This is my second home cinema system - the first a generic own brand which in itself wasnt bad at all.Overall impression of the Phillips - very easy to set up, sound quality good, picture exceptional for a budget piece of kit - I was lucky enough to track it down and review it in the flesh first and it compared well to systems costing £600.
I have it set up in quite a small room so the size of the speakers is not a problem, Im not sure how it would sound in a bigger room - I suspect not as well.
I give it only four stars for two reasons. First, the centre speaker is too small and you need to play around with the balances to get good dialogue (and you dont get any onscreen indication of volume changes while playing a disc which is a little annoying). Second, when left in pause mode the system switches itself off completely after around 10/15 minutes - very annoying if you are fielding a long phone call, you have to go through all the bother of reloading the disc.
But these are two minor criticisms, I would heartily recommend the system.