According to reports, Philips is accelerating the rectification of its lighting business unit. The main reason is that as the price of LED lighting products gradually approaches traditional light bulbs, more and more consumers tend to choose more energy-efficient LED lighting products. Therefore, Philips will increase the cost of rectification, and the cost of rectification in the second half of 2014 will increase from 100 million euros (about 838 million yuan) to 170 million euros (about 1.424 billion yuan). Rectification projects include reducing the scale of production of traditional lighting products and possibly even turning off traditional lighting manufacturers. With the ban on incandescent lamps in countries around the world, the LED market is more prosperous. However, the increasingly fierce price war has eroded the profits of major manufacturers including Philips and Osram. Philips announced its second-quarter earnings report yesterday, with total revenue falling 6. The company attributed the decline in revenue to the decline in LED bulb prices and the decline in sales of traditional lighting products. Philips said it is still too early to talk about the impact of the rectification, but the company has sold or closed some incandescent lamps. In addition, the company will continue to focus on LED interconnect systems and services. The company decided to integrate LED components and automotive lighting into an independent company to expand its portfolio of leading digital lighting components to better serve consumers and Philips itself. Driven by the growing demand for energy and digital control, lighting is continually gaining more room for growth. Yesterday, Philips released its second-quarter earnings report, Philips' second quarter 2014 revenue decreased by 6 to 5.293 billion euros; pre-tax pre-earnings surplus (EBITA) decreased by 30.95 to 415 million euros; net profit decreased by 23.34 to 2.43 One hundred million euros.
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