Dixon Technologies Q1 FY22 Result Analysis

Revenue has shown a strong growth on YoY basis but on QoQ basis it has taken a beating. The EBITDA margins were affected due to adverse operating leverage, rise in input prices, initial ramp up cost in Mobile business, etc. It will be normalized in the coming quarters. Growth was seen across the segments of Consumer electronics, lighting, home appliances, Mobile and Security System on YoY basis. But on QoQ basis only consumer electronics showed an upward trend. Going forward Dixon is aiming for the revenue growth of 3x by 2023-24. EBITDA margins will be around 4 to 4.5 % and PAT margins around 3.5%.