MUMBAI–Dixon Technologies (India) Limited reported a nearly 49% decline in consolidated net profit for the quarter ended September 2026, even as revenue surged nearly 47% on continued growth across its electronics manufacturing operations.
The company posted a consolidated net profit of Rs 344 crore for the second quarter of fiscal 2027, down 48.7% from Rs 670 crore in the corresponding period last year, according to a regulatory filing.
Revenue from operations increased 46.7% year over year to Rs 21,794 crore during the July-September quarter, compared with Rs 14,855 crore a year earlier.
The sharp increase in revenue reflected continued expansion across Dixon’s manufacturing businesses, although the growth did not translate into comparable gains in profitability.
Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 6.4% to Rs 597 crore from Rs 561 crore in the same quarter last year.
However, the company’s EBITDA margin narrowed to 2.7% from 3.8%, indicating continued pressure on operating profitability despite higher sales.
A substantial decline in other income also contributed to the drop in net profit. Other income fell to Rs 69 crore during the quarter from Rs 496 crore in the corresponding period of fiscal 2026.
The reduction significantly affected overall earnings, offsetting gains from higher revenue and modest growth in operating profit.
Dixon’s latest results follow a period of sustained revenue expansion. In the preceding quarter, the company reported a 21.1% year-over-year increase in revenue to Rs 15,548 crore.
The September-quarter results demonstrated a further acceleration in sales growth, although earnings margins remained under pressure.
Shares of Dixon Technologies closed 4.25% lower on the National Stock Exchange at Rs 11,000, a decline of Rs 488 for the trading session.
The stock has experienced broader weakness in recent months, falling approximately 1% over the previous five trading sessions and 16.03% over the past month, representing a decline of about Rs 2,100 per share.
Over the past six months, Dixon shares have fallen 1.49%, while the stock has declined 9.02% since the beginning of the year.
On a 12-month basis, shares have dropped 29.69%, or approximately Rs 4,644.
The company’s latest financial performance highlights the contrast between rapid revenue expansion and weaker profitability, as Dixon continues to grow its manufacturing operations while facing pressure on margins and nonoperating income. (Source: IANS)
