Philips 2012 Annual Report Download - page 215

17 Investor Relations 17 - 17.1
Annual Report 2012 215
17 Investor Relations
17.1 Key financials and
dividend policy
Prior periods amounts have been revised to reflect
certain immaterial adjustments (see section 12.10,
Significant accounting policies, of this Annual Report).
Net income and EPS
Net income of the Philips Group showed a gain of EUR
231 million, or EUR 0.25 per common share, compared
to a loss of EUR 1,291 million, or EUR 1.36 per common
share, in 2011.
Net income (loss)
in millions of euros
■-net income ----net income per share in euros
2,000
1,000
0
(1,000)
(2,000)
(0.10)
(99)
2008
0.46
430
2009
1.54
1,448
2010
(1.36)
(1,291)
2011
0.25
231
2012
EBIT and EBITA1)
in millions of euros
■-EBIT--■
■-EBITA
3,000
2,500
2,000
1,500
1,000
500
0
(500)
287
690
977
2008
667
436
1,103
2009
2,074
482
2,556
2010
(269)
1,949
1,680
2011
1,030
472
1,502
2012
1) For a reconciliation to the most directly comparable GAAP measures, see
chapter 15, Reconciliation of non-GAAP information, of this Annual Report
Operating cash flows
in millions of euros
■-net capital expenditure_■
■-free cash flows1)
■-operating cash flows_--free cash flow as a % of sales
3,000
2,000
1,000
0
(1,000)
(2,000)
1,883
(766)
1,117
5.2
2008
1,354
(590)
764
3.8
2009
2,074
(716)
1,358
6.1
2010
768
(872)
(104)
(0.5)
2011
2,198
(475)
1,723
7.0
2012
1) For a reconciliation to the most directly comparable GAAP measures, see
chapter 15, Reconciliation of non-GAAP information, of this Annual Report
Dividend policy
We are committed to a stable dividend policy with a 40%
to 50% pay-out of continuing net income.
Continuing net income is the base figure used to calculate
the dividend payout for the year. For 2012, the key
exclusions from net income to arrive at continuing net
income are the following: the results related to the
Television business of Consumer Lifestyle that are shown
as discontinued operations, the fine imposed by the
European Commission related to alleged violation of
competition rules in the Cathode-Ray Tubes (CRT)
industry, an increase in legal provisions and the loss on
the sale of industrial assets. Gains that were excluded
relate to the sale of the Senseo trademark and the High
Tech Campus, the divestment of the Speech Processing
activities in Consumer Lifestyle as well as a one-time gain
of prior service cost related to a medical retiree benefit
plan. Restructuring and post-acquisition charges are also
excluded.
Proposed distribution
A proposal will be submitted to the 2013 Annual General
Meeting of Shareholders to declare a dividend of EUR 0.75
per common share (up to EUR 685 million), in cash or in
shares at the option of the shareholder, against the net
income for 2012 and the reserve retained earnings of the
Company.
Shareholders will be given the opportunity to make their
choice between cash and shares between May 10, 2013,
and May 31, 2013. If no choice is made during this election
period, the dividend will be paid in shares. On May 31,