Ather Energy slashes net loss, reports 50% rise in Q3 revenue
The EV maker managed to maintain its market lead ahead of Bhavish Aggarwal-led Ola Electric this quarter amidst record high sales of its electric scooters.
Ather Energy on Monday reported a 50.1% rise in revenue on the back of surging sales of its electric two-wheelers. The company reported a revenue from operations of Rs 953.6 crore in the three months ended December 31, compared with Rs 634.9 crore in the year-ago period.
The EV maker also managed to narrow its losses by 57.7% to Rs 83.6 crore.
Ather Energy sold 62,265 units during the quarter—the highest it has sold in a three-month timeline—compared to 39,744 units sold in the year-ago period.
Despite narrowing losses, the Tarun Mehta-led firm saw an uptick in expenses to Rs 1,075.3 crore in Q3 compared to Rs 847.9 crore last year, primarily due to a rise in the cost of materials consumed during the period. However, this was largely offset by the rise in revenue.
Competition in the electric two-wheeler market has stabilised in recent months, with TVS Motor Co and Bajaj Auto commanding a large piece of the market, followed by Ather Energy. The company became the third-largest EV maker in the country after Bhavish Aggarwal’s Ola Electric saw plunging sales of its E2W.
During this period, Ather Energy has turned its focus to states that it has termed ‘Middle India’, which includes Chhattisgarh, Gujarat, Maharashtra, Madhya Pradesh, and Odisha, as it aims to make roads into other Indian markets. The company has had a historically stronger presence in South Indian states like Tamil Nadu, Telangana, and Andhra Pradesh.
The Company is also widening its offerings to ease the adoption of its electric vehicles. In December, it said that it plans to enter the auto insurance services space by setting up a wholly owned subsidiary. This new entity will focus on offering auto insurance policies, in partnership with multiple insurers, for its customers across India.
Edited by Jyoti Narayan