Philips said orders at its healthcare division – now its most profitable after a strategic overhaul – rose more than expected in the second quarter thanks to new ultrasound and scanning products and strong demand from China. Orders rose 7 per cent compared with a year ago, reversing a 5 per cent drop in the first quarter, and along with the rest of the company's results were better than expected after two years of job cuts, divestments and a change of business strategy. Shares hit €24.405 yesterday, their highest since January 2011.

Philips has been selling off much of its consumer electronics business over the past 18 months - divesting its television, audio and video operations as it struggled to compete with lower-cost Asian manufacturers, to focus on more profitable home appliances, lighting and healthcare. – (Reuters)