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Signify Press Release October 29 , 2021 Signify reports third quarter sales of EUR 1.6 billion , operational profitability of 11.1 % and a free cash flow of EUR 85 million Third quarter 2021¹ Signify's installed base of connected light points increased from 86 million in Q2 21 to 92 million in Q3 21 Sales of EUR 1,643 million ; Comparable Sales Growth of -4.8 % , impacted by global supply chain disruptions Order book increased by 90 % in Q3 21 vs. Q3 20 ● ● LED - based sales represented 83 % of total sales ( Q3 20 : 82 % ) Adj . EBITA margin of 11.1 % ( Q3 20 : 11.5 % ) Net income of EUR 94 million ( Q3 20 : EUR 90 million ) Free cash flow of EUR 85 million ( Q3 20 : EUR 214 million ) Net debt / EBITDA ratio of 1.8x ( Q3 20 : 2.2x ) Eindhoven , the Netherlands Signify ( Euronext : LIGHT ) , the world leader in lighting , today announced the company's third quarter 2021 results . " I am encouraged by the strong demand for connected lighting and the performance of our growth platforms in what has been a particularly disrupted external environment this quarter . This is evidenced by a healthy order book , which increased by 90 % in comparison to the same period last year . At the same time , global supply chain issues caused by component shortages and logistics challenges impaired our ability to meet the high demand . We swiftly took multiple mitigating actions , while simultaneously managing our prices to offset the structural part of the inflation . These actions have enabled us to deliver a double digit adjusted EBITA margin , while continuing to invest in our digital initiatives , " said Eric Rondolat , CEO of Signify . " With the understanding we have today of the external uncertainties for Q4 , we are set to achieve the lower end of our 2021 guidance range . We have the plans in place to deliver backlog orders and minimize disruption to our customers . We believe that these unprecedented supply chain issues are transitory and are confident in our ability to convert demand into sales growth as the situation stabilizes . The fundamentals of our business are stronger than ever , driven by the ever - growing need for energy - efficient and digital lighting technologies . " ¹This press release contains certain non - IFRS financial measures and ratios , such as comparable sales growth , EBITA , adjusted EBITA and free cash flow , and related ratios , which are not recognized measures of financial performance or liquidity under IFRS . For a reconciliation of these non - IFRS financial measures to the most directly comparable IFRS financial measures , see appendix B , Reconciliation of non - IFRS financial measures , of this press release .