Dixon Tech CEO Says 'Very Close' To Final Nod For Vivo JV; Expects Production Boost

Dixon Technologies on Tuesday said it is actively working with the government to secure approval for its proposed joint venture with Chinese smartphone maker Vivo, expressing optimism that the long-pending clearance could come through soon.

“As far as Vivo is concerned, we are already deeply engaged with the government,” Dixon Managing Director and CEO Atul Lall said during the company's Q4 earnings call.

“We feel that we are very, very close to it. There have definitely been some aberrations and delays, particularly around Vivo government approval.”

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The proposed JV, announced in December 2024, aims to manufacture smartphones and other electronic devices in India. 

The proposal, however, remains pending amid an ongoing Enforcement Directorate probe into Vivo under the Prevention of Money Laundering Act (PMLA).

Lall said the partnership could substantially increase Dixon's manufacturing volumes. “Last year, we sold around 35 million units. On an annualised basis, exports and additional Vivo business can add another 20–22 million units over time,” he said.

He added that Dixon is targeting revenue of nearly Rs 56,000 crore next year even without contributions from Vivo, compared with an estimated Rs 48,800 crore this fiscal. 

“If Vivo comes in, then it's a very major trigger,” he said, adding that the company still expects 15–17% growth without the Vivo business.

Notably, Dixon reported a nearly 36% drop in consolidated Q4 net profit to Rs 297.97 crore, despite a marginal rise in revenue.

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