Ather Energy Posts Record Q3 With 50% Sales Jump and Narrowed Losses

Electric two-wheeler manufacturer Ather Energy Ltd delivered its strongest quarterly performance to date in the three months ended December 2025 (Q3 FY26), reporting a sharp improvement in profitability and a surge in revenue driven by record vehicle deliveries. The company said wider geographic reach, a broader product portfolio, and growing non-vehicle revenue streams supported the performance.

Ather’s total income rose 53 percent year-on-year to ₹995.7 crore during the quarter. The growth was led by robust demand for its electric scooters and a rising contribution from software and service-led offerings, including subscriptions, charging services, accessories, spares, and maintenance. These non-vehicle segments accounted for 14 per cent of overall revenue, underscoring the company’s push towards an ecosystem-based business model.

Profitability metrics also showed marked improvement. Adjusted Gross Margin (AGM) more than doubled year-on-year to ₹251.3 crore, while AGM excluding incentives improved to 23 per cent, an increase of around 1,100 basis points. Ather attributed the gains to value engineering initiatives, pricing strength, and a sustained focus on improving unit economics.

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The company’s EBITDA margin improved by nearly 1,600 basis points year-on-year to 3 per cent, with EBITDA loss narrowing to ₹29.9 crore. Net loss for the quarter declined by 45 per cent compared to the previous quarter, reflecting better operating leverage and margin expansion amid higher volumes.

During Q3 FY26, Ather sold 67,851 units, the highest quarterly sales in its history, representing a 50 per cent year-on-year increase. Its pan-India market share stood at 18.8 per cent, aided by festive-season demand that resulted in a record 30,900 monthly registrations and around a 20 per cent share of the national electric two-wheeler market.

Regionally, South India remained Ather’s strongest market with a 24.4 per cent share, supported by an extensive retail network and strong brand loyalty. Middle India nearly doubled its share to 17.4 per cent, while the Rest of India segment rose to 12.6 per cent. Operationally, the company added 76 new Experience Centers, taking the total to 600 nationwide, and expanded its charging network to 4,357 fast-charging points across India, Nepal, and Sri Lanka.

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