v3.25.4
Fair value of financial assets and liabilities (Tables)
 12 Months Ended
Dec. 31, 2025
Fair value of financial assets and liabilities [Abstract]  
Fair value measurement of assets The accompanying table shows the carrying amounts and fair values of financial assets and financial liabilities,
including their levels in the fair value hierarchy. Fair value information for financial assets and financial
liabilities not carried at fair value is not included if the carrying amount is a reasonable approximation of fair
value. For cash and cash equivalents, loans and receivables, accounts payable, interest accrual and debt
(excluding bonds and leases), the carrying amounts approximate fair value because of the nature of these
instruments (including maturity and interest conditions) and therefore estimated fair value information is not
included.
Philips Group
Fair value of financial assets and liabilities in millions of EUR 
as of December 31,
2025
2024
Carrying amount
Estimated fair value
Level 1
Level 2
Level 3
Carrying amount
Estimated fair value
Financial assets
Carried at fair value:
Debt instruments
302
302
302
231
231
Equity instruments
2
2
2
3
3
Other financial assets
76
76
53
23
54
54
Financial assets carried at FVTP&L
380
380
53
328
288
288
Debt instruments
8
8
8
21
21
Equity instruments
213
213
2
212
222
222
Current financial assets
-
-
-
2
2
Receivables - current
13
13
13
-
-
Receivables - non-current
17
17
17
Financial assets carried at FVTOCI
252
252
2
38
212
244
244
Derivative financial instruments
99
99
82
17
77
77
Financial assets carried at fair value
731
731
2
173
556
609
609
Carried at (amortized) cost:
Cash and cash equivalents
2,794
2,401
Loans and receivables:
Other non-current loans and receivables
103
102
Receivables - current
3,517
3,672
Receivables - non-current
193
208
Financial assets carried at (amortized) cost
6,607
6,382
Total financial assets
7,338
6,992
Financial liabilities
Carried at fair value:
Contingent consideration
(111)
(111)
(111)
(113)
(113)
Financial liabilities carried at FVTP&L
(111)
(111)
(111)
(113)
(113)
Derivative financial instruments
(39)
(39)
(39)
(63)
(63)
Financial liabilities carried at fair value
(149)
(149)
(39)
(111)
(176)
(176)
Carried at (amortized) cost:
Accounts payable
(1,927)
(1,830)
Interest accrual
(95)
(83)
Debt (Corporate bonds and leases)
(7,757)
(7,818)
(6,854)
(963)
(7,397)
(7,363)
Debt (excluding corporate bonds and leases)
(327)
(241)
Financial liabilities carried at (amortized) cost
(10,107)
(9,551)
Total financial liabilities
(10,257)
(9,728)
The accompanying table shows the reconciliation from the beginning balance to the end balance for Level 3
fair value measurements.
Philips Group
Reconciliation of Level 3 fair value measurements in millions of EUR
2025
2024
Financial
assets
Financial
liabilities
Financial
assets
Financial
liabilities
Balance as of January 1
460
113
503
115
Acquisitions
Purchase
127
86
Sales
(44)
(48)
Utilizations
(1)
(9)
Recognized in profit and loss:
other business income
3
2
financial income and expenses ¹
(17)
1
(23)
3
Recognized in other comprehensive income ²
(43)
(5)
(8)
3
Receivables held to collect and sell
(32)
Reclassification
74
(18)
-
Balance as of December 31
556
111
460
113
1Refer to Financial income and expenses for details. 
2Includes translation differences
Fair value measurement of liabilities The accompanying table shows the carrying amounts and fair values of financial assets and financial liabilities,
including their levels in the fair value hierarchy. Fair value information for financial assets and financial
liabilities not carried at fair value is not included if the carrying amount is a reasonable approximation of fair
value. For cash and cash equivalents, loans and receivables, accounts payable, interest accrual and debt
(excluding bonds and leases), the carrying amounts approximate fair value because of the nature of these
instruments (including maturity and interest conditions) and therefore estimated fair value information is not
included.
Philips Group
Fair value of financial assets and liabilities in millions of EUR 
as of December 31,
2025
2024
Carrying amount
Estimated fair value
Level 1
Level 2
Level 3
Carrying amount
Estimated fair value
Financial assets
Carried at fair value:
Debt instruments
302
302
302
231
231
Equity instruments
2
2
2
3
3
Other financial assets
76
76
53
23
54
54
Financial assets carried at FVTP&L
380
380
53
328
288
288
Debt instruments
8
8
8
21
21
Equity instruments
213
213
2
212
222
222
Current financial assets
-
-
-
2
2
Receivables - current
13
13
13
-
-
Receivables - non-current
17
17
17
Financial assets carried at FVTOCI
252
252
2
38
212
244
244
Derivative financial instruments
99
99
82
17
77
77
Financial assets carried at fair value
731
731
2
173
556
609
609
Carried at (amortized) cost:
Cash and cash equivalents
2,794
2,401
Loans and receivables:
Other non-current loans and receivables
103
102
Receivables - current
3,517
3,672
Receivables - non-current
193
208
Financial assets carried at (amortized) cost
6,607
6,382
Total financial assets
7,338
6,992
Financial liabilities
Carried at fair value:
Contingent consideration
(111)
(111)
(111)
(113)
(113)
Financial liabilities carried at FVTP&L
(111)
(111)
(111)
(113)
(113)
Derivative financial instruments
(39)
(39)
(39)
(63)
(63)
Financial liabilities carried at fair value
(149)
(149)
(39)
(111)
(176)
(176)
Carried at (amortized) cost:
Accounts payable
(1,927)
(1,830)
Interest accrual
(95)
(83)
Debt (Corporate bonds and leases)
(7,757)
(7,818)
(6,854)
(963)
(7,397)
(7,363)
Debt (excluding corporate bonds and leases)
(327)
(241)
Financial liabilities carried at (amortized) cost
(10,107)
(9,551)
Total financial liabilities
(10,257)
(9,728)
The accompanying table shows the reconciliation from the beginning balance to the end balance for Level 3
fair value measurements.
Philips Group
Reconciliation of Level 3 fair value measurements in millions of EUR
2025
2024
Financial
assets
Financial
liabilities
Financial
assets
Financial
liabilities
Balance as of January 1
460
113
503
115
Acquisitions
Purchase
127
86
Sales
(44)
(48)
Utilizations
(1)
(9)
Recognized in profit and loss:
other business income
3
2
financial income and expenses ¹
(17)
1
(23)
3
Recognized in other comprehensive income ²
(43)
(5)
(8)
3
Receivables held to collect and sell
(32)
Reclassification
74
(18)
-
Balance as of December 31
556
111
460
113
1Refer to Financial income and expenses for details. 
2Includes translation differences
Financial assets subject to offsetting Philips Group
Financial assets subject to offsetting, enforceable master netting arrangements or similar agreements in millions of EUR
2025
2024
Derivatives
Gross amounts of recognized financial assets
82
72
Gross amounts of recognized financial liabilities offset in the balance sheet
Net amounts of financial assets presented in the balance sheet
82
72
Related amounts not offset in the balance sheet
Financial instruments
(32)
(45)
Net amount
51
27
Financial liabilities subject to offsetting Philips Group
Financial liabilities subject to offsetting, enforceable master netting arrangements or similar agreements in millions of EUR
2025
2024
Derivatives
Gross amounts of recognized financial liabilities
(39)
(63)
Gross amounts of recognized financial assets offset in the balance sheet
Net amounts of financial liabilities presented in the balance sheet
(39)
(63)
Related amounts not offset in the balance sheet
Financial instruments
32
45
Net amount
(7)
(18)