Assuming we can convert our existing order book for the Diagnosis & Treatment and Connected Care businesses as planned, elective procedures normalize, and consumer demand gradually improves, we aim to return to growth and improved profitability for the Group in the second half of the year. Consequently, for the full year 2020 we aim to achieve a modest comparable sales growth and Adjusted EBITA margin improvement. Given the current uncertainty and volatility, we will not provide more specific guidance for 2020 at this time."
Business segment performance
The Diagnosis & Treatment businesses recorded 2% comparable sales growth, led by mid-single-digit growth in Diagnostic Imaging, partly offset by a low-single-digit decline for Image-Guided Therapy due to the postponement of elective procedures. Comparable order intake was in line with Q1 2019, with double-digit growth for Diagnostic Imaging offset by a double-digit decline for Image- Guided Therapy. The Adjusted EBITA margin increased to 6.3%, as growth and productivity were partly offset by an unfavorable mix.
Comparable sales in the Connected Care businesses increased 7%, with double-digit growth in Sleep & Respiratory Care. Comparable order intake showed a very strong double-digit increase, driven by strong demand for patient monitors and hospital ventilators. The Adjusted EBITA margin increased to 9.8%, mainly due to growth and productivity.
The Personal Health businesses recorded a comparable sales decline of 13%, with all businesses declining due to significantly decreased consumer demand, resulting in an Adjusted EBITA margin of 7.1%.
Philips' ongoing focus on innovation and strategic partnerships resulted in the following key events in the quarter:
• Building on Philips' initial increase in hospital ventilator production in the first quarter, which already enabled the supply of additional ventilators to hospitals in the most affected regions in China, southern Europe and the US, Philips plans a further fourfold production increase by the third quarter of 2020. This plan will enable Philips to deliver 43,000 fully featured, critical care ventilators to the US government in 2020, while simultaneously delivering such ventilators to the rest of the world.
• To further address the unprecedented demand for ventilators, Philips introduced the Philips Respironics E30 ventilator for emergency use when a fully featured critical care ventilator is not available. Philips is targeting a production of the new ventilator - which has been designed for large-scale production - of 15,000 units per week in April.
