Philips' earnings double as it switches off TV arm

Royal Philips Electronics, the Dutch maker of electric shavers, light bulbs and medical imaging equipment, saw earnings more than double in the third quarter.

This was thanks to modest growth at all its business lines as well as the disposal of its loss-making television business.

Profit rose to €169m (£137m) from €74m in the same period a year ago, when Philips booked a €54 million loss on televisions. Sales rose 3.4 per cent to €6.13bn.

Despite the upbeat trading performance, Philips chief executive Frans van Houten said the company is facing stiff "headwinds".

Its biggest market Europe is in decline, China is growing more slowly and the United States market is showing "more and more uncertainty related to elections and the so-called fiscal cliff".