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Integrated Micro-Electronics Inc. (IMI) announced that its first quarter 2018 revenues stood at $325.8 million, up 38% year-on-year buoyed by the strong revenue growth of its automotive, industrial and telecommunications segments, and contributions from its recently acquired entities. Net income of $5.6 million includes a one-off expense of $3.0 million attributed to the Shenzhen relocation. Ex-one off, net income at $8.6 million remained at par with last year’s performance.
Arthur Tan, IMI chief executive officer, says, “More than half of our first quarter growth was contributed by the capabilities-driven acquisitions in the past two years. The strategies we executed are now creating relevant scales which allowed us to expand our portfolio of expertise.”
Revenues from acquired businesses amounted to US$78.7 million in the first quarter of 2018. VIA Optronics reported $52.2 million, more than double than that of Q1 last year boosted by its top customer in the consumer segment. STI, on the other hand, posted $26.6 million in revenues driven by the aerospace and industrial sectors which comprise 73% of its total revenues.
Revenues from Europe operations grew 30% year-on-year to US$86.7 million while Mexico revenues registered a 20% increase year-on-year to $22.9 million, both remain dominated by lighting, controllers and driver assistance systems from their automotive segment.
China revenues rose 23% to $74.5 million strengthened by new industrial applications and automotive platforms which have started to ramp up.
Philippine revenues of $66.3 million remained flat from last year as the increase in new industrial and camera businesses offset the declining demand in the security and medical device business.
“We are seeing the effects of the current component shortages across the various markets that are reflected in longer lead times resulting to higher inventory levels, increased costs to expedite deliveries and higher purchase price. But this situation has not prevented IMI from achieving its target growth.” Gilles Bernard, IMI president and chief operating officer stated.
IMI chief finance officer Jerome Tan said, “With the recent completion of the stock rights offering, IMI’s balance sheet is stronger with a gross debt-to-equity ratio of 0.83:1 which puts the company in a good position to capitalize on new business growth.”
Integrated Micro-Electronics Inc. (IMI), the manufacturing portfolio of AC Industrial Technology Holdings, Inc., a wholly-owned subsidiary of Ayala Corporation is among the leading global manufacturing solutions expert in the world. IMI ranks 18th in the list of top 50 EMS providers in the world by the Manufacturing Market Insider (March 2018 edition), based on 2017 revenues. In the automotive market, it remains the sixth largest EMS provider in the world per New Venture Research.