Ayala Corp. owned Integrated Micro-Electronics, Inc. (IMI), a global leader in electronics manufacturing services, trimmed its net loss in 2024 to US$77.05 million from US$118.27 million in 2023 amid prolonged recovery challenges, particularly in the automotive and industrial markets.
In a disclosure to the Philippine Stock Exchange (PSE), IMI revealed significant 12% decline in sales for fiscal year 2024 versus 2023. IMI reported revenues of US$1.1 billion in 2024 with US$981 million generated from core businesses.
Under the leadership of CEO Louis Hughes, IMI undertook a comprehensive restructuring initiative. The company streamlined its management structure by flattening the organizational hierarchy and enhancing accountability at all levels. To optimize its global footprint, IMI closed and rationalized facilities in California, Malaysia, Singapore, Japan, and Chengdu.
The one-time expenses related to these activities, along with additional provisioning in the company’s balance sheet, have resulted in a core net loss of US$24.6 million for the year and an additional US$11.9 million related to impairment of goodwill from our non-core subsidiary.
Without these one-time expenses, adjusted net income for wholly-owned subsidiaries come in at US$3.7 million. VIA Optronics ends the year with US$118 million of revenues and US$13.3 million of net loss attributable to IMI including one-time expenses for headcount rationalization and the delisting process from the New York Stock Exchange amounting to approximately US$4.3 million.
Despite facing continued challenges in the display market, the company made significant strides in innovation and partnerships. Hughes described 2024 as a transformative year as the company took decisive steps to position for sustainable growth in a rapidly evolving market.
“While the restructuring efforts resulted in one-time expenses, they were essential to creating a leaner, more agile organization. We are already starting to see positive results from our initiatives, and we are looking forward to seeing the full effect of these actions in the years to come,” said Hughes.
As a recognized global leader in automotive electronics, Hughes said that one of its goals now is to extend this expertise and absolute commitment to quality into new markets including the industrial and medical sectors. “We believe that this direction will allow us to unlock more opportunities for sustainable and profitable growth for IMI.”
