growth regions were up, driven by double-digit growth in China and Indonesia, while lower demand for professional lighting solutions and consumer luminaires in North America and Western Europe reduced Philips’ sales figures in mature markets from €5 billion ($6.9 billion) to €4.8 billion ($6.6 billion).
Frans van Houten, CEO of Philips, said: '2014 will be a challenging year, but we remain very confident of achieving our 2016 mid-term financial targets.’
Philips has recently acquired 51 per cent of the General Lighting Company of Saudi Arabia. The company has also partnered with telecoms provider Ericsson to combine intelligent street lighting with mobile network coverage, and launched a smart retail lighting system that communicates with smartphone sensors.