Electric two-wheeler maker Ather Energy has reported its first-ever quarterly net profit of Rs 1.26 crore for the September quarter of FY27, marking a turnaround from a loss of Rs 154 crore in the same period last year. 

The company also approved a Rs 122 crore investment to expand its manufacturing capacity as demand for electric scooters continues to grow. 

Ather’s revenue from operations increased 62.8% year-on-year to Rs 1,464 crore in Q2 FY27, compared with Rs 899 crore a year earlier. The company sold around 93,000 electric two-wheelers during the quarter, up 44% from the previous year.

Its operating performance also improved, with EBITDA turning positive at approximately Rs 11.3 crore against a loss of Rs 133 crore in the year-ago quarter. Higher sales, product mix and pricing measures supported the improvement despite rising input costs.

Ather’s board approved investments of up to Rs 122 crore to expand capacity at its Hosur plant in Tamil Nadu and its upcoming Factory 3.0 in Chhatrapati Sambhajinagar, Maharashtra.

The plan will increase annual production capacity at Hosur from 4.2 lakh to 4.95 lakh units. At Factory 3.0, planned capacity will rise from 5 lakh to 6.5 lakh units annually.

Once the expansion is completed, Ather expects its combined annual manufacturing capacity to reach approximately 11.4 lakh units by the July-September quarter of FY28. The investment will be funded through a combination of debt and internal funds.

The return to profitability marks an important step for Ather as it competes in India’s growing electric two-wheeler market. However, sustaining profits will depend on continued sales growth, cost management and the successful expansion of production capacity.

Discover the next big investment! Tradz by EquityPandits’ IPO screener helps you identify promising initial public offerings. Download Tradz by EquityPandit and get ahead of the curve! Sign Up Now & Find Your Next IPO Gem!