Royal Philips Electronics posted its second quarter results on Monday. The net profit of the Company has increased to EUR262 million from EUR45 million last year. The profits realized are much more than the projected profits by the analysts. The sales of the Company have been hiked to EUR6.2 billion from EUR5.2 billion a year earlier. However, the sales are expected to decline by the end of this year due to the slow recovery in the U. S. and Europe, as told by the members of the Company.

The Company has achieved an increase of 10% in its profitability level. The sale performance was also remarkable in the starting year, thanks to emerging markets and larger consumer spending. On Friday, Philips shares closed at EUR24.90.

Last year, Philips cut 6000 jobs in order to compete with General Electric Co. and Siemens AG and to boost up its profitability. The Company also cut its fixed cost by 700 million Euros.

Its rivals General Electronics reported 16% rise in the second-quarter profit from $2.69 billion a year earlier to $3.11 billion. Siemens will post its second quarter results on July 29.

As told by the Company, they are likely to experience such good profits in the coming period as well.