IMI H1 net income surges 35% to $15.2M


Integrated Micro-Electronics Inc. saw its first-half net income surge by 35 percent to $15.2 million from $11.3 million a year earlier, citing improved operations and cost efficiencies as well as an enhanced portfolio mix.

The Ayala-led company managed to improve its performance in January to June despite the presence of foreign exchange headwinds,” Arthur Tan, IMI president and chief executive officer, said in a statement on Wednesday.

“We kept our focus on higher margin segments as we persistently improved manufacturing line productivity,” Tan said.

Revenue, however, declined by 3 percent to $416.3 million on the impact of a weak euro and a slowdown in demand for finished products in the computing sector, the Ayala-led electronics and semiconductor maker said.

“Excluding the impact of year-over-year changes in foreign exchange rates, revenues would have been 2.4-percent higher,” Tan said.

Apart from its Philippine base, the company also operates in China, Singapore, Europe and Mexico.

IMI’s Europe and Mexico operations recorded combined revenues of $137.6 million – largely flat year-on-year as the impact of a weak Euro helped to offset the strong performance of its automotive operations in those markets.

The facility in China posted a 9-percent decrease in first semester sales to $146.1 million due to lower volume in its telecommunications infrastructure programs.

The electronics manufacturing services in the Philippines was also flat at $109.5 million, as the strong automotive segment and recoveries in industrial segment helped to ease the slower demand for computer peripherals.

The Philippine operations account for 25 percent of revenues, with 39 percent coming from China and Singapore, and 32 percent from Europe and Mexico.

IMI has allotted P1.2 billion in capital expenditures this year, mainly from the P1.6 billion from a follow-on offering last December 5.


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