Dixon Technologies (DIXON) Q1 25/26 earnings summary

Executive summary

• Q1FY26 consolidated revenue surged 95% year-over-year to INR 12,838 crore (₹12,83,566 lakhs), with EBITDA up 89% to INR 484 crore (₹48,400 lakhs) and PAT doubling to INR 280 crore (₹28,002 lakhs).

• Free cash flow improved to INR 57 crore from negative INR 124 crore year-over-year, and net debt position shifted to net cash of INR 214 crore.

• ROCE rose to 49.1% and ROE to 33.9% as of June 30, 2025, reflecting enhanced profitability and capital efficiency.

• Exceptional gain of INR 250.37 crore (₹25,037 lakhs) recognized from the sale of joint venture shares.

• Strategic investments in capacity expansion, backward integration, and new JVs are positioning the business for future growth.

Financial highlights

• Consolidated revenue for Q1FY26 was INR 12,838 crore, up 95% year-over-year.

• Consolidated EBITDA reached INR 484 crore, up 89% year-over-year.

• Consolidated PAT was INR 280 crore, up 100% year-over-year.

• PBT after JV share grew 103% to INR 366 crore (₹36,552 lakhs), and PAT margin improved to 2.2%.

• Earnings per share (EPS) for the quarter was ₹46.47 (basic), compared to ₹23.35 in the same quarter last year.

Outlook and guidance

• Expecting at least 15% quarter-on-quarter volume growth in mobile phones for Q2FY26.

• Confident of achieving 50% revenue growth for FY26, supported by capacity expansion and new product categories.

• Non-mobile segments like telecom, refrigerators, washing machines, lighting, and IT hardware are projected to see significant growth over the next few years.

• Management highlighted strong growth momentum across segments, with improved cash flow and working capital efficiency.

• Final dividend of ₹8 per equity share recommended for FY25, subject to shareholder approval.