Strong Q4 performance narrows IMI 2020 loss
Ayala-led Integrated Micro-Electronics Inc. posted record-high revenue in the fourth quarter of 2020 amid a resurgence of global demand and improved operating efficiency, allowing the electronics manufacturing service firm to narrow its net loss for the full year.
IMI booked a net loss of $3.5 million for 2020, halving a net loss of $7.78 million seen in the previous year when the coronavirus pandemic had yet to bludgeon the global economy.
This was as IMI achieved its highest quarterly performance with a revenue record of $347 million in the fourth quarter of 2020, an increase of 12 percent over the same period in 2019, due to a surge in demand for electronics products.
“I am thrilled with IMI’s display of disciplined execution, delivering incredible results to close out a challenging year,” IMI president and chief executive officer Arthur Tan. “With a streamlined organizational structure and focus on our long-term strategies, we delivered productivity improvements, sustained operating margin expansion, and improved cash flows. I am extremely proud of every IMI team member worldwide, whose tireless and dedicated work allowed us to meet the needs of our diverse customer base in spite of this global pandemic.”
In a disclosure to the Philippine Stock Exchange on Wednesday, IMI said the strong rebound of its focus segments, along with improved manufacturing efficiency, drove fourth quarter gross margin levels from 7.4 percent in 2019 to 10.3 percent last year.
Non-Generally Accepted Accounting Principles (GAAP) net income of $18.1 million was partly offset by non-operating adjustments, including mark-to-market losses on minority interest put options, asset impairments, and insurance provisions, resulting in a reported net income of $8.4 million for the fourth quarter of 2020.
For the full year, revenues summed up to $1.14 billion while net loss further narrowed to $3.5 million compared to the $11.89 million net loss in the first nine months.
IMI’s wholly-owned businesses grew by 6 percent year-on-year to $262 million of revenue in the fourth quarter.
