Chips and ships: Philips cuts outlook as supply chain problems grow

FILE PHOTO: Dutch technology company Philips' logo is seen at the company headquarters in Amsterdam, Netherlands, January 29, 2019. REUTERS/Eva Plevier

AMSTERDAM (Reuters) - Dutch health technology company Philips on Monday cut its outlook for sales and profit growth this year and said the global supply chain problems that added to its growing list of worries in the third quarter would likely intensify.

Amsterdam-based Philips said comparable sales dropped 7.6% in the July-September period to 4.2 billion euros ($4.9 billion) as a shortage of electronic components such as memory chips and a lack of shipping containers hampered production and delivery.