Ather becomes first new-age EV two-wheeler maker to achieve Ebitda breakeven
Ather Energy Ltd has become the first pure-play new-age electric scooter maker to report an operating profit before depreciation, finance and amortization costs. The Bengaluru-based
Ather Energy Ltd has become the first pure-play new-age electric scooter maker to report an operating profit before depreciation, finance and amortization costs. The Bengaluru-based electric vehicle maker, founded in 2013, reported an earnings before interest, tax, depreciation and amortization (Ebitda) margin of 0.8% in the June quarter, an over 16-percentage-point improvement from -15.7% a year ago. Also Read | Wartime edge for CNG at Maruti; EV expansion from September The improvement came on the back of revenue nearly doubling to ₹1,260 crore from ₹673 crore as EV sales surged owing to fuel price hikes and availability-led fears amid the West Asia war. Its net loss narrowed to ₹51 crore from ₹178 crore, bringing the company closer to breakeven, although higher commodity prices triggered by the West Asia war weighed on margins. An Ebitda breakeven indicates that the company has achieved core profit from its operations without the accounting-related costs.
“Recognizing the strong demand that our products already had, we were able to run a really tight ship on fixed costs, particularly marketing and sales, and deliver our first-ever positive Ebitda quarter,” said Tarun Mehta, co-founder and chief executive at Ather Energy, during the earnings call. Also Read | Hero MotoCorp's EV investing strategy meets its first setback Breakeven Ather has achieved margin breakeven ahead of cross-town rival Ola Electric Mobility Ltd, after surpassing the company in annual sales, revenue, and market valuation in 2025-26. To be sure, Zelio E-Mobility, a seller of low-speed electric two-wheelers that do not require registration, is also profitable but is generally not compared with mainstream EV companies that sell regulated electric two-wheelers. Among legacy players, Bajaj Auto Ltd's electric two-wheeler and three-wheeler business combined is Ebitda-positive, with the electric two-wheeler business moving closer to core profitability, the company’s management said in a 21 July earnings call.
TVS Motor Co. Ltd doesn’t disclose the profitability of its EV division. “It's a small number, but this is the first time ever we have delivered one, so I'm very happy to report it. Challenges do continue for the coming quarters. There will likely be, in fact, some ups and downs,” Mehta added. The turnaround comes just over a year after Ather's May 2025 stock-market listing. Since listing, its shares have surged more than 300% to above ₹1,280 apiece. Following the results announcement during trading hours, the stock rose 1.6%, outperforming the Nifty Auto's 1.48% gain. EV sales boom Electric two-wheeler sales rose by 67% to 513,208 during the quarter, according to data from the Federation of Automobile Dealers Association (FADA), as the government pushed people to adopt EVs to help the country reduce crude oil imports and accelerate electrification.
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