IMI earnings rises to $41.4 M

Integrated Micro-Electronics Inc. (IMI) said its nine-month income grew to $41.4 million from $24.1 million.

This was on the back of a 27 percent growth in revenues during the period.

However, gross profit margins declined from last year’s 11 percent to 10.6 percent due to higher material, production and logistics costs arising from the global component shortage.

IMI said the nine-month results included non-operating income from recent transactions such as the sale of a Shenzhen entity. These are offset by a partial impairment of recorded goodwill on the acquisition of IMI’s China facilities triggered by slowing growth in the region.

Weakness of the RMB and the euro also resulted in significant foreign exchange losses.

“Excluding these one-offs, forex impact and other adjustments, net income is at $28.9 million versus last year’s adjusted net income of $27.6 million,” IMI said.

IMI chief executive officer Arthur Tan said the fast-paced evolution of automotive and industrial segments resulting in unexpected demand for components is creating pressure in constrained markets.

“As we face the current challenges, IMI continues to strive in setting the bar to key technological advancements and remain ahead of the curve. We continue to expand our reach in countries which we believe will reap positive benefits and develop a competitive edge in the global market,” Tan said.

The company recently announced the inauguration of the Serbia facility which will boost the manufacturing of electronic car components and will elevate its position in the global automotive EMS market.

Earlier this year, IMI also announced the formation of a joint venture company to serve the market for copperbased metal mesh touch sensors which will strengthen the company’s portfolio of differentiated and value-added sensor technology.