Ather Energy climbs after Q1 loss narrows, EBITDA turns positive
Revenue from operations surged 88.8% YoY and 3.6% QoQ to Rs 1,216.92 crore in the quarter ended 30 June 2026.
Adjusted gross margin stood at Rs 282 crore, up 82.3% YoY, although the adjusted gross margin percentage moderated to 22% from 23% a year ago.
The company reported positive EBITDA of Rs 9.45 crore in Q1 FY27 against an EBITDA loss of Rs 105.97 crore in Q1 FY26. EBITDA margin improved to 1% from a negative 16% last year.
On the cost front, total expenditure increased 55.9% YoY but declined 0.5% QoQ to Rs 1,289.16 crore. Raw material consumption rose 90.4% YoY to Rs 957.32 crore, while employee expenses declined 0.4% YoY to Rs 118.17 crore. Interest costs fell 10.5% YoY to Rs 21.58 crore, while depreciation declined 19.1% YoY to Rs 38.96 crore.
Operationally, Ather delivered 83,173 electric two-wheelers during the quarter, up 80.5% YoY, while vehicle sales increased to 83,000 units from 46,000 units a year ago. Customer enquiries surged 95% YoY to 7.07 lakh and pre-orders jumped 158% YoY to 1.5 lakh, with demand continuing to outpace production. Revenue from software subscriptions, charging, accessories, spares and services increased to 14% of revenue from operations from 13% in Q1 FY26. Revenue per two-wheeler sold improved 3.4% YoY to Rs 1,25,891 from Rs 1,21,751 a year ago, while electric two-wheeler market share expanded to 16.8% from 14.2%.
Despite higher input costs for copper, aluminium, lithium and crude-linked materials, the company said calibrated price increases, improved product mix, value engineering and supplier negotiations helped sustain healthy margins.
To support future growth, Ather said its Factory 3.0 at AURIC in Chhatrapati Sambhaji Nagar remains on track, with Phase 1, having an annual production capacity of 5 lakh electric two-wheelers, expected to commence production in Q3 FY27. Upon completion of both phases, the company's total installed manufacturing capacity will increase to 14.2 lakh electric two-wheelers annually.
The company will unveil the first production scooter based on its all-new EL platform on 29 August 2026 at Ather Community Day. The next-generation platform is designed to improve scalability, manufacturing efficiency and support a broader product portfolio targeting a larger customer base.
Commenting on the outlook, co-founder and CEO Tarun Mehta said strong policy support and rising consumer adoption continue to drive demand for electric two-wheelers. He added that the upcoming EL platform launch and the commissioning of the new AURIC facility position Ather for its next phase of growth.
Ather Energy designs and manufactures premium electric two-wheelers, battery packs, charging infrastructure and software solutions. The company also operates Ather Grid, one of India's largest fast-charging networks for electric two-wheelers.
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