Updated January 23rd, 2024 at 17:18 IST
Dixon Technologies expects 50% revenue growth in current fiscal
Lall estimates that 40-50 per cent of this revenue will be attributed to the manufacturing and assembly of mobile phones.
Dixon Technologies (India), a leading electronics manufacturer, expects a close to 50 per cent surge in revenue for the current fiscal year, primarily driven by the growth in its mobile phone business, according to the company's Managing Director, Atul Lall.
Speaking at an electronics event in Chennai, Lall mentioned that the mobile phone segment is a significant growth trigger, and the company expects the full-year revenue for the fiscal ending in March to reach approximately Rs 18,000 crore. Lall estimates that 40-50 per cent of this revenue will be attributed to the manufacturing and assembly of mobile phones and their accessories.
This projected full-year revenue surpasses the reported Rs 12,200 crore for the previous financial year. For the six months ending December 31, Dixon reported revenue of Rs 8,218 crore, slightly below half of Lall's full-year forecast. Dixon Technologies, which initiated its journey by manufacturing colour televisions in India in 1994, currently operates 23 manufacturing plants across the country, catering to clients such as Samsung from South Korea and Germany's Robert Bosch.
The electronics market, valued at $155 billion, has experienced growth due to global manufacturers diversifying their supply chain away from China. Additionally, the Indian government's production-linked incentives aimed at promoting local manufacturing have provided a boost to companies like Dixon. Looking ahead, both policymakers and electronics manufacturers in India are working towards further localising the production of components and raw materials, as many existing factories in the country currently focus on assembling imported smartphone and gadget parts.
(With Reuters inputs)
Published January 23rd, 2024 at 17:14 IST