Ather reports Rs 1.26 cr profit in Sept quarter, plans to further boost capacity by 2.25 lakh units

New Delhi: Electric vehicle maker Ather Energy on Monday reported profit after tax of Rs 1.26 crore and said its board has approved plans to increase annual production capacity across its plants by an additional 2.25 lakh units per annum by the second quarter of the financial year 2027.

According to an exchange filing, the automaker will raise annual capacity in Hosur to 4.95 lakh units from 4.20 lakh units, while at Factory 3.0, under construction in Chhatrapati Sambhajinagar, it will increase planned annual capacity to 6.50 lakh units from 5 lakh units.

These capacity additions will take Ather Energy's total installed annual capacity to approximately 11.4 lakh units by the second quarter of the financial year 2028. Ather has earmarked Rs 122 crore for the expansion, with Rs 58 crore for Hosur and up to Rs 64 crore for Factory 3.0. The company will fund the investments through a combination of debt and internal accruals.

The company noted that existing capacity utilisation at Hosur was 98 per cent at peak production. Factory 3.0 is still under construction. The capital expenditure for the Hosur investment includes Rs 53 crore for a new battery line, which the company said will “address demand scenarios and reduce supply-chain risk.”

Recently, Ather Energy co-founder and CEO Tarun Mehta had said the company was considering accelerating the second phase of the Chhatrapati Sambhajinagar facility, as demand for electric two-wheelers is exceeding its expectations. The Rs 2,500 crore fundraise gave Ather flexibility to move ahead with expansion without waiting for Phase 1 to mature.

Meanwhile, the automaker reported consolidated profit after tax of Rs 1.26 crore for the September quarter, compared with a loss of Rs 154 crore in the year-ago quarter. “EBITDA stood at Rs 74.2 crore, marking Ather'’s second consecutive EBITDA-positive quarter, despite elevated commodity costs,” the company said in a press release.

Revenue from operations during the July-September period rose 63 per cent year-on-year to Rs 1,464.2 crore from Rs 898.9 crore in the year-ago period..

Its vehicle sales jumped 44 per cent to 93,000 units during the quarter from 66,000 units last year. Its market share in the electric two-wheeler segment was 15.1 per cent.

Ather's non-vehicle revenue, which primarily comes from AtherStack Pro, Ather Grid, accessories, spares and service, increased to 15 per cent of its revenue from operations, against 12 per cent in the year-ago period. The company said 94 per cent of its customers opt for AtherStack Pro.

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