AMSTERDAM, (Reuters) – Signify, the largest manufacturer of lighting products in the world, posted a 9% increase in core earnings for its first quarter on Friday. This exceeded analysts’ expectations. The growth in demand for energy-saving lights was outweighing persistent supply chain issues.

At 1.8 billion euros, sales rose 6.4% compared to a previous year. Governments and businesses continue to push for energy-efficient lighting solutions.

The company was plagued by component shortages, logistics problems and poor results throughout 2021.

Eric Rondolat Chief Executive Officer stated, “Despite these tough conditions, Signify saw strong momentum within the professional channel in America and in many other geographies.”

Rondolat stated that he expects comparable sales growth of 3%-6% in 2018, provided that the Chinese market is stable and there are no supply chain issues.

Core earnings for the first quarter were 187 million euro ($197 million).

According to an analyst poll, the average adjusted earnings before interest taxes and amortization (EBITA), which was compiled by company executives, would be stable for January-March at 173,000,000 euros on sales of 1.7billion euros.

($1=0.9505 euros)