Philips, the Dutch lighting and consumer electronics group, has more than doubled its earnings after disposing of its loss-making television business.
Net profit for the third quarter was 169 million euros ($US220 million) compared to 74 million euros in the same period last year. Shares in the company rose 4.6% on Monday.
But Philips warned it is still facing tough times due to the continuing debt crisis and will have to close some factories that make traditional bulbs.
"We continue to experience strong economic headwinds on a global scale, which affect growth going forward," said chief executive Frans van Houten.
"We have full confidence in our ability to continue improving the operational and financial performance of the company.
"We now expect restructuring and acquisition-related charges of approximately 300 million euros in the fourth quarter of 2012."
Last year, the company made a loss of 54 million euros on televisions between July - September.