Ather Energy Narrows Losses, Achieves Positive EBITDA
Electric vehicle maker Ather Energy has significantly reduced its losses and achieved positive earnings before interest, taxes, depreciation, and amortization (EBITDA) in its first fiscal quarter, amid slower EV two-wheeler sales in India.
Ather Energy, an Indian electric vehicle manufacturer, has reported a substantial reduction in net losses by 71% and achieved a positive EBITDA of INR 9 crore for the first quarter of fiscal year 2027. The company's operating revenue surged by 89% year-over-year to INR 1,216.9 crore.
The turnaround was driven by a significant increase in sales volume, with Ather delivering 83,173 electric scooters during the quarter, an 81% year-over-year jump. Customer demand continued to outstrip production capacity. Higher-margin non-vehicle revenue from software subscriptions, charging, accessories, and after-sales services contributed 14% of the operating revenue.
The company also managed to expand its adjusted gross margins by 82% year-over-year to INR 282 crore, despite rising commodity costs. This was achieved through calibrated price increases, supplier negotiations, and an improved product mix, which unlocked operating leverage to absorb fixed overheads.
Ather is now accelerating its expansion plans, bolstered by a recent INR 2,500 crore rights issue and fundraise. A new manufacturing unit in Maharashtra is on track to start production in Q3 FY27, adding 500,000 units of annual capacity. The company also plans to introduce a new scooter model later this month to broaden market share.