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Dolat Capital: Dixon Technologies - Transitioning From OEM To ODM Model

The domestic manufacturing story is leading the path for Dixon Technologies India Ltd.

Dixon Technologies Ltd. facility for designing, manufacturing and testing of a wide range of washing machines. Revenue from this segment is completely based on Original Design Manufacturing (ODM) model. (image: Company website)
Dixon Technologies Ltd. facility for designing, manufacturing and testing of a wide range of washing machines. Revenue from this segment is completely based on Original Design Manufacturing (ODM) model. (image: Company website)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Dolat Capital Report

The domestic manufacturing story is leading the path for Dixon Technologies India Ltd. and it sits comfortably with a diversified product mix, client mix and fungible manufacturing facilities which can be adjusted to make use of any unutilized capacity.

It has been successful in backward integration, improving operational efficiencies and design capabilities to continue on its growth trajectory.

It continues to transition from the original equipment manufacturing (OEM) to original design manufacturing (ODM) model of doing business, which should improve its margins going forward.

The production linked incentive (PLI) scheme is another opportunity for Dixon Technologies, which can provide a boost to its scaling up plans.

The company has already made two applications under the PLI scheme.

Click on the attachment to read the full report:

Dolat Capital Dixon Technologies Annual Report Update.pdf

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