Electric two-wheeler maker Ather Energy Ltd on Monday (February 2) reported a significantly narrower net loss for the third quarter, with losses standing
at ₹83.6 crore against ₹197.6 crore in the same period last year.
Revenue for the quarter grew 50% year-on-year to ₹953.6 crore, up from ₹635 crore in the corresponding quarter of the previous year. The growth was driven by robust volume expansion and a higher contribution from non-vehicle revenue streams such as software subscriptions, charging, accessories, spares and service, which increased to 14% of overall revenue.
The strong revenue performance was accompanied by a sharp improvement in margins. Adjusted gross margin (AGM) rose 111% year-on-year to ₹251.3 crore in Q3FY26. AGM excluding incentives improved to 23%, up around 1,100 basis points year-on-year.
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On the operating front, EBITDA loss reduced to ₹72 crore during the quarter, compared with ₹140 crore a year earlier. The EBITDA margin too improved (-3%), aided by better unit economics, disciplined cost management and operating leverage as volumes scaled.
During the quarter, Ather sold 67,851 units, marking its highest quarterly volumes and delivering 50% year-on-year growth. The company’s pan-India market share expanded to 18.8% in Q3FY26. Festive demand supported performance, with Ather recording its highest monthly registrations of 30,900 units, translating into a 20% market share.
Regionally, South India remained Ather’s strongest market, where it retained leadership with a 24.4% market share, supported by deep penetration, strong brand recall and an established retail network.
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Middle India continued to scale, with market share almost doubling to 17.4% from 8.8% in Q3FY25, driven by growth in Gujarat, Madhya Pradesh, Maharashtra and Odisha. Odisha nearly doubled its market share over the past two quarters. The rest of India market share increased to 12.6%, reflecting steady gains across northern and emerging markets.
Tarun Mehta, Executive Director and CEO, Ather Energy, said, “Q3 has been a strong quarter for us. Robust festive demand, healthy volume growth, and improving market share together drove our best quarterly revenue and EBITDA so far. Over the past few quarters, we have stayed very focused on getting the fundamentals right by improving unit economics, margins, and operating leverage, and that effort is now clearly showing in the improvement in EBITDA. What is particularly encouraging is the strength of our ecosystem."
Shares of Ather Energy Ltd ended at ₹607, down by ₹18.55, or 2.97%, on the BSE today, February 2.
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