The Ayala Group’s global electronics manufacturing services unit, Integrated Micro-Electronic Inc., has successfully transferred the manufacturing activities of IMI Kuichong to its nearby facility in Pingshan, Shenzhen, as part of continued efforts to drive efficiency across the organization.

In a disclosure to the Philippine Stock Exchange, the firm said final production activities in IMI Kuichong were concluded yesterday, and consolidation efforts now shift towards the seamless integration of operations into the Pingshan facility over the coming weeks.

“Throughout this transition period, IMI’s management team will prioritize business continuity and ensure that key customer accounts from IMI Kuichong will be served with minimal disruption,” said IMI.

It added that, “This strategic move is expected to further improve operational efficiency, increase capacity utilization in IMI Pingshan and further streamline IMI’s footprint in China.”

IMI said it remains committed to delivering world-class manufacturing solutions while continuously aligning its operations with evolving customer needs and shifting market dynamics.

IMI is seeing the fruit of its right-sizing efforts, as it registered a financial turnaround in the first half of 2025, with a net income of $7.6 million, compared to a net loss of $8.8 million in the same period last year.

The firm said group revenues reached $497 million, with core revenues contributing $446 million.

Core earnings before interest, taxes, depreciation, and amortization (EBITDA) rose to $32.6 million, representing a 7.3 percent margin, while core net income grew to $9.8 million, up from $3.7 million in the first semester of 2024.

This positive shift was primarily driven by operational efficiency initiatives and disciplined cost control. The company achieved a $16.5 million reduction in core fixed overhead and SG&A (selling, general, and administrative) expenses, with an additional $11.4 million in cost savings from VIA Optronics.

“Our first-half results reflect strong progress toward our group EBITDA margin target, with our core business already delivering a 7.2 percent margin,” said IMI Chief Executive Officer Louis Hughes.

He added, “Despite ongoing market softness, we are collaborating closely with customers to optimize material costs and drive profitability. Our focus on operational efficiency remains firm.”

On July 31, IMI successfully completed the sale of its Czech Republic facility for €10 million. High-value customers from the site have been transitioned to IMI’s Bulgaria and Serbia operations, enhancing both service and profitability.

Last February, IMI announced the strategic closure of its facility in Chengdu, China. Production at IMI Chengdu concluded in December 2024, after all customer commitments had been successfully met. Although some remaining customer projects were seamlessly transferred to other IMI sites, all customer commitments had been fulfilled.