Integrated Micro-Electronics Inc. (IMI) reported an operating profit of $ 20.7 million for the period January-June 2016, although its total revenue fell slightly from $ 461.3 million to $ 497 million, An increase of 19% over the same period.
Focused on high-margin product segment, continuous improvement in operations and strict cost management contributed to the increase in operating income.
“The increase in revenue comes from expanding our business in high-margin automotive and industrial segments,” said Gilles Bernard, president and chief operating officer of IMI. “Product line productivity and cost-saving programs have also had a positive impact.”
The company reported net income after taxes of $ 15 million for the first half, slightly down 1.4% from last year.
Capital investment in the first half of 23.2 million US dollars, mainly in Mexico, Bulgaria, China and the Philippines, to support the expansion of new production lines. Automotive and industrial production lines will begin production ramp-up in the fourth quarter of this year.
IMI’s operating revenues in Europe and Mexico were $ 115.4 million in the first half of the year, up 11.5% year-over-year, primarily due to increased demand for automotive body control and lighting systems in Bulgaria and the Czech Republic. As Mexico’s injection molding and assembly line performance eye-catching, revenue grew 8.5%
In the first half of the company’s revenue in China 130.4 million, down 10.7%, mainly due to weak consumer electronics performance. The telecom infrastructure business grew by 6.8% year-on-year.
IMI EMS business in the Philippines to $ 1,960 million with the same period. Automotive camera, security and access control, asset tag sensors and lighting control continued to grow, partially offsetting the weak storage device business.
As of the end of June 2016, the company’s balance sheet in good condition, the ratio of current ratio and debt equity ratio was 1.44: 1 and 0.55.
IMI CEO Arthur Tan said: “We will continue to expand the production line, ready to meet the next wave of positive development trends.”
“The relentless rise of technological innovation has given businesses speed and agility, and has performed better to ensure the success of the company.We are optimistic and optimistic about IMI’s leadership in maintaining relevance and leading the way in technology development,” added Tan. .