LAGUNA, PHILIPPINES — Integrated Micro-Electronics Inc. today announced first-quarter net income rose 36% year-over-year to $6.8 million.

The jump was driven by the company’s focus on higher margin segments, productivity and cost-saving efforts.

Revenues for the March period fell 2% from a year ago to $201.2 million but increased 3.5% sequentially.

The company’s Europe and Mexico operations generated $68.9 million revenues in the first quarter, up 3% year-over-year as a weaker euro partially offset gains from the company’s growing automotive business in Bulgaria. Excluding the impact of currency exchange rates, total revenue in the region would have increased 19%.

IMI China's revenues fell 5.9% to $68.8 million due to slower growth of the country’s 4G telecommunications sector after the strong ramp up of the 4G rollout to major cities in 2014. EMS operations in the Philippines posted $52.7 million in revenues, down 3.7% from the same period last year due to softer demand from the computing sector.

In a statement IMI chief finance officer Jerome Tan said, “The weakness in euro affects the company's revenues, but due to our strategy to match our costs with the same currency and our global diversification, its impact on our profit is lessened. Our new business pipeline remains healthy, and we expect to be on track for the medium term growth with significant multisite new businesses awarded recently.”

CEO and president Arthur Tan said, "As we press on, we look forward to line expansions in Bulgaria, Jiaxing and Mexico to cater to increased demand in our target market of automotive electronics.” 

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