Royal Philips Electronics has reported an unexpectedly sharp rise in profits for the third quarter of 2009.

On Monday, it announced profits of 176 million euros, almost three times as much in the corresponding period last years. Analysts had expected a loss of around 30 million euros. The company's turnover did decline, however, by ten percent.

Philips is currently busy with cost reductions. Earlier this year it announced that it would scrap 6000 jobs.

Photo of Philips headquarters in Amsterdam from Wikimedia Commons