Dixon Technologies share price jumps over 3% after strong Q3FY26 earnings; check details

Shares of India’s leading EMS player, Dixon Technologies, jumped over 3.3% on Friday morning after the company announced stellar results on Thursday. The company posted 48% jump in net profit in Q3FY26. Following the results, global brokerages have upgraded the stock.

In the quarter gone by, the company’s adjusted revenue stood at ₹10,678 crore up 2% YoY from ₹10,461 crore in the same period last year. The mobile and EMS division, which contributed 92% of the revenue for the quarter jumped 5% YoY to ₹9,750 crore up from ₹9,305 crore in the same period last year.

On the operating front, the company recorded an exceptional gain for the quarter as the fair value gain of ₹125 crore from the sale of stake in Aditya Infotech. After adjusting the other income gain, the operating profit for the quarter jumped 6% YoY to ₹415 crore as compared to ₹391 crore in the same period last year.

The mobile and EMS division’s operating profit stood at ₹350 crore as against ₹322 crore in the same period last year, up by 9% YoY. The contribution to the overall operating profit for the quarter jumped to 84% vs 83% in the same period last year. Similarly, the adjusted net profit for the quarter remained largely unchanged at ₹214 crore as compared to ₹217 crore in the same quarter last year. On a reported basis, including the fair value gain from stake sale, the net profit jumped 48% YoY to ₹321 crore as compared to ₹217 crore in the Q3FY25.

Following the results, the global brokerages have upgraded the outlook for the company. CLSA said, “Smartphone sales were significantly impacted due to elevated memory prices, a trend likely to pressure lower and mid-tier segments in 4Q as well There has been progress on margin‑accretive backward‑integration initiatives, with Dixon expecting ECMS approvals for display modules and enclosures soon. In the near term, Vivo PN3 approval, clarity on PLI extension & progress in other segments remain key catalysts”.

While Goldman Sachs said, the Q3FY26 earnings were below expectations and the earnings downgrade cycle will likely continue.