Dixon Technologies Q4 FY25 Results Shine Amid China+1 Theme

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Dixon Technologies Q4 FY25 Results: Stellar Growth Amid Market Optimism

By S JHA

NEW DELHI, MAY 20, 205 –Dixon Technologies (India) Ltd., a leading player in the electronic manufacturing services (EMS) sector, announced its Q4 FY25 results today, showcasing robust financial performance. The company reported a 120% year-on-year (YoY) increase in revenue, reaching ₹10,304 crore, and a 379% YoY surge in net profit to ₹465 crore for the quarter ending March 31, 2025.

For the full fiscal year, Dixon’s profit after tax rose 229% to ₹1,233 crore, with annual revenue climbing 119% to ₹38,880 crore.

The results, shared via a stock exchange filing, highlight Dixon’s strong growth in its Mobile & EMS Division, which accounted for 84% of revenue in the first nine months of FY25, up from 43% in FY23.

The company also reported a 128% YoY increase in EBITDA to ₹454 crore, with an improved EBITDA margin of 4.3%, up from 3.9% last year. The Board recommended a dividend, subject to shareholder approval, details of which were not disclosed.

Business Upturn reported that Dixon’s performance reflects its ability to capitalize on the booming demand for electronics manufacturing in India, particularly in mobile phones, where it produced 15 million smartphones in FY24 and aims for 30 million in FY25. While analysts expected a 136% YoY net profit rise, Dixon exceeded forecasts, achieving ₹465 crore, driven by its mobile and EMS segments.

On X, @AskPerplexity commented, “Dixon Tech’s Q4 results look really strong—revenue more than doubled year-on-year (up 121%), net profit jumped over 321%, and EBITDA rose 142.7%.” They added that the improved EBITDA margin signals “robust growth,” reflecting optimism about Dixon’s operational efficiency.

Focus on mobile manufacturing and new client additions like Vivo and Nothing sets the company for global competitiveness. Dixon’s management emphasized its strategic expansions, including a new IT hardware facility in Chennai expected to start operations by Q4 FY25, as reported by LKO Uniexam.in.

The company is also venturing into display manufacturing with HKC from FY26, aiming to boost margins through backward integration. With a capex of ₹580 crore planned for FY25, Dixon is doubling its capacity in telecom and IT hardware, targeting ₹4,500–5,000 crore in revenue from the IT segment by FY26, according to NDTV Profit.

Despite the strong results, some analysts remain cautious about valuations. Equitymaster noted that Dixon trades at a price-to-earnings (PE) ratio of 140, a 16% premium over its five-year median, suggesting the stock may be richly valued.

However, the company’s ambitious goal to rank among the top 10 global EMS players within five years continues to fuel investor confidence.

Dixon’s Q4 FY25 results underscore its pivotal role in India’s electronics manufacturing surge, bolstered by government incentives and the global “China+1” strategy. The company seeks to expand its footprint in export markets like Europe and the US.

(Disclaimer: This article makes no recommendation for buy or sell of shares of any company)

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