Koninklijke Philips N.V. NY Registry Shares

laying a platform play there that actually really resonates well with our customers. And as part of that, actually, we have strong partnerships. Massimo is part of that. We don't think that actually there will be any change. That's also not what kind of has been signaled because we have the biggest access to customers globally in terms of monitoring base. So there's a real intrinsic interest to actually connect with us to the customer. And there's also mutually an interest from us to actually being providing in a vendor neutral way, consumable solutions that are out there in the market. And that has been benefiting the partnership with Massimo in past years. And we believe that will be also going forward. So we see it as at least net neutral. And I think we are excited to work also with any new owner there to kind of grow the franchise and make it work for our customers and to differentiate also first competition, because this is one of the strongholds, the combination that we have very strong cybersecurity platform with the broadest data reach with the medical device integration and the consumables actually makes it very appealing in a very complex environment for our customers to do business with us. And that has been driving all these long-term partnerships and also the shared gains in monitoring along the way.

Yeah. Thank you, Roy. Let me take your second question, Veronica, on inflation. And if I think about where we are in the year, let's first start with Q1. We had a very solid Q1 with margin expansion ahead of our expectations. So that gives us confidence that, again, we are able to not only compensate some of the headwinds we're seeing, but even expanding our margins despite that. Then of course we're seeing cost inflation, we're seeing it in freight and we see it in electronic components and in plastics, but we have already started taking mitigation actions. We started building them. Those are a little bit backend loaded and they will start coming in the second half of the year. And to take you through what we're doing, first of all, we're doubling down on bill of material productivity. We've always said there's more to go after, and we're now doing that with increased speeds. We're going after our AI-enabled efficiencies, where we've seen some early progress already in Q1, and we continue to see that as well. And then, as well, we're doing selective pricing as well. Other element is really the tariff tailwind that we're seeing a little bit, that we're seeing also in Q1, and we'll see that versus our expectations being a little bit better going forward. Now, you also know that we've been a little bit prudent in the way we've put our full year guidance out as well. So that, of course, has given us a little bit of buffer as well. So now to your question on Q2 specifically and Q2. So if we think about Q2, a couple of things that I think are important to realize. Of course, Q2 is the last quarter where we still didn't have the full impact of our tariffs in 2025. So, and you know, we've spoken about it a lot of times, the way the tariff impact flows into our P&L, which first goes into inventory and then it flows into into our P&L. So we have, again, a tough comparable from a tariff perspective. And then also we see the cost inflation, of course, starting to hit us. We have already taken the mitigation actions, but it will take a little bit of time before that starts positively impacting our P&L. So we therefore expect our mitigation impacts to be a little bit more back-end loaded.

Well, thank you. Thank you. We will now go to the next question. Your next question comes from Julian Dormois of Jefferies. Please state your question.