Core Insights - Signify reported full-year 2025 sales of EUR 5.8 billion, with an operational profitability (adjusted EBITA) of 8.9% and free cash flow of EUR 440 million [1][3][6] Financial Performance - The Professional business experienced growth in the US but a decline in Europe, while the Consumer business showed sustained growth in all regions except China [3] - Connected lighting saw strong growth in both Professional and Consumer markets, but this was offset by a decline in non-connected lighting, particularly in trade channels [3] - The adjusted EBITA margin for the full year was 8.9%, down from 9.9% in FY 2024, and net income decreased to EUR 259 million from EUR 334 million in FY 2024 [7][6] - Free cash flow for FY 2025 was EUR 440 million, slightly up from EUR 438 million in FY 2024 [7] Strategic Initiatives - The company announced a EUR 180 million cost reduction program aimed at structurally resetting its cost base, which will impact 900 roles [5][12] - A full strategy and portfolio review is underway, with conclusions to be shared at the Capital Markets Day on June 23, 2026 [5] Sustainability Achievements - Signify surpassed its 2025 target to reduce greenhouse gas emissions by 40% against the 2019 baseline, achieving double the pace required by the Paris Agreement [8] - Circular revenues reached 37% of sales, exceeding the 2025 target of 32%, primarily driven by serviceable luminaires in the Professional business [9] - Brighter lives revenues accounted for 34% of sales, surpassing the 2025 target of 32% [10] - The percentage of women in leadership positions remained at 27%, falling short of the 2025 target of 34% [11] Outlook - The company anticipates challenging market conditions to persist through 2026 and is not providing guidance on full-year sales at this stage [6][13] - An adjusted EBITA margin is expected to be between 7.5% and 8.5%, with free cash flow generation projected at 6.5% to 7.5% of sales [6][13]