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Dixon Technologies Targets 40% Annual Revenue Growth With New Joint Ventures

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Synopsis:

Dixon Technologies plans to achieve 40% annual revenue growth by leveraging a robust order book and expanding its mobile, IT, and telecom businesses. Its new JV with Vivo India aims to strengthen its electronic devices segment.

 

Dixon Technologies has set an ambitious target of 40% annual revenue growth for the next three to four years. The company is leveraging its strong presence in mobile, IT, and telecom segments to scale its operations. Recent developments, including a binding term sheet with Vivo India for a joint venture in electronic devices, are expected to boost its topline growth further.

Also read: HBL Power Secures ₹1,552 Crore TCAS Equipment Order for 2,200 Locomotives

DIXON TECHNO (INDIA) LTD

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18802.5848.09 (4.72 %)

Updated - 16 December 2024
18870.00day high
DAY HIGH
18111.00day low
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898251
VOLUME (BSE)

Key Takeaways

  • Revenue Growth Target: 40% annual growth over the next four years.

  • Projected Revenue for FY25: ₹38,000-40,000 crore.

  • New JV Partner: Vivo India for electronic devices.

  • Market Opportunity: 90-100 million smartphones in the outsourcing segment.

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Strong Order Book and Market Position

Dixon Technologies' growth strategy is driven by its robust order book in the mobile segment. The company has built a manufacturing capacity of 80 million units, split into 50 million smartphones and 30 million feature phones. It has secured an order book of 40-45 million smartphones for the next financial year, representing nearly 40-45% of the outsourcing market for smartphones in India.

Smartphone Market Overview

Segment

Market Size (in units)

Dixon’s Capacity (in units)

Dixon’s Order Book (in units)

Smartphones

150 million

50 million

40-45 million

Feature Phones

70 million

30 million

-

Total Market Capacity

220 million

80 million

-

Expanding Business Horizons

Dixon Technologies’ partnership with Vivo India for a joint venture is expected to enhance its capabilities in the electronic devices segment. Additionally, the company anticipates growing exports as more brands consider India a key manufacturing hub. These factors, combined with its existing customer acquisitions in IT hardware and telecom, position Dixon for sustained growth.

The expansion into these segments and the increasing export opportunities are likely to positively impact the Dixon Technologies share price, as the company builds on its strong market presence and operational efficiencies.

Dixon Technologies’ focus on growth across mobile, IT, and telecom segments, coupled with strategic collaborations, positions it for significant revenue expansion. The company’s ambitious plans and strong market standing underline its potential for long-term success.

Also read: 63 Moons Approves ₹1,950 Crore One-Time Settlement with NSEL Investors Forum

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Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.

This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.

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