Dixon Technologies projects a 12-15% year-over-year decline in mobile phone volumes for June 2026. Rising input costs for critical components like RAM are driving this slowdown. These price hikes are reducing the affordability of budget smartphones for mass-market consumers.
The mobile segment serves as a high-volume revenue contributor and a primary source of operating leverage for the company. This downturn highlights the vulnerability of the electronics manufacturing services (EMS) sector to global supply chain fluctuations.
Increased component costs are forcing price hikes that deter price-sensitive buyers. This trend signals a potential broader slowdown across the Indian consumer electronics market.