Dixon Technologies (DIXON) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 consolidated revenue was ₹10,803 crore, up 3% year-over-year; nine-month revenue reached ₹38,991 crore, a 36% increase year-over-year.

• EBITDA for Q3 FY26 was ₹546 crore, up 37% year-over-year; PAT for the quarter was ₹321 crore, up 48% year-over-year.

• Adjusted Q3 FY26 revenue was ₹10,678 crore, with EBITDA up 6% and PAT after NCI up 5%, excluding one-time gains.

• Robust ROE (32%) and ROCE (45.1%) maintained, with negative working capital cycle and net debt at ₹246 crore.

• Major business restructuring included the transfer of the lighting business to a joint venture and new acquisitions, with significant one-time gains recognized.

Financial highlights

• Q3 smartphone volumes were 6.9 million units; nine-month total at 27 million units.

• Q4 smartphone volumes expected between 7-7.5 million units.

• Mobile & Other EMS division contributed 84% of 9M FY26 revenue, with 45% year-over-year growth; operating profit contribution at 83%.

• Consumer Electronics & Appliances saw a 24% year-over-year revenue decline in 9M FY26; operating profit contribution at 7%.

• Net working capital days improved to -7 days in 9M FY26 from -5 days in FY25.

Outlook and guidance

• Management highlights continued revenue and profit growth, with focus on operational efficiency and working capital management.

• Aggressive growth target of ₹100,000 crore revenue in 3-4 years remains intact.

• Mobile business margins expected at 2.8%-3.2% in the near term, with potential for margin expansion as backward integration ramps up by FY28.

• Confident of achieving 60-65 million mobile units by FY28, supporting large-scale component integration.

• Management notes that financials are not directly comparable to previous periods due to business restructuring.