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Hot Pursuit News

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(21 Jan 2025, 10:33)

Dixon Tech skid after Q3 PAT plunges 47% QoQ to Rs 216 cr

Dixon Technologies (India) tumbled 11.29% to Rs 15572.35 after the company’s consolidated net profit declined 47.48% to Rs 216.23 crore on 9.37% fall in revenue from operations to Rs 10,453.68 crore in Q3 FY25 over Q2 FY25.


On year on year (YoY) basis, the company’s consolidated net profit and revenue surged 122.76% and 116.96% respectively in Q3 FY25.

A foreign broker issued an “underperform" rating with a price target of Rs 12,600, suggesting potential 28% drop from Monday's closing levels. Brokerage citied that the mobile PLI tenure expires in 2026 and that consumer electronic sales were down 32$% on a year-on-year basis. At FY26, P/E ratio of 107x makes Dixon's risk-reward appear stretched.

Profit before tax (PBT) stood at Rs 285.13 crore in Q3 FY25, steeply higher than Rs 125.74 crore in Q3 FY24.

EBITDA surged 113% to Rs 398 crore in Q3 FY25 as compared with Rs 187 crore in Q3 FY24.EBITDA margin fell to 3.8% in Q3 FY25 from 3.9% in Q3 FY24.

Revenue from mobile & EMS divisions soared 190% to Rs 9,305 crore during the quarter as against Rs 3,214 crore in Q3 FY24. Operating profit surged 210% to Rs 322 crore in Q3 FY25 as compared with Rs 104 crore posted in same quarter last year.

In Q3 FY25, revenue from Home Appliances was at Rs 315 crore (up 9% YoY), and Lighting Products revenue stood at Rs 201 crore (down 7% YoY) while revenue from consumer electronics & appliances stood at Rs 633 crore (down 32% YoY).

Dixon Technologies (India) transformed from being a manufacturer of electronic goods to leading multi-product corporation with widespread activities. The company is primarily engaged in the manufacturing of electronics as its core business activity.

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