National : Ather Energy reported a strong EBITDA improvement of 1,650 basis points (bps) year-on-year (YoY).
The company delivered 83,173 units during the quarter, up 80.5% YoY, as demand for electric
two-wheelers accelerated sharply and customer demand across Ather’s portfolio continued to outpace
available production.
Key Financial Highlights
For the quarter ended June 2026, Ather Energy reported consolidated total income of ₹1,260 crore, up
87.2% YoY, driven by strong volume growth, calibrated pricing actions, and a growing contribution from
non-vehicle revenue. Revenue from software subscriptions, charging, accessories, spares, and service
increased to 14% of revenue from operations, up from 13% in Q1 FY26.
Consolidated Adjusted Gross Margin (AGM) stood at ₹282 crore, up 82.3% YoY. During the quarter,
commodity inflation drove up raw material costs, with higher input costs for copper, aluminium, lithium,
and crude-linked materials. The company has taken measures like calibrated pricing actions, improved
product mix management, and cost reductions driven by value engineering and supplier negotiations,
along with other initiatives to sustain healthy margins.
The quarter also saw consolidated EBITDA turn positive at ₹9 crore in Q1 FY27, compared with an
EBITDA loss of ₹106 crore in Q1 FY26. Consolidated net loss for the quarter narrowed significantly to
₹51 crore from ₹178 crore a year ago, reflecting the structural improvements in Ather’s business as
volumes continued to scale.
Financial highlights on a consolidated basis also include financial results of its newly incorporated wholly
owned subsidiary, Ather Insurance Limited, for the company’s insurance business, which has incurred
₹0.22 crore of net loss during Q1 FY27.
Demand and Capacity Highlights
Demand for electric two-wheelers accelerated sharply during the quarter, with industry registrations
increasing 68% YoY to approximately 525k units, according to Vahan data. EV penetration also crossed
10% for the first time in June 2026. Against this backdrop, Ather continued to see strong momentum
across its customer funnel. Customer enquiries increased 95% YoY to 707k, while pre-orders grew
158% YoY to 150k, reflecting sustained customer demand that continued to outpace available
production during the quarter.₹ in crore rounded to the nearest crore
To support this next phase of growth, Ather’s Factory 3.0 at AURIC in Chhatrapati Sambhaji Nagar
remains on schedule. Phase 1, with an annual production capacity of 500,000 units, is expected to
commence production during Q3 FY27, taking the company another step towards its planned one
million-unit annual manufacturing capacity. Upon completion of Phase 1 and 2 at AURIC, Ather’s total
installed annual production capacity across its manufacturing facilities will reach 1.42 million electric
two-wheelers.
Next phase of growth
The company is also preparing to unveil the first production scooter on its all-new EL platform on August
29, 2026 at Ather Community Day 2026. The EL platform is Ather’s next-generation vehicle architecture
and its first new vehicle platform since the 450. Engineered from the ground up for greater versatility,
scalability, and manufacturing efficiency, it will power Ather’s future products and marks the company’s
next phase of product innovation. The first EL scooter will enable Ather to serve a significantly larger
customer base. It represents the first in a new family of products built on the EL platform.
Tarun Mehta, Co-founder & CEO, Ather Energy, said, “We continued to see strong demand across our
portfolio, as structural tailwinds from both policy support and shifting customer sentiment translated into
a massive upsurge for our products, with demand far outstripping supply. This gives us confidence that
the market continues to expand. In the coming months, we are particularly excited about our new
product on the EL platform, commencing production alongside the scale-up of our new factory at
AURIC. Together, they position us well for the next phase of Ather’s growth.”
