there is 496cr onetime gain from sale of stake, in the EBITDA
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Numbers are quite weak. Adjusting for one time other income and minority interest, only 15% YoY PAT growth. 15% growth for a 100+ pe stock is a crime. It should see correction on Monday.
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This came on 14th and the market ignored the reportâŚlet us see how the results are viewed
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Agree on this, the speed of growth is decreasing, and PE is Still Hanging High
@vipraw_srivastava @KS16 Finally, the market realized
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Really interested in this company, especially since the PE has come down to 50 now and want to invest. But with the increase in RAM prices, phones will become much more expensive next year? Isnât that a huge headwind?
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@Ankit_Mishra Yes, it is. Wait for clarification post results next month
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Smartphone retailers forced to pay salaries out of their savings as sales dry up - The Hindu Smartphone retailers forced to pay salaries out of their savings as sales dry up - The Hindu
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Weâre finally moving past just putting parts together and actually starting to own the whole tech stack.
Green light from the government under the ECMS scheme to start making camera modules. By getting into these high-value components, Dixon might not just be a low-margin assembler now.
Itâs definitely an exciting time to watch the industry evolve. As all major EMS have cooled down from high valuations. Dixon itself is trading around 55x P/E (TTM)
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Dear fellow boarders,
Please be mindful when relying on Screener data.
- The TTM P/E is not 55 as shown on the website. In fact, it is neither the reported TTM P/E nor a correctly adjusted figure.
- To the managementâs credit, they have been voluntarily disclosing adjusted PAT figures in each relevant quarterâs PPT.
- Adjusted for non-recurring one-time benefits, the adjusted TTM P/E comes to 67x. Mostly, these adjustments are for gains from Aditya Infotechâs listing.
- Images for your reference below.
Disclosure
- Not invested. Not recommending anything.
- Not a SEBI registered adviser or research analyst.
- Only sharing for improving our collective understanding.
Snapshot from Screener.in
Snapshot from 2QFY26 PPT
Snapshot from 4QFY25 PPT
Adjusted PAT and TTM P/E working
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This also is actually incorrect. TTM PE is around 80x. You have to adjust for minority interest. Management has disclosed it in earnings PPT. Adjusting for that PE is 80x+
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Oh yes. I missed that. Thank you for pointing it that out!
If we also (1) remove minority interest, (2) adjust the exceptional items for tax effect and (3) subtract Aditya Infotech stake, then the P/E is ~75x. Which means the P/E at the time of my previous post was >80x!
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There is also a fierce competitor in the unlisted space by the name of Bhagwati who has increased revenue growth by 128% this quarter when dixon has just managed 3pct growthâŚâŚinteresting thing is that Dixonâs JV partner Longcheer is actually giving this incremental volumes to itâs competitorâŚ.seems that mobile assembly has no moatâŚ.lowest cost provider winsâŚ.dixon must do component manufacturing to add value if it wants to survive here.
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Excellent points, I would like to add a few things here. Bhagwati is currently the challenger with a massive growth base, having started from a much lower revenue base.
Secondly, itâs a tough quarter for Dixon for a few reasons beyond just Bhagwati.
Firstly, a global surge in DRAM and SSD prices has squeezed margins for the brands they manufacture for, leading to lower order volumes.
No Brainer why SK Hynix is doing so great lately in the Korean Markets. Secondly After the 2025 festive season, brands are sitting on high inventory, leading to the flat 3% growth.
Yes, Dixonâs management isnât blind to this. They are pivoting towards backward integration; they are moving into Display Modules, Camera Modules, and Mechanical Enclosures.
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Dixon Technologies Uncertain About Mobile PLI Extension After Budget Silence https://share.google/IXMxYhenSj9qfrVdr
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