- Ather Energy’s Q1 FY26 revenue rose 79% YoY to ₹644.6 crore
- Net loss narrowed slightly to ₹178.2 crore
- Total expenses jumped 54.3% due to material costs
- Employee benefit expenses fell 37%
Electric two-wheeler manufacturer Ather Energy, which recently got listed on Indian bourses, reported a 79% year-on-year increase in operating revenue to ₹644.6 crore for the first quarter of FY26. Its net loss also narrowed marginally to ₹178.2 crore from ₹182.9 crore last year.
Despite this, the company’s overall expenses surged by 54.3% YoY for the quarter to ₹851.1 crore. Ather attributed the rising expenses, primarily, to higher material costs. Its employee benefit expenses also declined 37% to ₹118.6 crore.
Ather went public on May 6, becoming the first mainboard listing of the current financial year. Its shares debuted on the NSE at ₹328 apiece, marking a 2.18% premium over the issue price. It has launched a ₹2,981 crore IPO, after raising ₹1,340 crore from anchor investors on April 26.
Currently, the company is the fourth-largest electric two-wheeler manufacturer in India. According to Vahan portal data, its market share stood at 16.3% in July. It has narrowed the gap with Ola Electric, whose market share was 17.9% in July.
Recently, the company has also received ‘Buy’ rating from HSBC and Nomura as the brokerage firms initiated coverage on it. HSBC gave a target price of ₹450 for Ather, more than 30% upside from its last closing price of ₹391.
“EV penetration remains low, but we think the stock price will be driven by its relative performance, not industry growth,” the brokerage said in its latest report. Calling it a good company in a tough industry, HSBC stated that Ather’s product quality and technology leadership are difficult to replicate even for rivals with deep pockets.
It further believes that Ather’s stock will be driven by its relative performance rather than industry growth in the near term. Any acceleration in e2W penetration should be a significant upside risk to earnings and valuation as Ather is a pure-play e2W stock, the brokerage added.
Ather, meanwhile, has inked an initial pact with Ather Energy with an aim to provide new opportunities for start-ups in the EV and manufacturing space. The MoU will focus on providing strategic mentorship for deep-tech start-ups, infrastructure support for startups in the EV value chain.
