Ayala-led electronics manufacturer Integrated Micro-Electronics Inc. posted a sharp year-on-year decline in first quarter net profit as a global market slowdown impacted on margins and some business segments.
For the first three months, IMI posted a net income of $335,000, shrinking from the $5.6-million bottom line posted in the same period last year, the company disclosed to the Philippine Stock Exchange.
Consolidated revenues for the first three months amounted to $323 million, relatively flat compared to last year.
Margins remained constrained by a global market slowdown, cited by IMI as a fallout from the trade wars, political uncertainty in the United Kingdom and the ongoing electronic component shortage.
Gross profit for the first quarter stood at $29.1 million, with margins declining to 9 percent from 10.6 percent last year.
IMI continued to grow its target business segments— automotive, industrial and aerospace—which accounted for 77 percent of total revenue for the quarter. The automotive business grew by 27 percent year-on-year to $168 million, while the industrial segment grew by 10 percent to $68 million. Aerospace posted a 6-percent growth from last year.