Breaking Down IMI plc Financial Health: Key Insights for Investors

At the heart of IMI plc's story is a clear purpose: to engineer solutions that tackle real-world challenges across energy, healthcare and automation-delivered through the integrated 'One IMI' model that blends commercial excellence, market-led innovation and continuous improvement; the group's scale is striking, operating in over 50 countries with a workforce of more than 10,000 employees, generating £2.2 billion of revenue in 2024 and leaning into a higher-margin aftermarket mix that now represents about 45% of group sales; that mission and vision-centered on enhancing safety, productivity and sustainability-are reinforced by measurable performance, including a 5% organic adjusted operating profit growth in H1 2025, and lived daily through core values-Always care, Be curious and Create impact-and engagement initiatives such as IMI Way Day that bind strategy, talent development and customer-focused execution together

IMI plc (IMI.L) Intro

• Global footprint: operations in over 50 countries, combining global scale with local engineering and service capability.
• Workforce: more than 10,000 employees across manufacturing, R&D, sales and aftermarket services.
• 2024 financial scale: reported revenues of £2.2 billion, reflecting resilience in end markets and a high-margin service mix.
• Aftermarket focus: higher-margin aftermarket content now represents approximately 45% of group sales, underpinning recurring revenue and improved cash conversion.

• To engineer dependable fluid and motion control solutions that keep critical infrastructure safe, efficient and sustainable.
• To deliver measurable customer value through product reliability, digital enablement and responsive service.

• Be the partner of choice for customers requiring precise control, safety and uptime - enabling smarter, greener infrastructure worldwide.

• Customer focus - prioritise uptime, lifecycle value and application expertise.
• Innovation with purpose - develop technologies and digital services that increase efficiency and reduce environmental impact.
• Operational excellence - continuous improvement, lean manufacturing and a disciplined commercial approach to protect margins.
• Integrity and safety - maintain the highest standards of product safety, regulatory compliance and ethical conduct.
• People and development - invest in skills, diversity and local leadership to support global growth.

• Grow aftermarket and services: increase recurring, higher-margin revenue streams (currently ~45% of sales).
• Market-led innovation: focus R&D on sectors with structural demand - energy transition, healthcare and automation.
• Commercial excellence: disciplined pricing, value-based selling and cross-business account management under One IMI.
• Operational improvement: drive productivity and cost efficiency to protect margins and fund capex for strategic growth.

• Investors: a larger aftermarket mix supports more predictable revenue and higher returns on invested capital.
• Customers: integrated product + service offerings reduce total cost of ownership and increase asset uptime.
• Employees: emphasis on skills development and safety aligns workforce capabilities with higher-value service delivery.

IMI plc (IMI.L) Overview

IMI plc (IMI.L) exists to engineer solutions that solve real‑world problems for customers by combining deep technical expertise with close partnerships to deliver measurable value. The company emphasises a high‑performance culture and purposeful talent development, aiming to create a better world through safer, more efficient and more sustainable engineering outcomes.

To be the leading engineering solutions partner across key industrial end markets - energy, automation and healthcare - by anticipating megatrends, scaling market‑led innovation and turning technical advantage into durable commercial value.

• Customer first: designed-for-purpose solutions and long‑term partnerships.
• Engineering excellence: deep technical skills, rigorous testing and continuous improvement.
• One IMI: collaborative, market-led operating model that removes silos and scales best practice.
• People and performance: develop talent, reward performance and foster inclusion.
• Sustainability and safety: reduce environmental impact while improving outcomes for customers and communities.

• Rising energy demand - IMI's fluid control and energy‑efficiency technologies address decarbonisation and grid resilience needs.
• Accelerating automation - IMI's control and precision engineering play into factory and process automation and Industry 4.0 adoption.
• Advancing healthcare - precision flow and control solutions support medical device and healthcare infrastructure reliability.

One IMI drives commercial excellence, market‑led innovation and continuous improvement across the group. Key focus areas include:

• Strengthening global commercial capability and pricing discipline.
• Accelerating R&D aligned to customer pain points and high‑growth end‑markets.
• Lean operational programmes and digital tools to raise productivity and margin resilience.

IMI's mission is reflected in its consistent financial delivery and capital strength. Examples and reported/announced metrics include:

• Highly cash‑generative operations underpin investment in product lines and market expansion.
• A strong balance sheet enables disciplined M&A and continuity of shareholder returns while funding organic innovation.
• Focus on return on capital employed (ROCE) and margin improvement underpins long‑term value creation.

• Commercial excellence - higher win rates and improved pricing in targeted segments.
• R&D intensity - focused investment in market‑led product development aligned to energy, automation and healthcare priorities.
• Continuous improvement - productivity programmes and digital initiatives improving cost base and delivery reliability.

Exploring IMI plc Investor Profile: Who's Buying and Why?

IMI plc (IMI.L) Mission Statement

• Position: Global leadership in fluid and motion control across energy, transport, industrial automation and healthcare.
• Customer impact: Solve safety-critical and productivity challenges with engineered solutions and services.
• Sustainability: Reduce emissions, improve efficiency and extend asset life through product and service innovation.
• Growth orientation: Prioritise higher-margin aftermarket and service content to increase resilience and margin capture.

• Aftermarket content: Approximately 45% of group sales now come from higher-margin aftermarket and services.
• Recent performance: 5% organic adjusted operating profit growth in H1 2025, reflecting the impact of margin-focused portfolio and pricing actions.
• Operating model: 'One IMI' integrates commercial excellence, market-led innovation and continuous improvement to drive consistent performance.
• Macro alignment: Strategy mapped to megatrends - rising energy demand, accelerating automation, and advancing healthcare.

• One IMI operating model: standardised processes, shared platforms and cross-business commercial excellence to scale best practices.
• Product & service innovation: target market-led R&D to increase higher-margin aftermarket content and life-cycle services.
• Customer segmentation: focus on mission-critical customers where safety, uptime and total cost of ownership drive premium pricing.
• Sustainability integration: design-for-efficiency and aftermarket retrofits to support customers' decarbonisation goals.

• Rising energy demand: valves, controls and monitoring for power generation, oil & gas transition and hydrogen-ready infrastructure.
• Accelerating automation: actuation, sensing and fluid control for robotics, process automation and data-enabled services.
• Advancing healthcare: precision flow and control components for critical medical equipment and pharmaceutical manufacturing.

IMI plc (IMI.L) Vision Statement

• Deliver high-performance control and motion technologies that improve efficiency, safety and environmental outcomes for customers worldwide.
• Invest in product and digital innovation to accelerate decarbonisation, resource efficiency and operational resilience.
• Grow selectively through organic investment and complementary acquisitions that strengthen core capabilities and end-market exposure.

• Always care - prioritises customers, colleagues and the planet: care for safety, product reliability and the environmental impact of solutions.
• Be curious - fosters continuous learning, technical curiosity and cross-functional problem solving to unlock new product and service opportunities.
• Create impact - focuses on measurable outcomes for customers and society, from energy and water savings to reduced emissions and improved asset uptime.

• IMI Way Day - an annual employee engagement day that reinforces the values through community activities, learning sessions and recognition schemes. Participation typically involves thousands of employees across regions, with local volunteering and skills-sharing projects.
• Leadership and performance frameworks link rewards, career progression and KPIs to value-based behaviours: safety metrics, customer satisfaction scores (NPS), and sustainability targets.
• Product development processes and innovation programmes require cross-functional review panels to demonstrate how proposals embody "Be curious" and "Create impact."

• Customer outcomes - IMI products and services target measurable gains (e.g., % energy saved, % reduction in downtime) that translate into ROI for operators and reduced lifecycle emissions.
• Employee engagement - value-led programmes such as IMI Way Day and internal learning have supported retention and productivity improvements; value-aligned KPIs are reflected in talent development metrics.
• Sustainability impact - product and process innovations are designed to contribute to IMI's climate targets and circularity ambitions, informing capital allocation and product roadmaps.