Philips Temporarily Stops Selling New Sleep Apnea Devices in the US The company agreed to this in a settlement with the US regulatory agency FDA.
The healthcare technology group announced this while releasing its quarterly and annual figures. Agreements with the FDA still have to go through a US court.
These agreements, among others, require Philips to first meet several conditions before the company can sell new sleep apnea devices in the United States. It may take years.
Philips has not admitted any fault or liability in this settlement with the FDA. The company expects these contracts to result in an additional burden of 363 million euros.
The company had to recall millions of sleep apnea devices starting in 2021 because the insulation foam could loosen, harming patients' health. The issue has already cost Philips hundreds of millions in compensation for the defective machines.
The loss is lower than the previous year
Last November, the FDA again warned of problems with Philips sleep apnea devices. This time it's about the DreamStation 2 sleep apnea device overheating. Reports were received of fire, smoke, burns and other signs of overheating, the regulator wrote.
The healthcare technology company's woes haven't hindered revenue growth. Turnover was 18.2 billion euros, up 7 percent compared to the previous year. It is not enough to make a profit. Philips wrote off a full-year loss of 463 million euros. That's also an improvement on 2022, when the loss is 1.6 billion euros.
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