Ather Energy Narrows Q1 FY27 Loss by 71% YoY, Turns EBITDA Positive for First Time

Electric two-wheeler maker Ather Energy reported a sharp improvement in its financial performance for the quarter ended June 30, with its consolidated net loss narrowing 71% year-on-year (YoY) as strong vehicle sales and improved operating leverage boosted earnings.

According to the company's regulatory filing, consolidated net loss stood at ₹51.1 crore in the June quarter, compared with ₹178.2 crore in the same period last year. Revenue from operations rose to ₹1,216.9 crore from ₹644.6 crore, while total income increased 87.2% YoY to ₹1,260 crore.

The company said the growth was driven by higher sales volumes, calibrated price increases and a larger contribution from non-vehicle businesses such as software subscriptions, charging services, accessories, spare parts and after-sales services.

Strong Demand Drives Operational Improvement

Ather Energy posted a consolidated EBITDA of ₹9 crore during the quarter, compared with an EBITDA loss of ₹106 crore a year earlier, marking the company's first positive EBITDA performance.

EBITDA margin improved to 0.8%, while adjusted gross margin increased 82.3% YoY to ₹282 crore, despite higher raw material costs during the quarter.

The company delivered 83,173 electric two-wheelers, up 80.5% from a year ago, as customer demand continued to outpace its production capacity.

New Factory, Product Launch to Support Growth

Ather said higher prices of copper, aluminium, lithium and crude-linked materials increased input costs during the quarter. However, it offset part of the impact through calibrated price increases, product mix optimisation, value engineering and supplier negotiations.

Electric two-wheeler demand remained strong, with industry registrations rising 68% YoY to around 5.25 lakh units, based on Vahan data. Customer enquiries increased 95% to 7.07 lakh, while pre-orders surged 158% to 1.5 lakh, indicating demand continued to exceed available production.

To support future growth, Ather said the first phase of its Factory 3.0 at AURIC in Chhatrapati Sambhaji Nagar remains on track to begin production in the third quarter of FY27 with an annual capacity of 5 lakh units. The company is also set to unveil the first production scooter built on its new EL platform on August 29.

Commenting on the performance, Tarun Mehta, Co-founder & CEO of Ather Energy, said the company continued to see strong demand across its portfolio, with demand continuing to outstrip supply. "We continued to see strong demand across our portfolio... This gives us confidence that the market continues to expand," Mehta said. He added that the upcoming EL platform launch and the production ramp-up at the AURIC factory would position Ather well for its next phase of growth.