homebusiness Newscompanies NewsDixon Tech eyes ₹48,000 crore revenue boost over 6 years, banking on PLI 2.0 benefits
Dixon Tech eyes ₹48,000 crore revenue boost over 6 years, banking on PLI 2.0 benefits
Dixon Technologies hopes to be one of the beneficiaries of the government's IT production linked incentive scheme. The company sees mobiles remaining the biggest growth drivers.
Electronic goods manufacturer Dixon Technologies is targetting revenues of ₹48,000 crore over the next six years as it hopes to benefit from the next round of government's production-linked incentives (PLI).
Atul Lall, MD, Dixon Technologies told CNBC-TV18 that the company has filed the application for the IT PLI 2.0 under the hybrid domestic category. It has also committed to a capex of ₹250 crore over the six-year period.
On Thursday (October 27), Dixon Tech reported a 47.1% year-on-year (YoY) jump in second-quarter net profit to ₹113.4 crore. Total revenue was nearly 28% higher at ₹4,943.2 crore.
Lall also talked about one of the biggest drivers of growth for the company -- mobile phones. "Undoubtedly, mobile is going to be the largest trigger for Dixon’s growth and the numbers are going to be very healthy in the current as well as next fiscal,” he said.
Dixon has begun trial runs for Xiaomi and commercial production is expected to start next month. The target is to reach almost half a million units a month within a couple of quarters. For Nokia, the current run rate is around 1.5-2.0 million units with the company also eyeing the export market. Other customers in the mobile category will start adding to the revenue in the second half of the year, Lall said.
He expects the margin in the laptop business to be around 3%.
Watch the accompanying video for more
(Edited by : Shweta Mungre)
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
AAP protest today: Delhi traffic police issues traffic advisory, security at BJP headquarters beefed up
May 19, 2024 11:26 AM
BJP is planning to ban RSS, says Shiv Sena (UBT) chief Uddhav Thackeray
May 18, 2024 8:01 PM
Punjab Lok Sabha elections: Complete list of Congress candidates
May 18, 2024 4:08 PM
Punjab Lok Sabha elections: Check full list of AAP candidates and constituencies
May 18, 2024 12:59 PM