“The company has identified additional opportunities, among others in the healthcare and lighting sectors, to further decrease inefficiency and complexity,” Philips said in a statement.
“These additional structural saving opportunities of 300 million euros will bring the overall savings programme from 800 million euros to 1.1 billion euros, to be completed by 2014,” the company said.
Philips Chief Executive Officer Frans van Houten told a teleconference that the company was “facing increasing headwinds due to the economy.”
“Basically across the world we see uncertainty, basically we see our business notably slow down in China and in Europe,” he added.
The company, which employs around 122,000 people globally, is known for its televisions, small appliances and light bulbs, but has begun to develop its activities in the medical equipment sector.
Philips in July posted higher than forecast second quarter net profits of 167 million euros, thanks to a 13 percent jump in sales.
The results were a huge improvement over the company’s dismal 1.35 billion euro net loss in the same period last year.