AYALA-LED Integrated Micro‑Electronics Inc. (IMI) returned to profitability in 2025 after two years of restructuring, posting a consolidated net income of $13.5 million on the back of stronger margins, improved operational efficiency, and reduced debt.
The electronics manufacturing services firm on Friday reported group revenues of $996 million for the year, including $911 million from its wholly owned core businesses, despite softer demand in the global automotive market.
Core gross margin improved to 9.6 percent in 2025 from 7.3 percent a year earlier while core adjusted earnings before interest, taxes, depreciation, and amortization (Ebitda) rose 42 percent to $65.6 million from $46.2 million in 2024.
Core net income reached $20.3 million, marking a turnaround from losses recorded in previous years, which the company attributed to its multiyear transformation program, which included streamlining operations and divesting noncore businesses.
During the year, IMI sold its manufacturing facility in the Czech Republic and transferred key customer programs to larger operations in Bulgaria and Serbia.
In China, the company consolidated its Kuichong site in Shenzhen into its larger Pingshan facility to increase utilization and lower factory overhead costs.
IMI also divested VIA Optronics in December, a noncore subsidiary that had struggled to achieve a sustainable turnaround, allowing the company to focus resources on businesses with stronger competitive advantages and long-term growth potential.
Operating cash flow for the year reached $73.2 million, supported by improved earnings and tighter working capital management.
The company used the cash to reduce high-interest borrowings, bringing net debt down to $119.5 million from $265 million at the end of 2023.
Capital expenditures remained controlled at $8.1 million in 2025, focused on strengthening machining and plastic injection capabilities across its global sites.
IMI continued to expand its presence in automotive camera and lighting systems, where it has established expertise in high-precision manufacturing.
The company also strengthened its position in industrial markets such as security and access control, data center infrastructure, smart city technologies, sensors, tracking systems, and medical equipment.
In addition, IMI advanced its power module packaging business, which supports semiconductor and power integrated circuit manufacturers, as demand grows for more efficient and higher-density power solutions.
IMI Chief Executive Officer Louie Hughes said the company’s financial performance reflected the impact of its transformation initiatives.
“2025 marks a turning point for IMI. Even with slightly lower revenues, we delivered stronger margins, improved productivity, and a healthier balance sheet,” he said.
Hughes added that the company aimed to capture opportunities in automotive camera and lighting systems, industrial electronics, and power module packaging to achieve sustainable and profitable growth in the coming years.
Integrated Micro-Electronics shares on Friday gained P0.09, or 2.64 percent, to close at P3.50 each.