Shares of Dixon Technologies (NSE: DXTECH) slid 0.71% to ₹13,156 on Wednesday, after the company posted Q1 revenue of ₹15,548 crore, a 21.1% YoY jump, while EBITDA slipped 4.1% to ₹463 crore.
Revenue topped the ₹14,769 crore consensus from the CNBC‑TV18 poll, but EBITDA fell short of the ₹499 crore expectation, reflecting higher cost pressures in its high‑margin electronics arm.
The drop in earnings comes as Dixon’s subsidiary, DEAPL, inks an IP licence with Aviat Networks, giving it rights to microwave radio tech. Atul B. Lall said the move underpins the firm’s strategy to deepen domestic telecom capabilities, potentially offsetting the EBITDA dip.
Nuvama trimmed its FY27 EPS estimate by 7% but lifted FY28 by 9%, citing a delayed Vivo JV consolidation and faster component scale‑up. JPMorgan kept an Overweight rating and a ₹16,400 target, noting Dixon’s ambition to climb the EMS hierarchy.
Looking ahead, Dixon will report FY27 results on March 15; investors will watch whether the licensing deal translates into higher margins. The market is sizing up the impact of the partnership on future revenue streams.