Electric two-wheeler maker Ather Energy reported a consolidated net profit of Rs 1.26 crore in the second quarter of FY27, reversing a net loss of Rs 154 crore in the year-ago quarter.
Revenue from operations rose 63% year-on-year (YoY) to Rs 1,464.24 crore in Q2 FY27, compared with Rs 898.88 crore a year earlier. Total income, including other income, increased 62% to Rs 1,526.95 crore.
The company sold 93,211 electric two-wheelers during the quarter, up 42% YoY. Its operating performance improved alongside the growth in sales, with the company reporting a positive EBITDA for the quarter.
Ather's consolidated adjusted gross margin improved 160 basis points YoY to 24%, despite higher input costs for aluminium, copper, lithium and crude-linked plastics. The company attributed the improvement to product mix and pricing decisions.
Non-vehicle revenue, which includes subscriptions, charging, accessories, spares and services, accounted for 15% of revenue from operations, up from 12% a year earlier. Ather also said 94% of its customers opted for AtherStack Pro.
Demand continued to outpace production capacity, with enquiries rising 109% YoY to around 10 lakh and pre-orders more than doubling to 1.8 lakh. The company's Hosur facility in Tamil Nadu operated at 98% capacity utilisation during peak production.
To support demand, Ather plans to increase annual production capacity at Hosur by 75,000 units to 4.95 lakh units by December 2026. Its upcoming facility at AURIC in Chhatrapati Sambhajinagar, Maharashtra, is expected to begin phased commercial production from December 2026, with an initial annual capacity of five lakh units.
The company plans to add another 1.5 lakh units of annual capacity at the new facility by Q2 FY28. Once the expansion is completed, its combined installed capacity across the two facilities is expected to reach around 11.4 lakh units. Ather's board has approved capital expenditure of up to Rs 122 crore for the expansion.
During the quarter, Ather launched Konarc, its first scooter built on the new EL platform, at its Community Day event on August 29. It also introduced Ather TrueHealth, a vehicle health report that estimates resale value, and AtherNode, a charging solution for apartment complexes.
Tarun Mehta, Co-founder & CEO, Ather Energy, said, “We delivered a strong quarter, with robust topline growth and a positive bottomline, despite surging commodity prices and supply chain disruptions."
"Underpinning this is a shift to electric two-wheelers that is now structural and playing out across India. At Ather, demand has more than doubled year-on-year this quarter, and to meet it, we are further augmenting our production capacity at Hosur and AURIC. With Konarc taking Ather to a wider set of customers, we see significant headroom for growth ahead."